NASHVILLE, Tenn. (AP) -- Administration officials have asked state departments and agencies to draw up plans for a possible 3 percent cut in their operating budgets next year.
The Chattanooga Times Free Press reports Finance Commissioner Dave Goetz told officials in a memo last month that "because of current economic conditions, we must assume that we may undercollect state revenue estimates in the current year, lowering the base for projecting 2009-2010 revenues."
The finance department reported this week that the general fund missed projections by about $50 million in August, mostly on worse-than-expected sales and corporate tax collections.
Corporate franchise and excise taxes came it about $26 million below the budgeted estimate of $41 million. Sales taxes came in at $21 million below projections.
(Copyright 2008 by The Associated Press. All Rights Reserved.)
To comment, the following rules must be followed:
Comments may be monitored for inappropriate content, but the station is under no legal obligation to do so.
If you believe a comment violates the above rules, please use the Flagging Tool to alert a Moderator.
Flagging does not guarantee removal.
Multiple violations may result in account suspension.
Decisions to suspend or unsuspend accounts are made by Station Moderators.
Links require admin approval before posting.
Questions may be sent to email@example.com. Please provide detailed information.