Rendell Ups Shortfall Estimate
Gov. Ed Rendell is upping his estimate of the state's 2008-09 budget shortfall to $1.9 billion.
Rendell's administration had previously estimated the shortfall at $1.6 billion, but Rendell disclosed the higher estimate today in a speech at the Pennsylvania Farm Show.
Rendell has said one way he'll offset the shortfall is using money from the state's Rainy Day Fund.
On the LiveLine earlier this week, Lt. Governor Joe Scarnati said taking money from the Rainy Day Fund won't solve the problem.
"You can't just take that money and balance the budget and not cut expenditures, because you'll have those expenditures re-occuring next year and no money to pay for them," he said.
Scarnati said the shortfall could end up being $2 billion by the end of the fiscal year in June.
Rendell's administration had previously estimated the shortfall at $1.6 billion, but Rendell disclosed the higher estimate today in a speech at the Pennsylvania Farm Show.
Rendell has said one way he'll offset the shortfall is using money from the state's Rainy Day Fund.
On the LiveLine earlier this week, Lt. Governor Joe Scarnati said taking money from the Rainy Day Fund won't solve the problem.
"You can't just take that money and balance the budget and not cut expenditures, because you'll have those expenditures re-occuring next year and no money to pay for them," he said.
Scarnati said the shortfall could end up being $2 billion by the end of the fiscal year in June.
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