State revenue down. More cuts possible. Senate *still* balks at reforms.

From the Courier-Journal:

Kentucky tax revenues drop

State budget might face even more cuts

By Tom Loftus
[email protected]

State tax revenues dropped in September, raising the possibility for the first time that the already-lean state budget may have to be cut....
Beshear said it is too early to tell whether the bad month is the start of a trend that could force significant spending cuts or employee layoffs to keep the budget in balance.

With more cuts in investments and employee layoffs on the table, some legislators are renewing their push for revenue reforms.  Rep. Moberly, for example, thinks that reforms should be considered before conditions get even worse.  That's leadership.

Senate President David Williams, on the other hand, "said he would 'not be surprised, if the economic situation in the country does not improve, that we will be faced with the possibility we won't have the revenue we anticipated.'  But he said for now he does not see support in the Senate for a [cigarette] tax increase." 

And where does the Governor stand?

The governor noted that the grim budget outlook he inherited when he took office last December already required him and the General Assembly to make cuts.

Well, no, they weren't "required" to make cuts.  They passed the cuts instead of passing much needed revenue reforms. The article goes on to say that Beshear still supports raising the cigarette tax, but that "it was too soon to say if he will push for such an increase in next year's legislative session or a special session before then."  In the meantime, Beshear has created an "Economic Action Team" of six administration officials to report on access to health services, bank stability, and job creation.

And to be prepared when the economy recovers, Beshear said he will soon announce a "comprehensive energy strategy" for Kentucky and create task forces on early childhood education and higher education.

KFTC members will certainly be looking for the Governor's energy strategy.  As for the early childhood and higher education task forces...Task forces are fine, but they are no substitute for funding.

You can find the entire article through the link in the headline.