Monday, April 23, 2012

Lawmakers assume agencies will spend $120 million less than authorized

When is a budget cut not a budget cut? When agencies still have the authority to spend money but lawmakers assume agencies won't spend all of it. This budget "reversion" philosophy isn't built entirely on blind faith, however, but on historical trends. Though the 2011-13 balance sheet shows total spending of $31.121 billion, the actual budgeted authority for agency spending is $31.241 billion. This is because the 2011-13 balance sheet assumes $120 million in reversions based on historical experience of actual agency spending, meaning the Legislature expects agencies will under spend their budgeted authority resulting in expected spending of $31.121 billion . . . READ MORE


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