Representative Jim Ward

BY DION LEFLER
The Wichita Eagle

Forget $141 million.

The state budget shortfall this year is now about $186 million and growing, south-central Kansas legislators learned Thursday.

The new number was given to about 25 local legislators by Alan Conroy, director of the Kansas Legislative Research Department.

State revenue estimators pegged the expected 2009 shortfall at $141.2 million at the beginning of November.

But receipts for November and December have fallen $44.6 million short, adding to the gap lawmakers and the governor will have to close, Conroy said.

"I wish I had good news," Conroy told the lawmakers.

But, he said, "the general fund is in a precarious situation," with the national economy in a downturn, and is likely to grow worse.

The projected shortfall for the 2010 budget is about $1 billion.

The state has faced shortfalls before, but Conroy said this situation is unique because of the expected length of the recession.

He said the earliest he expects to see a turnaround will be 18 to 24 months.

The state Constitution requires a balanced budget each year.

When the legislative session starts Monday, lawmakers will be considering deep cuts.

"First of all, everything's going to be on the table," said Rep. Brenda Landwehr, R-Wichita.

That includes education and any discretionary social spending, she said.

She also said that unlike the last budgetary crisis, in 2002, she doesn't think the state can raise taxes because incomes are declining, especially for seniors who depend heavily on investments.

Local Democrats said Gov. Kathleen Sebelius has already begun to make cuts, but they think the state can't rely entirely on spending reductions to make up the shortfall.
In addition to budget cuts, Rep. Jim Ward, D-Wichita, suggested that the Legislature could consider delaying some tax reductions that have been approved but not fully implemented.

In addition, he said, the state could make accounting changes and tap income that now bypasses the general fund, such as highway and bioscience money.

"The (budget) numbers are bad, but we've been here before," he said.

He said the biggest danger would be stripping state government down so far that the traffic and educational infrastructure deteriorates and Kansas is unable to take advantage when the economy turns around.

Reach Dion Lefler at 316-268-6527