While acknowledging that the Commonwealth faces a $2 billion fiscal shortfall in fiscal 2003, in attempting to close that gap the administration's budget proposal relies on overly optimistic revenue growth projections, excessive use of reserves, an unwise reduction in pension funding and other problematic proposals and assumptions that total more than $1 billion. The $23.6 billion spending plan does include several positive elements, most notably a reasonable estimate of Medicaid cost growth and increased funding for local school aid and special education.
February 01, 2002
FY Pre-2008
Governor's 2003 Budget: Failing to Close The Gap
While acknowledging that the Commonwealth faces a $2 billion fiscal shortfall in fiscal 2003, in attempting to close that gap the administration's budget proposal relies on overly optimistic revenue growth projections, excessive use of reserves, an unwise reduction in pension funding and other problematic proposals and assumptions that total more than $1 billion. The $23.6 billion spending plan does include several positive elements, most notably a reasonable estimate of Medicaid cost growth and increased funding for local school aid and special education.
