Everything in Floridas budget -- from turnpike authorities and prisons to education -- is on a potential chopping block as the state Legislature is now looking at a $2 billion shortfall for the next fiscal year, Senate President Mike Haridopolos said Thursday.
I hope everyone is going to be thoughtful and not just protect their own part of the budget and offer up some areas for savings, Haridopolos said during a meeting with the media in the presidents conference room.
Revenues have been below projections for the past couple of several months. Haridopolos blamed the slowdown in spending in part on the federal debt limit debate.
I think were going to see the downward slide continue, Haridopolos said. Were not that optimistic at all, but were going to keep our pledge not to raise taxes, not to raise fees.
College tuition isnt included among the frozen fees. The shortfall isnt expected to impact the current years budget, Haridopolos said.
We put over $1 billion aside for a rainy day and that is one of the reasons we did that, he said. I hope we dont need to go to a special session, I dont see that big a shortfall at this point, but, again, its too early.
Rep. Denise Grimsley, R-Sebring, House Appropriations Committee chairwoman, said budget solutions should focus on incentivizing job growth and keeping the burden on Florida businesses low.
2012 is going to be another challenging year as we face a potential $2 billion shortfall," she stated in a release. "However, I am confident we will once again solve our budget challenges while keeping taxes low and encouraging private sector economic activity."
Sen. Mike Bennett, R-Bradenton, said the shortfall number could be as high as $3 billion as he commented on the future of funding for a state-sponsored drug treatment program during a Senate Justice Appropriations Committee meeting Thursday.
Members of the governors office, House and Senate are expected to meet Oct. 11 to revise the general-revenue numbers.
Last month, Amy Baker, coordinator of the Legislatures Office of Economic and Demographic Research, said revenue estimates for the 2012-13 fiscal year were starting to drop significantly.
The state had been looking at revenue to increase $1.2 billion above initial projections for the current budget year that ends June 30, 2012. The state also projected revenue would grow $1.7 billion the following fiscal year, potentially creating a $274 million surplus.
However, the preliminary August and September numbers have been lower than expected, Baker said.
Haridopolos addressed the potential shortfall while also stressing that the private sector in Florida has added 87,200 jobs since January, while the government has eliminated 15,600 positions, according to the National Bureau of Labor Statistics.
I think were on the right path, Haridopolos said. Our long-term goal is to create stability, where business owners, entrepreneurs will hopefully see Florida is the place to be.
He said the state has a long way to go and defended the decline in government jobs as a reflection of government budget cuts
I think everyones goal is can we operate the same government with fewer employees, Haridopolos said.
Reach Jim Turner at jturner@sunshinestatenews.com or at (850) 727-0859.
