http://www.wsws.org/articles/2011/jan2011/stat-j24.shtmlAccording to a report from the Center on Budget and Policy Priorities (CBPP), 22 states are already projecting budget shortfalls totaling $70 billion for fiscal year 2013, which begins 17 months from now. The report, which was updated January 21, predicts that this number is likely to grow and will persist into the future.
Even before the budget shortfalls of 2012 and 2013, states have closed budget gaps totaling some $430 billion in the past three years. All states but Vermont have laws requiring balanced budgets.
When the drying up of federal stimulus funds is taken into account, the CBPP projects that state budget shortfalls nationwide could exceed $140 billion in fiscal year 2012. While states utilized a total of $158 billion in Recovery Act dollars for 2009, 2010 and 2011 combined, only $6 billion remains available for 2012. The
CBPP report estimates that these state budget gaps could threaten 850,000 jobs next year.
The following are just a few of the largest projected budget gaps for 2010:
California—$25.4 billion (29.2 percent of FY2011 budget)
Illinois—$15 billion (44.9 percent of FY2011 budget)
Nevada—$1.5 billion (45.2 percent of FY2011 budget)
New Jersey—$10.5 billion (37.4 percent of FY2011 budget)
Texas—$13.4 billion (31.5 percent of FY2011 budget)
The scope of the deficits faced by many states means that the austerity measures required to balance these budgets will take on drastic proportions. The vast majority of states, 46, have already made substantial reductions in services, with these cuts falling disproportionately on poor and working class families. Added to this, enhanced Medicaid funding that has been extended for six months through the end of June 2011 will soon expire for most states.
http://www.wsws.org/articles/2011/jan2011/stat-j24.shtml