Remember that $994 million budget deficit?
Well, it's down to $682 million. Gov. Tim Pawlenty signed a bill Thursday to cut $312 million from the state budget. The bill eliminated one-third of the deficit by making cuts in 10 areas of the budget, including higher education, public safety and aid to cities and counties. Most legislative leaders considered these the easiest cuts of the session. When lawmakers return from Easter and Passover break next week, they will point their budget-cutting knife toward the enormous budgets for health and human services and K-12 education. Pawlenty and other Republican leaders have been critical of DFLers for taking on the cuts in chunks. On Thursday, at a news conference to sign a separate bill that creates a plethora of tax breaks to spur job growth, the governor framed this first bite of the budget apple as progress. "It represents good work, good progress and pretty good relations so far," he said. Pawlenty and legislative budget leaders are waiting for word on another $408 million the federal government could be sending to the state. If that comes through, the deficit withers to a more manageable $274 million.
