Contact Us

State Budget Deficit For Mid-Year 2018 Is Up To $1.5 Billion

State Capitol at Dusk (wikimedia commons)
State Capitol at Dusk (wikimedia commons)

The state’s budget deficit for fiscal year 2018, which begins next July, is up to 1.5 billion dollars.

Most of the shortfall is due to the loss of temporary taxes. Rising costs and inflationary expenses also make up the budget gap. But Jonesboro Senator Jim Fannin questions why inflation is included in the fiscal cliff deficit.

“It would be a lot better to have real numbers rather then these inflated projected numbers that just scares everybody,” Fannin said.

Fannin made his comments during Friday’s joint legislative budget committee. Barry Dusse, with the governor’s budget office, responded that inflationary dollars are added to the budget deficit projection, because state law requires them to do so.

“This is strictly arithmetic and to give everybody a tool of what future years would look like,” Dusse said.

The previous budget deficit estimate was 1.2 billion dollars. Fannin questions why the deficit has been increased to 1.5 billion dollars, when legislators do not have to fund inflationary costs.

“Everytime I turn the TV on there’s no inflation in the country, but we are going to bill this in. It’s not something we have to fund next year if we don’t want to, we didn’t fund it this year.”

An agreement between the governor and legislators on how to close the budget gap has yet to be reached and it will likely take a special session to do so.

Best of Classic Rock 105.1

Recommended For You

Best of the Web

Leave a Comment

It appears that you already have an account created within our VIP network of sites on . To keep your personal information safe, we need to verify that it's really you. To activate your account, please confirm your password. When you have confirmed your password, you will be able to log in through Facebook on both sites.

Forgot your password?

*Please note that your prizes and activities will not be shared between programs within our VIP network.

It appears that you already have an account on this site associated with . To connect your existing account just click on the account activation button below. You will maintain your existing VIP profile. After you do this, you will be able to always log in to using your original account information.

*Please note that your prizes and activities will not be shared between programs within our VIP network.

Please fill out the information below to help us provide you a better experience.

(Forgot your password?)

Not a member? Sign up here

Sign up for Classic Rock 105.1 quickly by connecting your Facebook account. It's just as secure and no password to remember!

Sign up to have exclusive access to contests, events, coupons, presales, and much more delivered to you for FREE.