Brighter Futures Begin with HOPE.

Governor Barbour’s budget recommendation for FY 2012, released yesterday, calls for more cuts in response to the ongoing budget crisis. The Governor’s budget recommendation is required by law to be submitted to the Legislature in advance of the legislative session. The Joint Legislative Budget Committee will also submit a recommendation, which will be used as the starting point for debates on Appropriations for Fiscal Year (FY) 2012.

The recommendation calls for most agencies to have an additional 8 percent cut in state funds. The Governor recommends level funding for FY 2012 for the Mississippi Adequate Education Program (MAEP), which funds state schools but includes some federal funding in the FY 2012 budget that was awarded during this budget year and falls far short of fully funding MAEP. Though economists report that the recession has ended, many Mississippi families are still struggling with unemployment, and state agencies are still dealing with the resulting increased demand for services.

Meanwhile, federal stimulus funds are ending and state revenues have not yet recovered. After successive rounds of state budget cuts, according to the Executive Budget Recommendation, most state agencies are operating with 15-30 percent less annual funding than they had three years ago. According to the Governor, the state faces a $634 million shortfall for FY 2012 and an “enormous structural shortfall” that will persist for several years.

Throughout the recommendation, the Governor aptly illustrates the depth and breadth of the state’s ongoing revenue problem but falls well short of providing a balanced approach to solving the state budget crisis. The cuts will mean, among other things, more layoffs, closure of mental health facilities, and larger class sizes. A continued cuts only approach, instead of a balanced approach that includes revenues, will continue to limit our ability to invest in recovery through education.

Look for more detailed analysis of the Governor’s Budget Recommendation throughout the week on our website.