Paterson administration says state's on course for $315M deficit
Governor Paterson's budget office says thestate's on course for an estimated $315 million deficit in thecurrent fiscal year.
The Budget Division's mid-year financial plan update releasedTuesday blamed the anticipated deficit on the continued sluggisheconomy. However, the report said the state's fiscal health isbetter than the last two years, which saw mid-year budget deficitsof $3.2 billion in 2009-2010 and $1.5 billion in 2008-2009.
State Comptroller Thomas DiNapoli said the state budget hasfallen out of balance because of overly optimistic revenueprojections and higher than expected Medicaid spending.