By Associated Press
Oklahoma City, OK – State leaders announce budget agreement
OKLAHOMA CITY (AP) Gov. Brad Henry and legislative leaders have reached agreement on a plan to address the $1 billion shortfall in the budget for the fiscal year that ends July 1.
Henry said Tuesday officials will use a combination of targeted cuts and reserve funds to balance the budget. Monthly allocations to state agencies will be cut 10 percent for the rest of fiscal year to reflect slumping revenue collections.
Agency allocations were cut 5 percent in August but the reductions were increased to 10 percent for December and January.
Education, health and public safety agencies will receive additional appropriations to supplement their budgets and reduce their share of the overall reduction.
Officials will use reserve dollars from the Rainy Day Fund and the state stimulus account to help balance the budget.
Copyright 2010 The Associated Press.