“A lot of economists have said that five years is really the time that it takes to have a full and accurate and complete understanding of the impact,” Jon Hummell, Gov. Sam Brownback’s acting budget director, said about the state’s income tax cuts. But does the state have enough cash reserves to make it until then? Former state budget director Duane Goossen noted that the state expects to take in $5.856 billion in revenue this fiscal year but has an approved general fund budget of $5.964 billion, or a $108 million deficit. Next fiscal year, the Kansas Legislative Research Department estimates that the deficit spending will total $204 million. If spending and revenue rates continue, the state will run out of cash reserves within four years. Better-than-projected revenue growth could delay or avoid these shortfalls. Then again, the estimates don’t count any additional education spending that might be necessary due to the school-funding lawsuit.
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