State Budget Director Mary Lassiter is cautiously optimistic about Kentucky’s economic outlook. She told lawmakers in Frankfort revenue and road fund receipts are up, and unemployment is slightly down.
But Lassiter says even if the state meets fairly optimistic, predicted, growth rates for the biennium, it still will be digging itself out of a hole.
“Even with the growth we’re going to receive, it causes us to still be in a mode of retrenchment. And that was reflected in the enacted budget, where the budget includes reductions both in the first year and additional amounts in the second year of the biennium,” she said.
But Lassiter says Kentucky is faring better than many other states, which are carrying IOU’s, ordering mass layoffs and furloughs, and making deep cuts in education.