Senate Republicans still want across-the-board cuts to state agencies, including education, to balance Medicaid. But most of the education cuts wouldn’t come until January 31, 2012. And if Governor Beshear attains 82 percent of his projected savings from Medicaid managed care before then, the legislature could rescind the cuts.
State Budget Director Mary Lassiter says if revenue growth continues on its current course, the state could end the fiscal year with a budget surplus of $58 million. But Senate budget chief Bob Leeper says Lassiter’s report is preliminary and contains many warnings.