Governor-elect Terry Branstad and incoming Department of Management Director Dave Roederer said Thursday that state expenditures are expected to exceed revenues by $605 million in Fiscal Year 2012 – more than twice as large as the gap projected by the nonpartisan Legislative Services Agency.
“We’ve got a big challenge,” Branstad said. “A lot of one-time money has been used for ongoing expenses. We want to stop what we consider to be bad budgeting practices and really get us back into an affordable, sustainable way to deliver the best quality services in the most efficient and economical way that we can.”
In a budget presentation Thursday at the Capitol to reporters and editors, Roederer said the projected budget “deficit” would be $1 billion for Fiscal Year 2013, nearly $1.2 billion for Fiscal Year 2014, and $1.3 billion for Fiscal Year 2015.
