Missouri Gov. Jay Nixon is expected in coming weeks to announce cuts in the $23 billion operating budget for fiscal 2010 due to new estimates showing revenue could fall up to $370 million short of previous estimates.
The new estimates that show income and sales taxes declining were presented by budget director Linda Lubbering. They show a projected revenue decline of $7.4 billion in the next fiscal year, which begins July 1. The governor could tap some of the state’s federal aid but he is expected to instead rely heavily on cuts.