Governor Bentley declares proration - WBRC FOX6 News - Birmingham, AL

Governor Bentley declares proration

MONTGOMERY, AL (WBRC) - Gov. Robert Bentley on Monday declared proration on the state's education budget and announced plans to do the same to the general fund budget.

In a statement to FOX6 News from the governor's office, Gov. Bentley declared three percent proration in the current education budget. In addition, he announced plans to declare 15 percent proration in the state's general fund budget. He said he would do so after working with the legislature for supplemental appropriations to protect priority agencies that provide necessary and critical services.  

"Both our Education Trust Fund and our state's General Fund budgets are based on unreliable revenue projections," said Governor Bentley in the statement. "Now, five months into the 2011 Fiscal Year, it is clear that there is not enough revenue to sustain either budget. Proration is necessary to balance the budgets."

Gov. Bentley said the current Education Trust Fund budget has a $165 million shortfall while the current General Fund budget has a $110 million shortfall.

"The taxpayers expect us to live within our means just as families and businesses are forced to do," said Finance Director David Perry in the statement. "No one is pleased that we have a revenue shortfall which requires proration in the budgets that were passed last year, but mid-year cuts are necessary for Alabama to meet its constitutional obligation for a balanced budget."

Proration in the Education Trust Fund is effective immediately.

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