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Wed February 17, 2010
House Budget Agreement
Murray, KY – After weeks of behind-the-scenes work, Kentucky House leaders appear very close to agreement on a new state budget plan. As expected, the first year of the budget is dependent on another round of federal stimulus dollars, says Speaker Greg Stumbo.
"All the indicators are, that there will be. The President's recommended it. I sat with Cong Chandler Friday night and he thinks the President will approve it," Stumbo says. "It may not be called stimulus, but it will a form of aid."
Stumbo says the budget also relies on health insurance savings, reductions in personal service contracts and a return to non-merit employment levels of 2007. The plan avoids state employee layoffs and cuts to basic school funding, but may require universities to delay some capital projects. Stumbo hopes to unveil the proposal this week to the House Democratic Caucus.