General Assembly facing $67M gap for coming year - ABC6 - Providence, RI and New Bedford, MA News, Weather

General Assembly facing $67M gap for coming year

Posted: Updated:
By The Associated Press

news@abc6.com 
      
PROVIDENCE, R.I. (AP) _ Finance officials say Rhode Island lawmakers are facing an estimated $67 million budget hole for the coming fiscal year due largely to higher Medicaid costs and unbudgeted state employee pay increases.        

The House fiscal staff presented the figures to the Finance Committee Tuesday.
       
Factored in is $27.7 million for public-employee contracts including pay raises negotiated by the Chafee administration. The state's largest public-sector union has ratified the contract. Another one rejected it Monday.
       
Expanded human services caseloads, including Medicaid, are projected to cost $33.4 million more combined this year and next.        

Meanwhile, revenue is expected to be $16.2 million less this year than projected in November and $4.8 million more next year. Lottery revenue is down considerably from earlier estimates.        

Gov. Lincoln Chafee in January proposed an $8.5 billion budget.

(C) The Associated Press 2014
Powered by WorldNow

10 Orms Street Providence, R.I. 02904
401-453-8000

All content © Copyright 2000 - 2014 WorldNow and WLNE.
All Rights Reserved.

For more information on this site, please read our Privacy Policy and Terms of Service.