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Daniels: More Budget Cuts Possible

Indiana Governor Mitch Daniels is warning that more state budget cuts could be necessary if state revenues continue to fall short of expectations.

Daniels says tax collections for the first quarter of the new fiscal year were $254 million below projections.The state budget approved this past summer already cuts most agency spending by about ten percent. The governor says no additional cuts are planned for now."We will watch revenues a little longer, and secondly, we're going to be in touch with the forecasting committee to see if they see anything we don't, if they see prospects of a more rapid recovery that this data seems to suggest," Daniels said Thursday.Daniels says he will not consider a tax increase, even if revenues continue to slide.

Rick Howlett is host of WFPL's weekly talk show, "In Conversation." Email Rick at rhowlett@lpm.org.