LFC Offers Budget Gap "Recommendations"

John Arthur Smith

Capitol Report New Mexico - The Legislative Finance Committee (LFC) released its budget recommendations for the 2011-2012 fiscal year on Friday (Jan. 7), with lawmakers calling for a state budget 3.5 percent smaller than the previous fiscal year, although Medicaid funding jumped a whopping 42.2 percent due to the loss of federal stimulus funds. The LFC recommendations are just that — recommendations — and new Gov. Susana Martinez and her administration will turn in their own suggestions Monday, Jan. 10. “This is only half the equation,” Sen. John Arthur Smith (D-Deming) said Friday. “We’ll see what the governor says and then we’ll get to work.” The legislature convenes on Jan. 18 and together with the governor’s office, lawmakers need to hammer out a budget deal to address the state’s deficit, which is estimated between $250 million-$400 million.

Overall, the LFC recommendations shave $193.7 million from the budget and is 11.5 percent (or $705.5 million) leaner than the 2009 fiscal budget. Read full story here:

LFC Offers Budget Gap "Recommendations"