Mississippi Gov. Haley Barbour (R) said education and health care — areas that escaped an initial round of budget cuts in November — will feel the pain this next time around.
The governor told the politically split Legislature in his state of the state address Jan. 13 that the state needs to cut $175 million to $310 million to add to the $42 million in cuts made in November. Education will see a 2 percent reduction, while other state agencies will be cut 5 percent.
Barbour asked legislators to consider a proposal he pushed last year to increase the tax on hospitals to pay for Medicaid. That plan failed as lawmakers debated whether to raise the hospital tax or the cigarette tax.
The governor also asked lawmakers to bolster the rainy-day fund and to be careful of spending that money too quickly. He called it “essential” that the fund last at least four years to prepare for tough times.
He said his top priority is economic development.
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