Gov. Kaine orders spending cuts - NBC12 - WWBT - Richmond, VA News On Your Side

Gov. Kaine orders spending cuts

From NBC12 News

Budget cuts could be on the way for state agencies.
   
Governor Tim Kaine is worried that Virginia might not be able to pay its bills. The state's fiscal year ended June 30th, with only $5.4 million left over.
 
It sounds like a lot, but it's only a cushion of .03 of a percentage point. 

The governor's spokesman said the economic trend is heading in the wrong direction and the state needed to take action now.

"We don't know exactly what the numbers are going to be, the year just started on July 1st, so it is pretty hard to say just how far the decline is going to be, but there is going to be a decline and we are doing our best to stay on top of it," says Gordon Hickey, spokesman for Gov. Kaine.

The governor has now sent a memo out with specific things the department heads can to do to save money.

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