State takes yet another hit to the budget

State takes yet another hit to the budget

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Story Published: Jul 1, 2009 at 1:30 PM PST

Story Updated: Jul 1, 2009 at 1:30 PM PST

By Associated Press

OLYMPIA, Wash. (AP) — Higher demand for government services, particularly health programs, is pushing Washington's state budget deeper into the red amid the lingering recession.

A fresh estimate of state caseloads shows government costs will increase about $250 million more than previously expected. That's on top of a roughly $200 million shortfall recently pegged to a drop in tax collections.

Democratic Gov. Chris Gregoire's administration is ordering steps Wednesday to deal with part of the shortfall. But the balance may have to wait until January, when the Legislature returns to work.

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