1. 2005-07 Budget Outlook House Committee on Appropriations Office of Program Research December 2, 2004

2. Fund Balance $491 $22,000 $22,500 $23,000 $23,500 $24,000 $24,500 $25,000 $25,500 $26,000 $26,500 $27,000 $27,500 $28,000 Resources Spending Ending Fund Balance $300 Higher Ed Enrollment $54 Mental Health $81 Vendor Rate $128 Home Health Care Worker Contract $35 Salary Increases (not bargained) $89 Collectively Bargained Salary Increases $102 2003-05 GFS Appropriation $23,246 Health Benefits $369 Maintenance Level $25,602 2005-07 Revenue Estimate $24,722 Budget Gap $1.5 Billion Dollars in Millions For 2005-07, Resources are expected to total $25.21 Billion On the spending side of the ledger, the carry forward cost of the 2003- 05 budget is $23.88 billion I-732 $133 MAA $498 Pensions $615 All Other $471 Mandatory Rate Increases as well as caseload changes in entitlement programs (maintenance Level), Total $1.71 billion 2005-07 Carry-forward $639 Spending Limit $24,941 2005-07 Budget Outlook In addition, the Legislature may elect to fund a number of discretionary items such as: Assuming these items were all funded by the Legislature, the budget gap would be $1.5 billion The State Expenditure Limit, assuming a $150 m supplemental budget, would be $24.9 billion

3. $22,000 $22,500 $23,000 $23,500 $24,000 $24,500 $25,000 $25,500 $26,000 $26,500 $27,000 $27,500 $28,000 Dollars in Millions Fund Balance $491 Resources Spending 2003-05 GFS Appropriation $23,246 2005-07 Revenue Estimate $24,722 Budget Gap $1.5 Billion Ending Fund Balance $300 Higher Ed Enrollment $54 Mental Health $81 Vendor Rate $128 Home Health Care Worker Contract $35 Salary Increases (not bargained) $89 Collectively Bargained Salary Increases $102 Health Benefits $369 I-732 $133 MAA $498 Pensions $615 All Other $471 2005-07 Carry-forward $639 Spending Limit $24,941 2005-07 Budget Outlook $0 $5,000.0 $10,000.0 $15,000.0 $20,000.0 $25,000.0 $30,000.0 $25,212.8 $26,761.1