OLYMPIA — State agencies were told to come up with plans to cut as much as 10 percent from their budgets because of “the distinct possibility we will face further revenue losses.”
A message to state directors from the Office of Financial Management said the June economic forecast projected some growth in the second year of the biennium. But the near-term economoic outlook has weakened since then, OFM Director Marty Brown said.
Because of that, Gov. Chris Gregoire wants agencies to prepare a list of “first-priority reductions” that would cut 5 percent from their budget, and a list of “second-priority reductions” that would cut an additional 5 percent.
The proposed cuts were needed to prepare the 2012 supplemental budget.