The Kentucky State Budget
In January, Kentucky governor Ernie Fletcher presented his proposed budget for the state’s fiscal years 2005 and 2006, (The biennial budget process generally occurs in every even-numbered year.) The governor’s budget focuses primarily on expenditures from the general fund. That fund accounts for nearly 40% of the state’s total revenues, most of which are collected from sales taxes and individual income taxes. The remaining 60% of revenues are restricted in various ways. For instance, fuel tax receipts are earmarked primarily for constructing and maintaining state highways and interstates; most federal government dollars are used for social welfare programs.
Suggested citation: "The Kentucky State Budget," Federal Reserve Bank of Cleveland, Economic Trends, no. 04-05, pp. 15, 05.01.2004.