Gov. Bredesen: Stimulus has 'concealed' budget woes

Gov. Bredesen: Stimulus has 'concealed' budget woes

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NASHVILLE (AP) -- Gov. Phil Bredesen says the influx of federal stimulus money has "concealed" the extent of Tennessee's budget woes.

He is asking state departments to plan for six percent spending cuts when he holds budget hearings later in November.

Bredesen says he will also ask agencies to plan for a further three percent in cuts in case poor economic conditions require them.

Bredesen told reporters Monday that Tennessee is "a long way underwater with the stimulus holding us up at the moment. It's going to be a tough year."

The governor said requiring tough spending cuts will be all the more difficult as the economy shows signs of renewed growth.

Officials project the state's tax base won't return to 2008 levels until at least 2014.

Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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Gov. Bredesen: Stimulus has 'concealed' budget woes

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