Wednesday, April 16 2014 10:54 PM EDT2014-04-17 02:54:16 GMT
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FRANKFORT, Ky. (AP) -- An improving economy will mean more tax revenue flowing into Kentucky's General Fund. But lawmakers are being told it won't be enough to cover the cost of shoring up government pension plans and a cash-starved education system.
Gov. Steve Beshear warns more budget cuts could be on the way to free up money for schools.
That's even though the state's top economists are predicting General Fund revenue will grow by nearly $500 million over the next two-year budget cycle.
Beshear and lawmakers will have to begin putting $200 million a year into the pension system to restore its solvency.
Beshear says he wants more money for schools, and says that could mean cuts elsewhere.
The Department of Education has asked lawmakers for an additional $336 million to restore funding to pre-recession levels.
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