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Wednesday, January 05, 2005

New slogan to solve budget problems

[Scott Rothschild, "Kansas to begin 2005 in the black," The Lawrence Journal-World, 5 January 2005.
Scott Rothschild, "New state slogan not as secret as thought," The Lawrence Journal-World, 5 January 2005.]

The good news is that the new legislative session is opening with a budget that is in the black, but there are still plenty of hurdles to overcome:

When Kansas lawmakers return Monday for the 2005 legislative session, the state will have recorded a balance of about $327 million in its reserves, which is 7.6 percent of expenditures.

"We're making some progress, but we still have these cost drivers," said Senate President-elect Steve Morris, R-Hugoton, who was chairman of the Senate budget committee.

Caseload increases in Medicaid have grown by about $400 million over the past five years; the state's contribution to the state pension system and debt payments on pension bonds are accelerating, and in next year's budget the state will start paying off research bonds at regents universities.

Pension payments and Medicaid "are the two biggest obstacles we have in being able to have more flexibility in our budget," Morris said.

In addition, the state base aid per pupil in public schools has remained at the same level for the past four years. On Monday, the Kansas Supreme Court ordered an unspecified increase in public school funding, which makes up about half of the state budget.

Fortunately, state officials are one step ahead of the game, planning to unveil a new state slogan on Friday that will attract business and investment and take the state's economy to new heights:

"KANSAS. As big as you think" will be the slogan anchoring a drive to boost the image of Kansas and attract more tourists and businesses.

State budget staff said the Commerce Department received $700,000 in economic development funds from lottery sales for the state brand image campaign. Lunsford said the final tab for the project could be more, but she declined to provide any further information about the project prior to Friday's news conferences.


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