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SALT LAKE CITY (AP) -- When the Utah Legislature considers a final budget proposal during its final four days, it will likely have minimal cuts and leave the state's reserve fund mostly untouched.
That's the type of budget proposal Utah legislators have not seen in a couple of years, and a proposal many other states would envy.
After all, according to a report from the National Governors Association, 14 states have reserve funds that are less than one percent of their overall budgets. And 35 states face budget shortfalls, according to the National Conference of State Legislatures.
There are some cuts in Utah's budget, most notably about $7 million to Utah State Prison that will result in the release of as many as 380 prisoners and 75 employees. The number of released prisoners will likely be lower, however, because of increased funding to house state prisoners in county jails.
A few state-run liquor stores will probably close, primarily in urban areas that have other stores within a couple of miles.
Overall, the $12 billion budget is essentially flat, with an additional $50 million proposed for public education and about $37 million for Medicaid growth.
Senate Budget Chairman Lyle Hillyard, R-Logan, described it as a responsible budget that sets up the state for next year, especially if the economy's slow recovery stalls.
Hillyard said a lot of efficiencies were discovered because of the budget process this year, which required agencies to build initial budgets with 7 percent cuts.
"We have really reallocated quite a bit," he said. "It was not a wasted effort."
Hillyard said a key achievement in the budget is the elimination of almost the entire $300 million budget imbalance created when the state used reserve funds and federal stimulus money to fund ongoing programs.
Democratic leaders are cautiously in support of the budget proposal, primarily because of the education and Medicaid funding.
Senate Minority Leader Ross Romero, D-Salt Lake City, said the biggest hole left to be filled is giving full funding to higher education and possibly bonding for some new buildings.
"This is a great time to bond. Interest rates are low and construction prices are low," Romero said.
House Majority Whip Greg Hughes, R-Draper, says there is no appetite among House Republicans for bonding, however.
(Copyright 2011 by The Associated Press. All Rights Reserved.)
