Utah Faces $1.6 Billion Budget Surplus this Year

Utah Faces $1.6 Billion Budget Surplus this Year


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Richard Piatt ReportingThe Governor is proposing the largest state budget ever for next year: 10.7 billion dollars.

Jon Huntsman's annual take on the state's financial situation also comes with a big, pleasant surprise this year.

The good times are here! According to the Governor, the state surplus is at a healthy 1.6 billion dollars.

The question now is: How will the Legislature spread it around?

Governor Huntsman outlined details of his proposal for the public today. His plan calls for significant increases in almost every area, including places that normally beg for money.

Governor's 2008 Budget Proposal
Total: $10.7 Billion
Education: 18.2% increase
- All Day Kindergarten
- Teacher Raises/Bonus
- Reduced Class Size
- New Technology

That includes public education, which the Governor gives a whopping 18.2 percent increase. That's enough to institute all day kindergarten. But it also addresses teacher salaries, class size, and outdated books and technology.

The Governor says education is a keystone of the budget, and the state's largest teachers union agrees.

Governor Huntsman: "Utah school kids, and by extension, teachers, are definitely on Santa's good list this year."

Kim Campbell, Utah Education Association: "The percentage of education funding has been dropping. And this changes that trajectory. And to me that's the most encouraging thing, is that it starts to build and look to the future and really looks at education as an investment."

2008 Proposed Increases
-More Tax Reform
-Higher Education
-Transportation
-Open Space Preservation
-Medicaid Dental/Vision Restored

The Governor's budget also calls stepping up tax reform; for increases in higher education, transportation projects and open space preservation. And it restores dental and vision benefits for Medicare patients in Utah.

The State's doing well--the Governor's budget reflects that. Now, the Legislature will get a crack at it, starting in about a month.

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