Nixon cuts another $51 million from budget amid slow revenue growth

In what could be one of his final acts on the state budget, Missouri Gov. Jay Nixon pared another $51 million in state spending Wednesday, citing slower-than-projected growth in state revenues.

The governor, who leaves office next month, said the move was needed to keep the state’s $27 billion budget balanced at a time when year-to-date tax collections have increased by just 2.6 percent over last year.

The cuts include nearly $43 million for the Medicaid health care program and $8.8 million in bonding authority. Nixon said the spending wasn’t needed because of savings achieved by his administration.

Since the beginning of the fiscal year on July 1, Nixon, a Democrat, has cut $201 million from the state’s spending blueprint in response to the lagging revenues and attempts by the GOP-controlled legislature to provide tax incentives to various businesses.

Read more: St. Louis Post-Dispatch, St. Louis Public Radio

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