JUNEAU -- The Alaska Legislature approved a $9.1 billion operating budget Sunday.
House Finance Co-chairman Alan Austerman said the budget came in below the targets set by legislative leaders.
"The objective that I was given was to try to lower the governor's budget, particularly in the unrestricted general funds, to $50 million below what the governor had," he said. "I'm quite proud to announce today that we are on general funds, $51,382,000 below what the governor had given us. We met our objectives."
"There's been a little blurp up in the production of oil. The latest projections is that we will still be over $2 billion short for this coming FY 14 budget," he said.
For the fiscal year that begins in July, he said the deficit would be in the $1 billion range.
"I think it's very important to continue and try to maintain a reduced budget till we can get through this period of time when our revenues are in a deficit," Austerman said.
The House approved the budget unanimously. In the Senate, the vote was 14-4. Senate Finance Co-chairman Pete Kelly also said the goal of cutting spending in agency operations was achieved. "It met the agency reduction of $50 million that we had set out originally. Education is being done outside this," he said, as was the $3 billion payment to the public employees' and teachers' retirement systems.
"The final budget is made up of $5.8 billion in state general funds, $2 billion in federal funds and $1.3 billion in other funds. Yet to be negotiated increases to education funding will be placed in the capital budget," a House majority press release said.