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TALLAHASSEE, Fla. - Incoming House Speaker Ray Sansom said he expects Florida's budget deficit to increase by another $700 million, but still believes a special legislative session won't be needed to address the shortfall.
Forecasts by state economists have consistently underestimated state revenues over recent years due to a worsening economic slump. They expect the revenue estimate to drop again when they next meet Nov. 21 to revise the figure.
If Sansom, R-Destin, is right about the upcoming estimate, this year's deficit would grow to $2 billion and drop total spending to $64 billion. The Florida Constitution prohibits deficit spending. Lawmakers last year held a special session to cut spending and comply with that provision.
Sansom, who officially becomes speaker at a reorganization session Nov. 18, said that shouldn't be necessary this year because of actions already taken by Gov. Charlie Crist and the Legislature.
Anticipating more revenue problems, Crist directed state agencies to hold back 4 percent of their spending even before the budget took effect July 1.
Lawmakers also included a provision in the budget that lets Crist and the Legislative Budget Council, made up of select House and Senate members, to tap reserves and borrow from a trust fund that invests money from Florida's settlement with the tobacco industry for future use on health and children's programs.
The council in September partly reduced the deficit by taking $672 million out of the reserve fund — half of its total — but so far hasn't used any tobacco money.
"I still believe that we can balance the budget with transfers from trust funds and making the 4 percent holdback permanent" when the Legislature meets in regular session in March, Sansom said Wednesday.
Democrats disagree with the 4 percent across-the-board cut, said Rep. Ron Saunders, D-Key West. They prefer targeted cuts.
"It rewards inefficient agencies and it penalizes efficient ones," said Saunders, a former House budget chairman. "You've got agencies that are life and death agencies. An agency that provides health care to the disabled, for example, where if you cut that budget they may die."
Community colleges also shouldn't be cut, Saunders said. When times are bad more people enroll to learn new job skills.
Saunders, though, said he expects Sansom to focus more on budget issues because he's also been a budget chairman and that he'll be less partisan than outgoing Speaker Marco Rubio, R-West Miami.

