The Worst 2011 State Budget Gaps

Source: National Conference of State Legislatures | Photo: AP The economic crisis has taken a toll on nearly every corner of the American economy, including the financial position of most US states. With shrinking tax revenues, some states are considering drastic measures to balance their budget. In the most recent state budget report from the National Conference of State Legislatures(NCSL), the highest estimates for the 2011 budget gap demonstrate how bad the situation could get in the coming year. In order to close their 2010 budget gaps, most US states have been forced to cut spending, increase taxes, sell bonds or look to the federal government for help. But if the nation's economic situation doesn't dramatically improve, states may face even more daunting gaps in their 2011 budgets. The NCSL highlights that although spending overruns are pinching state budgets, the principle cause of budget gaps is a steep drop-off in state revenues arising from lower-than-expected returns from income and sales taxes. States with the worst positions are ranked here according to the expected budget gap as a percentage of individual state general funds. So, which states are potentially facing the worst 2010 budget gaps? Here are the 15 that are expecting the toughest road ahead. By Paul ToscanoPosted 15 April 2010

Photo: Radius Images  | Getty Images Estimated FY 2011 Gap: $429 million Percent of General Fund: 15.1% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: Altrendo Travel | Getty Images Estimated FY 2011 Gap: $9.02 billion Percent of General Fund: 15.3% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: Richard Cummins | Getty Images Estimated FY 2011 Gap: $793 million Percent of General Fund: 15.4% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: Jumper | Photodisc | Getty Images Estimated FY 2011 Gap: $690 million Percent of General Fund: 15.8% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: Glowimages | Getty Images Estimated FY 2011 Gap: $2.27 billion Percent of General Fund: 17.2% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: Michael Snell | Robert Harding World Imagery | Getty Images Estimated FY 2011 Gap: $1.07 billionPercent of General Fund: 19.6%2011 Revenue Outlook: ConcernedDecreased Revenues Expected in 2011: No

Photo: Josiah Davidson | Photographer's Choice | Getty Images Estimated FY 2011 Gap: $765 million Percent of General Fund: 21.6% 2011 Revenue Outlook: Stable Decreased Revenues Expected in 2011: No

Estimated FY 2011 Gap: $267 million Percent of General Fund: 22% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: VisionsofAmerica/Joe Sohm | Getty Images Estimated FY 2011 Gap: $1.22 billionPercent of General Fund: 22.7%2011 Revenue Outlook: ConcernedDecreased Revenues Expected in 2011: No

Photo: Donovan Reese | Photodisc | Getty Images Estimated FY 2011 Gap: $4.77 billion Percent of General Fund: 25.5% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Estimated FY 2011 Gap: $3 billion Percent of General Fund: 30% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: VisionsofAmerica | Joe Sohm | Photodisc | Getty Images Estimated FY 2011 Gap: $11 billion Percent of General Fund: 33% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: TravelPix Ltd | The Image Bank | Getty Images Estimated FY 2011 Gap: $2.75 billionPercent of General Fund: 40.8%2011 Revenue Outlook: ConcernedDecreased Revenues Expected in 2011: No

Photo: VisionsofAmerica/Joe Sohm | Getty Images Estimated FY 2011 Gap: $1.81 billion Percent of General Fund: 45% 2011 Revenue Outlook: Concerned Decreased Revenues Expected in 2011: No

Photo: VisionsodAmerica | Joe Sohm | Photodisc | Getty Images Estimated FY 2011 Gap: $12.5 billion Percent of General Fund: 45% 2011 Revenue Outlook: Pessimistic Decreased Revenues Expected in 2011: Yes

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