State Budgets Will be Tight Through 2011

According to Reed Construction Data's Jim Haughey, 13 states have budget reserves of one percent or less, thus making interim spending cuts inevitable.  Many states budgeted for additional stimulus funds, and they will have to trim their budgets if additional grants are not received.  Only 17 states have reserves of five percent or more, an amount that is enough to maintain spending even with budget shortfalls.  This means that most states will need to expect construction budget cuts. For more from Reed Construction Data, please click here.