Forecast: Indiana tax receipts to be $1.8 billion lower than expected

Niki Kelly, The Journal Gazette

neklly@jg.net

INDIANAPOLIS - Gov. Mitch Daniels said Tuesday that K-12 schools will be cut by at least $300 million statewide to cope with crumbling state finances.

Calling the cuts a "last resort," the governor also conceded spending virtually all of the state's reserves to balance the biennial budget.