Regional
6:46 pm
Sat January 22, 2011

Texas Budget Cuts May Drive Local Property Tax Hikes

Texas – Texas schools, hospitals and jails are worried that cuts lawmakers want to make to the state budget could mean that they'll be left picking up the bill.

Lawmakers released the first draft of the state budget this week, and it included $27 billion in cuts. Like other states, Texas is facing a big shortfall brought on by the recession. Other states are proposing tax increases, but Texas lawmakers vow to block state tax hikes.

That means cities and county officials may consider raising property taxes to pay for services.

Analysts say schools would lose $9.8 billion and 100,000 jobs over the next two years. Hospitals and doctors are facing $2.8 billion in Medicaid cuts. And sheriffs are worried about cuts to mental health programs that inmates need.

Copyright 2011 The Associated Press.