Economic forecast resurrects specter of across-the-board cuts by Kulongoski | statesmanjournal.com

Federal aid to states that Congress cleared and President Obama signed a week ago will bring $261 million to Oregon. That still falls short of covering the gap left by the last forecast three months ago, and Kulongoski said he would not hesitate to again invoke his authority to cut spending across the board from the tax-supported general fund. However, Kulongoski said he and legislative leaders would work together to come up with an approach before the next quarterly economic and revenue forecast, which is scheduled for Aug. 26.