Kentucky officials say their budget is going to be $300 million short this year.
The problem is being caused by "high gas prices, problems in the housing industry and low employment statewide." A hiring freeze, cutbacks in spending and similar measures will be used to deal with the shortfall and state leaders say they don't expect to have to cut jobs.
New revenue estimates in Oklahoma and Rhode Island are telling a similar story while California is considering a 10 percent budget cut.
It appears more bad news is yet to come. The White House says things are slowing down and we've yet to deal with the money being spent on the occupation of Iraq. Even China, which has had a booming economy, expects to be tightening its belt.
But, alas, all is not gloom and doom.
George Bush leaves office in 2009.
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