Gibbons considering increasing salary reductions

Gov. Jim Gibbons said today that because of the deepening state recession he is considering increasing the salary reductions for state employees, teachers and others beyond the 6 percent he proposed in January.

Gibbons said he expects the state Economic Forum tomorrow will project state revenue over the next two years will be $350 million to $500 million less than what the forum projected in December.

Gibbons built his $6.17 billion general fund budget based on those projections.

To meet an additional $350 million shortfall, Gibbons would have to reduce state employee salaries by 11 percent.

Gibbons reiterated he will veto any proposal coming out of the Legislature that would raise taxes.