TN budget shortfall skyrockets – Could shortfall have been 90% less by complying with the Constitution?

From The Tennessean:

State revenues have continue to sink in an ever-bleaker economy, with general fund revenues expected to be about $200 million below expectations through September and the state facing a possible shortfall this year of up to $800 million, Gov. Phil Bredesen said Monday.

The shortfall is now up to $800 million from a previous Bredesen projection of $300 million to $600 million.

Yet, as Bill Hobbs explains, Bredesen’s budget for this year was $723 million (90% of the shortfall) over the constitutional cap on spending.  In an earlier post, Hobbs explains that the Constitution prohibits growth in state government spending that exceeds growth in the state economy, as measured by the growth in people’s incomes in Tennessee.  That means – the state is not allowed to grow its spending any faster than our income grows.  Spending over the cap must be specifically set forth in a separate bill.  It appears that this amount was misrepresented in violation of state law to the tune of about $670 million.