Gov. Phil Bredesen says the influx of federal stimulus money has "concealed" the extent of Tennessee's budget woes and he is asking state departments to plan for 6 percent spending cuts when he holds budget hearings later this month.
Bredesen says he will also ask agencies to plan for a further 3 percent in cuts in case poor economic conditions require them.
Bredesen told reporters Monday that Tennessee is "a long way underwater with the stimulus holding us up at the moment. It's going to be a tough year."
The governor said requiring tough spending cuts will be all the more difficult as the economy shows signs of renewed growth.
Officials project the state's tax base won't return to 2008 levels until at least 2014.
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