Carcieri to release supplemental budget

PROVIDENCE—Gov. Don Carcieri is set to unveil a budget plan that’s designed to close a massive deficit.

Rhode Island faces a serious financial crisis as a tanking economy drives down tax revenue and departments overspend.

Carcieri plans to unveil his budget plan during a televised speech Wednesday night. The plan seeks to close a $357 million shortfall for the year ending in June, more than 10 percent of expected state spending.

Fiscal experts for the General Assembly expect an even bigger deficit next year.

In a written statement released Monday, Carcieri said Rhode Island faces unprecedented budget challenges that will require difficult decisions. He would not elaborate.

Carcieri has warned cities and towns to prepare for reductions in state aid.