Arizona advisory panel to meet on state of economy

Just months into the current fiscal year, Arizona’s budget picture is again grim as lawmakers prepare to hear new economic forecasts.

Lawmakers assemble at the Capitol on Wednesday for a meeting of government and private economists who advise revenue forecasters preparing for the Legislature’s budget work during the next legislative session.

Budget analysts have already said the current $8.5 billion state budget could face a midyear shortfall of up to $700 million if voters reject two ballot propositions that would sweep money from special-purpose funds into the general fund.

And there’s a projected $1 billion shortfall anticipated for the next fiscal year and bigger ones after that.