Kansas governor signs budget fix to get state through June

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TOPEKA, Kan. (AP) -

Kansas will use $291 million in internal government borrowing to avoid a deficit in its current budget and pay bills on time through June.

Republican Gov. Sam Brownback signed the budget bill into law Tuesday. The measure allows the state to avoid short-term cuts in aid to public schools, social services and other programs.

The state plans to liquidate a special investment fund and loan most of the proceeds to its main bank account to cover general spending before the fiscal year ends on June 30. The loan would be paid back over seven years.

Kansas would still face projected budget shortfalls totaling $989 million for the two years starting in July. However, the gaps could shrink Thursday after state officials and university economists issue new revenue projections.

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