Gov. Phil Bryant announced his proposed budget for fiscal year 2013-2014.
He unveiled a $5.8 billion dollar budget that includes no tax or fee increases.
It is a balanced spending proposal that recommends a 1.5 percent cut to most state agencies.
The Mississippi Highway Patrol, the Department of Public Safety, the National Guard and University of Mississippi Medical Center are exempt from cuts.
Level funding continues for the Mississippi Adequate Education Program with more than $24 million in new education funding.
Medicaid will receive more than $878 million dollars which the governor said must be reduced as it approaches the $1 billion dollar mark.
After the news conference the governor responded to Insurance Commissioner Mike Chaney's federal application for insurance exchanges through the president's Healthcare Reform Plan.
"I have again been against the expansion of Obamacare throughout the State of Mississippi. I believe the healthcare exchange is a portal for that. I'm worried about the federal government taking over that system, and I worry about expanding a large entitlement program in the State of Mississippi through what was to be a free market base system in the insurance exchange. So I'm disappointed," Bryant said.
The governor's plan is $2.5 million dollars more than last year's budget.
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