Politics on the Hudson

    Gov. David Paterson will deliver what is predicted to be a devastating budget Tuesday, as the state struggles with a deficit of $1.75 billion for this fiscal year (which ends March 31) and more than $13 billion for 2009-10. The state’s fiscal crisis, largely brought on by the crash on Wall Street, means there will be an austerity budget and potentially large cuts to Medicaid and schools.

   Paterson implemented a hiring freeze (with some exceptions) over the summer.In light of the state’s financial woes, Paterson is submitting his budget about a month earlier than governors usually do. That will give lawmakers, who have the final say on the state spending plan, more time to craft one. They are supposed to reach an agreement by March 31.

   The governor’s presentation of the budget begins at 11 a.m. in Albany. A live webcast will be available at www.ny.gov/governor/webcast so the public can view the address.