Stimu-less


President Barack Obama's recovery act adviser said today that states that already slogged through budget cuts could face more tough choices when stimulus money runs out.

"It's going to stop at some point," said Ed DeSeve, special adviser to the president for American Recovery and Reinvestment Act implementation, reports Mark Johnson.

He estimated another 12 to 18 months of "activity" under the plan. It would take a rapid recovery for state revenue to replace the $288 billion in stimulus funding to the states. If Congress doesn't pass another round of stimulus, "states will have hard choices," DeSeve said.

He said the administration has not yet decided whether to recommend another round of recovery funds.

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