Last week Governor Granholm announced some deep cuts to programs and department across the state. The bad news: there is more to come.

State agencies could see as much as a twenty percent cut to their budgets. This, on top of the ten percent cut they are already facing.

Director of the State Budget Office Bob Emerson said these cuts will be difficult for each department to deal with but they are necessary.

"We've asked [the state agencies] for a twenty percent cut because we basically have a $700 billion revenue estimate from the Department of Treasury," said Emerson. "We expect a $1.4 billion deficit so we need to trim that 1.4 which is about twenty percent of $700 billion."

While the state is looking for ways to trim the fat, these cuts mean more layoffs for people who are already struggling. Patrick Anderson, CEO of Anderson Economics said the budget has been a perennial problem.

"Every year for at least the last four years, I've pointed out at the beginning of the year that we adopted a budget that we couldn't fund and we've pushed the problem doen the road and it got bigger and bigger and bigger," said Anderson.

The governor is asking all agencies to submit their budget plans by the end of the month.