Gov. Kathleen Sebelius (D) announced recently that the state’s budget this year faces a $211 million shortfall, and the 2010 budget faces a shortfall of over $1 billion (out of $10 billion total). In addition to ordering 3% across-the-board cuts, Sebelius is also studying agency consolidation possibilities. Unable to make payments to school districts, the state in December began borrowing from various dedicated funds. More on Kansas here.