JEFFERSON CITY, Mo. (AP) The Latest on Missouri Gov. Eric Greitens’ budget proposal released Thursday for the 2018 fiscal year:

12:15 p.m.

Missouri Gov. Eric Greitens says tax credits and high costs for health care have caused state budget problems.

During his budget announcement Thursday at a Nixa public school, Greitens blamed increasing demands for health care on the federal law enacted under President Barack Obama.

Related story: Right-to-Work Bill Passed by Legislature, Sent to Greitens’ Desk

He said that’s strained the state budget.

Greitens is proposing $3.3 billion in basic aid to K-12 public schools, an increase over this year but still less than what’s called for under state law.

He’s also proposing public colleges and universities get less than they were originally budgeted to receive this year.

Greitens says those schools can tighten their belts and find ways to deal with less money.

Greitens also touted modest increases for programs for children with “special needs” and resources for law enforcement.

11:10 a.m.

Missouri Gov. Eric Greitens is proposing a $27.6 billion budget that includes a slight increase in funding for public K-12 schools while continuing recent cuts to higher education institutions.

Greitens’ proposal for the 2018 budget year was released online Thursday shortly before he was to deliver a speech about it at a school in the southwest Missouri town of Nixa.

His plan would provide $3.3 billion of basic aid to public elementary and secondary schools, an increase of about $3 million but still short of what’s called for under state law.

Public colleges and universities would get less than they were originally budgeted to receive this year, essentially continuing at least part of the mid-year spending cuts Greitens has made since taking office in January.

The budget recommends no pay raises for state workers.

12:05 a.m.

Missouri Gov. Eric Greitens is laying out his plans for the state budget amid financial strain and lagging revenue.

Greitens is to announce his proposed budget Thursday at a Nixa public school. He broke from tradition by not outlining his budget during his January State of the State address.

Greitens’ budget proposal will come during what’s shaping up to be a challenging time for state finances. Revenues so far this fiscal year have been lower than expected, and hundreds of millions of dollars have been cut to balance this year’s budget.

Greitens took office in January and already has cut roughly $146 million. His predecessor, Democratic Gov. Jay Nixon, cut about $200 million from this year’s budget before leaving office.

Lawmakers will consider Greitens’ proposal as they work to craft next fiscal year’s budget.

(Copyright 2017 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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