One-time funds used to craft the fiscal year 2017 budget included the use of $144 million from the Rainy Day Fund and $32 million in agency revolving funds.

“In my mind, the $868 (million) more accurately reflects what the need is,” Doerflinger said.

Doerflinger said that because certain state agencies have pressing financial problems, such as the potential of furloughs within the Department of Public Safety, the budget hole is actually larger than $868 million.

The DPS is seeking a supplemental appropriation to get it through the current fiscal year.

“I think it is important for everyone to realize you are not cutting your way out of this situation,” Doerflinger said. “We have to have a serious conversation about revenue in this state. And I think you will see that in the governor’s executive budget.”

State agencies have taken significant cuts in the past few years due to the bleak budget picture. Some agencies have been cut as much as 40 percent since 2009, he said.

The state needs to look at additional revenue streams, such as expanding the sales tax to some services and eliminating some sales tax exemptions, Doerflinger said.