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TALLAHASSEE — Like numerous households around the state, Florida lawmakers got a grim reminder last week that economic times aren’t improving anytime soon.

Meanwhile, a growing list of financial responsibilities including continued spending for class-size reduction and increased Medicaid costs continue despite a revenue picture that seems to darken every time state economists gather in a room.

Last month, state economists trimmed revenue estimates for the current fiscal year by $1.8 billion. Coupled with previous obligations, the trend could mean lawmakers will face a $3.5 billion shortfall when they return in March to craft a budget for the upcoming fiscal year that begins July 1.

In response to the state’s current financial straits, Gov. Charlie Crist last week announced he would tap into about $670 million in reserves to close the gap.

Lawmakers earlier this year approved a measure to allow Crist to tap into the rainy day fund and up to $1 billion more from a trust fund set up in the 1990s following the state’s historic settlement with the tobacco industry.

Crist said he plans to wait until economists meet again in November before deciding whether to tap deeper into state reserves. By some estimates, the state needs another $12.5 billion over the next three years to implement class-size reduction required by voters.

Medicaid costs are also expected to rise faster than inflation. So far, the Republican-led Legislature has ruled out any tax increase, which means more cuts will be necessary if the state is to produce a balanced budget.

Gustav shifts attention to points west

Gulf Coast emergency responders are turning their attentions from Florida as they look south and west toward a potentially more powerful storm.

As Hurricane Gustav churned across the Gulf of Mexico, emergency managers throughout the region were gearing up for potential landfall of the season’s first major hurricane to threaten the U.S. coastline. The storm’s current track takes it a bit west of Florida, much to the delight of many in the waterlogged region of Northwest Florida.

Gustav’s arrival comes as Florida officials still wait for waters to recede in some areas before damage estimates from Tropical Storm Fay’s record rainfall and flooding can be completed. But about $150 million has been tallied so far in at least 15 counties seeking federal aid.

Lee County officials are expected this week to conclude initial damage assessments and may likely seek federal assistance to help recover from the storm. Preliminary looks say flooding damage may be extensive in some areas but a detailed assessment is still a few days away.

Under the declaration, the Federal Emergency Management Agency picks up 75 percent of the tab for storm-related repairs and mitigation. Eligible repairs include debris removal, local infrastructure and amenities like parks and beaches.

Nonprofit agencies are also eligible as is damage to local utilities.

Along with FEMA assistance, Florida’s Agency for Workforce Innovation was awarded $20 million in emergency grants from the U.S. Department of Labor to provide temporary jobs and grants of up to $5,000 for businesses to recover.

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E-mail Michael Peltier at mpeltier1234@comcast.net