Tennessee Budget Update
Tennessee Gov. Phil Bredesen asks the various department of state government to prepare for a 5 percent budget trim next year, continuing the fiscal discipline that restored Tennessee to a balanced budget with no new taxes in one year - after the previous administration whined for four years that it couldn't be done.

Early forecasts show tax growth next year generating about $350 million, (Finance commissioner David] Goetz said, ''but there're always more needs than there are revenues.''

The only bad news: The Bredesen administration is already making plans to spend this year's surplus - rather than save it in a rainy day fund for next year or rebate the excess tax collections to taxpayers.