Good morning, Nashville. Two weeks ago, officials with Metro Schools predicted a $35 million budget shortfall for the 2010 fiscal year, but the number has since been raised to $38 million. On top of a sales tax revenue shortage, the district also shell out some extra cash for higher-than-predicted employee insurance rates and 300 new charter school students. Consequently, we can expect to see some serious cuts for Metro this year.

• New round of layoffs. Metro won’t be the only one making cuts, though; Governor Phil has confirmed that he will be announcing some new layoffs when he makes his State of the State address on February 9th.
• Nasty nasty. A power outage at a waste treatment plant near Chattanooga has sent raw sewage floating down the Tennessee River from three different locations. We sure feel for our neighbors in the ‘Noog this morning.
• Bits & pieces. The projected open date for the new medical mart downtown, which will be housed in the current convention center, has been bumped up from 2016 to 2013 … No, Governor Phil is not switching parties …  More updates on the Snow Situation on Friday … Lawmakers are mulling over a bill which would make it illegal to use taxpayer money to buy bottled water for the folks at the legislature.

Photo by urbanwoodchuck.