ALBANY - Gov. Eliot Spitzer and state lawmakers say they'll have about $250 million less to spend than projected in the governor's state budget proposal.

In a joint statement released late Saturday, the governor and legislative leaders said they have reached a consensus on how much revenue will be available to them as they work through the state's spending plan for the budget year beginning in April.

Spitzer has proposed $124 billion in state spending.

Last week, leaders in the Republican-led state Senate said they believed there would be an additional $99 million available to spend beyond what the governor had proposed. At the same time, leaders in the Democrat-controlled Assembly predicted a recession and $615 million less to spend.

Now, after hearing testimony from economic experts last week, they all agree that a weakening economy will likely result in $250 million less revenue than Spitzer's budget division predicted.

The revenue consensus reached Saturday - which was required by state budget reforms enacted last year - will help frame the debate in the legislature that will determine how much New Yorkers will pay into, and get from, their state government.

Spitzer's proposed budget would increase spending by 4.8 percent - twice the inflation rate - and fill a $4.7 billion deficit for the fiscal year beginning April 1.

The governor's spending plan relies on $304.5 million from new or increased fees. And while it doesn't propose raising any “broad-based taxes” like those on income and retail sales, Spitzer's budget does include changes in several existing tax laws in a way that he says would generate an additional $434 million.