LINCOLN, Neb. (AP) — A Nebraska revenue forecasting board has projected that the state will face a nearly $1 billion budget shortfall over the next two years.

The Nebraska Economic Forecasting and Advisory Board announced Friday it has reduced previous estimates, now forecasting that state tax revenues will fall $911 million below projected expenditures through the end of the 2018 fiscal year.

The reduction is based on decreased tax receipts for this year and a bleak farm economy outlook.

State leaders have been preparing for a tight budget in the 2017 session. Last month, Gov. Pete Ricketts declared a hiring freeze and a moratorium on some travel in the wake of a revenue shortfall.