Legislators entered the Capitol Auditorium Tuesday to the sound of the blues -- first, the music of Jimmy Rogers' compositions, then officials' dire predictions of a dismal budget year.

The Legislative Fiscal Office told lawmakers at a budget briefing that they project a shortfall of $170 million in the current Gener­al Fund budget. Next year's budget looks even worse, with a projected shortfall of $366 million, a 29 percent year-to-year drop. The losses could mean state employee layoffs and cuts in state services.

In his State of the State speech Tuesday night, Gov. Robert Bentley said he would tackle the shortfall by merging some state agencies and using modern technol-ogy to save the government money. He did not discuss specific cuts or merger pro­posals. The governor's pro­posed 2013 budget is sched­uled to be unveiled Wednesday.

State Finance Director Marquita Davis told legisla­tors that the governor's of­fice was urging state agen­cies to find savings in the hopes of avoiding the short­fall. However, she added, they would not wait forever.