FRANKFORT, Ky. (AP) -- The Kentucky House has approved a proposed $17.5 billion two-year state budget that would cut education funding and trim the prison population by releasing nonviolent criminals on parole.

The spending plan passed Wednesday evening on a vote of 65-33.

The proposed budget includes about $1.3 billion in general fund bonding for construction projects aimed at creating thousands of jobs at a time of high unemployment.

State employees would go without pay raises, and the plan would revise state health insurance offerings at a projected savings of $150 million in the two years.

The legislation is House Bill 290.

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