TOPEKA, Kan. (AP) — Gov. Sam Brownback has offered an optimistic outlook for the state while celebrating his impending second inauguration — even as he faces a budget hole of hundreds of millions of dollars.

More than 1,000 people attended Brownback’s inaugural ball Saturday, where he touted Kansas’ Republican leaders, small government and low taxes.

The Topeka Capital-Journal  reports that Brownback also declared his confidence in the Legislature ability to deal with the state’s issues.

Brownback will deliver his State of the State address Thursday and his spending plan Friday. He has said his budget is the start of the discussion and that the Legislature will decide “what they want to do.”

The budget gaps arose after aggressive personal income tax cuts enacted at Brownback’s urging in 2012 and 2013.