AUGUSTA, Maine — Maine Gov. John Baldacci said state revenues are showing a slight improvement, but that there’s still a need to reduce state spending.

In his weekly radio address Saturday, Baldacci reiterated his support for structural reforms and a smaller, more-efficient government as work on the state budget moves toward a close in the Legislature.

Lawmakers must bring the budget into balance to close a $360 million revenue gap. Even though revenues have shown an uptick, Baldacci said government must be “right-sized” while protecting the state’s most vulnerable residents.