07/08/24 - 115 New Stories - REAL Environmental & Conservation Leadership In PA: http://tinyurl.com/ype6tnrj
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Rendell: 1.9% Across-The-Board Cuts To Make Up $280 Million Budget Shortfall
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Gov. Rendell announced he is implementing his original plan to make up for the $280 million shortfall caused by a reduced federal appropriation for Medicaid funding. That plan includes-- -- An across-the-board cut of 1.9 percent in the state budget that would yield $212 million: 1.9 percent cut to "discretionary appropriations," including $50 million to basic education funding; 1.9 percent cut to the General Assembly, Courts and to elected row offices (Auditor General, Attorney General and State Treasurer);
-- Using $70 million from the proposed Marcellus Shale natural gas production severance tax.
The Governor said the "good news" is there will only be about 100 state worker layoffs as a result of a higher than expected number of retirements-- 2,000 more than a normal year-- of which 600 positions will not be filled. He did not have a list of which agencies would still suffer layoffs. A sheet distributed by the Governor's Office shows DEP would be cut by $2.4 million and DCNR cut by $1.5 million, but no individual line items were noted.
Over the last 8 years, $1.3 billion in environmental funding has been diverted to balance the budget or used to fund programs which could not get funding on their own.
Gov. Rendell also urged the Senate to pass House Bill 2497 (D.Evans-D-Philadelphia) to help deal with the state and school employee pension fund deficits and encouraged the Senate and House to use the $200 million in legislative account balances to help meet the pension deficits.
Last Friday, Senate Republicans wrote to Gov. Rendell agreeing with his suggestion to cut funding to certain line items and cutting $50 million in extra funds for basic education funding. But they went further and suggested the remaining $200 million in extra funding should be directed to deal with the school employees pension funding shortfall.
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8/23/2010 |
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