[nfbwatlk] Gov. Gregoire proposes solution to current state budget deficit, Governor's Press Release, December 17 2010
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From: nfbwatlk-bounces at nfbnet.org [mailto:nfbwatlk-bounces at nfbnet.org] On
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Sent: Monday, December 20, 2010 9:00 AM
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Subject: [nfbwatlk] Gov. Gregoire proposes solution to current state budget
deficit, Governor's Press Release, December 17 2010
Gov. Gregoire proposes solution to current state budget deficit
For Immediate Release: December 17, 2010
Supplemental budget builds on actions by Legislature in special session
OLYMPIA - Gov. Chris Gregoire today proposed a supplemental budget to
address shortfalls in the current budget caused by the slow economic
recovery. This proposal applies to the budget in effect until June 30, 2011.
The governor's budget proposal builds on legislative action taken last week
during a one-day special session. Bills passed by the Legislature enacted
$588 million in savings against a $1.1 billion shortfall. The deficit was
created when the state lost more than $1 billion in the last two revenue
forecasts and costs continued to rise for mandatory services.
"My supplemental budget takes the next step to solving the shortfall we now
face," Gregoire said. "The cuts we have to take are just as painful as those
in my budget for next biennium. I urge the members of the Legislature to
take quick action on my proposal when they convene in January to prevent
cuts from having to be even deeper."
Many of the proposed reductions are similar to those in the 2011-13 budget
the governor unveiled Wednesday but they take effect sooner, including:
* Elimination of additional state funds for kindergarten through 4th grade
class size reduction efforts for the entire 2010-11 school year, saving
* Reducing levy equalization payments to eligible districts by 6.287 percent
for Fiscal Year 2011, saving $18.0 million.
* Shifting part of the June 2011 apportionment payment to school districts
from the last business day of June 2011 to the first business day of July
2011. This will result in $253 million in savings in the 2009-11 budget.
* Elimination of the Basic Health Plan beginning March 1, 2011. All
insurance subsidized through the Basic Health Plan will be eliminated, which
affects 66,000 individuals, saving $26.8 million in General Fund-State and
$21.3 million in other funds.
* Elimination of the Disability Lifeline Grant and Medical programs, saving
$43.5 million in GF-S and $22.6 million in federal funds.
The governor announced her 2011-13 budget and transformative reforms earlier
in the week, including plans for controlling costs in pensions and health
care as well as consolidating central service, natural resource and civil
rights offices and agencies. Additional reforms will be announced in early
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