Friday, January 28, 2011

Budget cuts hitting home

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Budget cuts hitting home



Massachusetts Gov. Deval Patrick pauses to answer one last reporter's question as he leaves a news conference where he announced the state's fiscal 2012 budget at the Statehouse in Boston, Wednesday afternoon. Following Partick are Massachusetts Lt. Gov. Tim Cahill, center, and Administration and Finance Secretary Jay Gonzalez, left. (AP Photo/Stephan Savoia)



Area lawmakers knew bad news was coming and Wednesday they got it with the governor's $30.5 billion budget proposal that cuts local aid, reduces funding for homeless shelters and pares back money for state police.

Gov. Deval Patrick said the budget proposal is balanced, responsible and does not raise taxes to eliminate a deficit.

State Sen. James Timilty, D-Walpole, said legislators knew difficult choices were being made to balance the budget, so the cuts are no surprise.

"There was almost unanimous agreement that the budget was $1.5 billion out of whack. We were expecting it," he said.

That does not mean he is pleased with all the governor's budget decisions or that the House and Senate will not make changes. Timilty said one immediate red flag is a $6.2 million cut in the state police budget.

The Senate chairman of the Joint Public Safety Committee, Timilty said the state police are already understaffed, with 450 fewer troopers than in 2007.

Rising gasoline prices will put a further crimp in state police funding because the department uses a lot of fuel patrolling highways, he said.

State Rep. Betty Poirier, R-North Attleboro, said no one is happy about a $65 million reduction in state aid to cities and towns.

However, she said the impact is offset a little by Patrick's decision to allow cities and towns to join the state health care system without union approval, a move she said will save communities money.

"That seems to be the kind of thing cities and towns are looking for," she said. Poirier said legislators will have more a detailed response to the governor's budget after they study the document for a couple of days.

State Rep. George Ross, R-Attleboro, also said he needed more time to look over the spending plan.

But, he said, he is still holding out hope the Legislature and governor will agree to allow slot machines at racetracks to generate more revenue for cities and towns and offset local aid cuts.

Deborah Banda, Massachusetts director of AARP, said the budget cuts $9.8 million from the state Prescription Advantage program that helps the elderly pay for medicine, but the federal health care reform bill is making up for the loss.

She said 60,000 Massachusetts elderly residents will get 50 percent discounts on drugs this year, thanks to the federal law, and the percentage will increase in future years.

Patrick said his budget continues a decrease in the corporate tax rate while increasing education funding.

It dips into a state reserve fund to the tune of $200 million and cuts $570 million in spending. It also anticipates growth in revenue to balance the budget.

"This budget makes investments in critical areas that will help strengthen our economy in the near term, position us for a strong recovery in the long term, and continue to improve the way government does business," Patrick said.

Some of the highlights include:

An $80 million increase in the so-called "circuit breaker" to help pay for extraordinary special education expenses.

A $45 million cut in funding for legal counsel for the poor.

A $23 million reduction in spending on homeless shelters.

A reduction of 900 state jobs.

A total of $3.9 billion earmarked for education, a record amount.

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