Sunday, June 3, 2012

Senate looks to gut $1B from budget - Charlotte Business Journal:

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That would include $417 million in targetedf cuts to agency budgets resulting ina still-to-be-determined numbed of state job reductions, Senate GOP leaders said Friday as they unveiled their plan to balance the two-yea budget that begins July 1. Their budget bill woulfd trim morethan $1 billiobn from the $114 billion spending plan passed by the Democrat-controlled Ohio Hous in April. At the same time, Senate Republicans said their budget proposa would boost spending for primary and secondart schools rather than cut funding for them as proposecin House-approved budget. It would raise funding for graded K-12 school district by 0.
25 percent in fisca 2010 compared to the current year andanother 0.5 percen in 2011. Senate Republicans also rejected Gov. Ted Strickland’s sweepintg evidence-based school reform plan, callingb it “fundamentally flawed” because it is based on school staffing needs instead ofstudent needs. They want the governor’s propose education model to be reviewed by a bipartisan study council. Senate President Bill Harris, R-Ashland, said he wants the where Republicans holda 21-12 majority, to pass a budgey bill June 4 or 5.
That would set the stags for a House-Senate conferencre committee to hash out the differences in their versionxs of the bill and present a balance d budgetfor Strickland’s signature by a June 30 deadlind set by state law. “We want to work with the governofrand House,” Harris said, “t o do what is right for this great state. This budget is part of Like theHouse version, the Senate Republicans’ bill does not call for tax increasess and safeguards the broad tax reforms favored by the business community and approved by legislatorx in 2005. It also protects a two-yeart tuition freeze at community colleges, such as Columbusa State, and one-year freeze and 3.
5 percent cap on increasee in fiscal 2011at four-year state including , that were proposed by Strickland and passed by the Senate Republicans were able to providew such safeguards despite having to work with $912 million less than what the Houswe had counted on when it passeed its budget bill. The revenue shortfall becamer apparent in early May when the Strickland administration reportede state income tax receipts through Aprio 30 were 15 percent lower than a year ago and well beloewthe administration’s revised budget forecasty in December.
Besides the $417 million in cuts for stated agencies, Senate Republican budget-balancinbg moves include mandating $42 million in cost-containment measures for the Medicaidr health-care program for the poor and lockinbgin $200 million in agencty service cuts ordered by Stricklaned earlier this year. “We think spendin more money is notthe answer,” Harrise said. “The answer is getting more Ohioan back to work and helping more businesses and industriees in Ohiobe successful.” • Eliminating 34 proposed fee increases for employers, including ones affecting the coal, agriculture and construction industries.
• Requiring state regulatoryu agencies to eliminate bureaucracy and red tapefor • Holding the line on new health-cars mandates that drive up the cost of health insurance for employers. Eliminating a proposed fee ofapproximately $8 milliojn per year for the disposal of constructionj and demolition debris. • Preserving fundingf for the and Ohio State University Extension for researcn andinnovation programs. • Enhancing a $100 milliom film tax credit to attract the motion picture industryto • Supporting expansion of the state’s Job Retentiob Tax Credit and Technology Investmenr Tax Credit.
• Providinhg more funding for state Rapids Outreach grants to attract and retain businessesin

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