Panel cuts budget
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Social programs, universities take hits
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Lawmakers slashed Gov. Bobby Jindal’s $30 billion state government spending plan by $120 million Sunday.
Most of the cuts in House Bill 1 — the budget legislation for the state spending year that begins July 1 — were to the Medicaid program and public colleges and universities.
For example, lawmakers trimmed $52 million in payments to private doctors and others who treat the poor.
Legislators recommended the cuts in answer to a push by so-called fiscal conservatives to rein in the growth of state government.
The budget still must be considered by the full House before the Senate gets a chance to put its stamp on the bill.
In the House Committee on Appropriation’s changes to the budget, Pennington Biomedical Research Center lost $3 million for studies on genetics, cancer, Alzheimer’s and disease prevention.
Another $2.5 million was whittled away from a pre-kindergarten program for 4-year-old students.
The Louisiana War Veterans Home in Jackson stands to lose $300,000 in funding.
The committee added spending to the budget, including about $15 million for food banks, councils on aging, museums, a Christmas festival, fire hydrants and a walking trail.
State Rep. Jim Fannin, D-Jonesboro and the budget bill sponsor, downplayed the health care and education reductions in the governor’s original state spending proposal.
He said the committee targeted spending that was budgeted to grow in the coming fiscal year rather than existing funding.
“Most of our cuts were reducing enhancements. I don’t think you can use the word ‘cuts’ too much,” said Fannin, who chairs the House Appropriations Committee.
The committee removed $420 million in one-time dollars that Jindal plugged into his proposed budget, mostly for health care expenses that will have to be paid year after year.
Recurring revenues come from a regular income source, such as taxes. One-time dollars comes from sources, such as grants or surplus funds, that are not expected to repeat every year.
The one-time dollars in the governor’s proposed budget were replaced with recurring funds by the House committee, Fannin said.
The changes also give the Legislature more wiggle room before reaching the ceiling on state spending.
The ceiling, called the expenditure limit, is calculated based on the growth in Louisiana’s personal income over three years. The limit curtails how much money legislators can spend in a year — even if funds are available for spending.
Raising the ceiling requires a two-thirds vote of the Legislature. Having already lifted the ceiling once this year, many legislators doubt there is much will to do it again.
Jindal’s proposed budget left the Legislature about $116 million under the expenditure limit. The committee’s changes would give lawmakers about $180 million to spend throughout the year — on unexpected expenses that pop up — before hitting the ceiling.
The committee’s changes to HB1 included several increases in funding for the Baton Rouge area. The increases include:
Most of the cuts in House Bill 1 — the budget legislation for the state spending year that begins July 1 — were to the Medicaid program and public colleges and universities.
For example, lawmakers trimmed $52 million in payments to private doctors and others who treat the poor.
Legislators recommended the cuts in answer to a push by so-called fiscal conservatives to rein in the growth of state government.
The budget still must be considered by the full House before the Senate gets a chance to put its stamp on the bill.
In the House Committee on Appropriation’s changes to the budget, Pennington Biomedical Research Center lost $3 million for studies on genetics, cancer, Alzheimer’s and disease prevention.
Another $2.5 million was whittled away from a pre-kindergarten program for 4-year-old students.
The Louisiana War Veterans Home in Jackson stands to lose $300,000 in funding.
The committee added spending to the budget, including about $15 million for food banks, councils on aging, museums, a Christmas festival, fire hydrants and a walking trail.
State Rep. Jim Fannin, D-Jonesboro and the budget bill sponsor, downplayed the health care and education reductions in the governor’s original state spending proposal.
He said the committee targeted spending that was budgeted to grow in the coming fiscal year rather than existing funding.
“Most of our cuts were reducing enhancements. I don’t think you can use the word ‘cuts’ too much,” said Fannin, who chairs the House Appropriations Committee.
The committee removed $420 million in one-time dollars that Jindal plugged into his proposed budget, mostly for health care expenses that will have to be paid year after year.
Recurring revenues come from a regular income source, such as taxes. One-time dollars comes from sources, such as grants or surplus funds, that are not expected to repeat every year.
The one-time dollars in the governor’s proposed budget were replaced with recurring funds by the House committee, Fannin said.
The changes also give the Legislature more wiggle room before reaching the ceiling on state spending.
The ceiling, called the expenditure limit, is calculated based on the growth in Louisiana’s personal income over three years. The limit curtails how much money legislators can spend in a year — even if funds are available for spending.
Raising the ceiling requires a two-thirds vote of the Legislature. Having already lifted the ceiling once this year, many legislators doubt there is much will to do it again.
Jindal’s proposed budget left the Legislature about $116 million under the expenditure limit. The committee’s changes would give lawmakers about $180 million to spend throughout the year — on unexpected expenses that pop up — before hitting the ceiling.
The committee’s changes to HB1 included several increases in funding for the Baton Rouge area. The increases include:
- $75,000 for the city of Zachary for an economic development master plan.
- $50,000 to the city of Central for economic development planning.
- $25,000 for the Louisiana Arts and Science Museum operations.
- $100,000 to improve the intersection at Florida and Sherwood Forest boulevards.
- $400,000 to improve Coursey Boulevard between Airline Highway and Jones Creek Road.
- $100,000 to improve the intersection at Jones Creek Road and Coursey Boulevard.
- $25,000 for equipment for the Baton Rouge Fire Department.
- $75,000 for the Pride Fire Department.
- $50,000 for park improvements for the city of Denham Springs.
- $50,000 to the McKinley High School Alumni Association for youth outreach activities.
- $20,000 to the American Muslim Mission of Baton Rouge for a year-round farmers market in old south Baton Rouge.
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