Jindal, Obama talk Louisiana issues

• By MICHELLE MILLHOLLON
• Advocate Capitol News Bureau
• Published: Dec 3, 2008 - UPDATED: 12:03 a.m.

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KENNER — Gov. Bobby Jindal said Tuesday night he got a chance to talk about topics important to Louisiana with President-elect Barack Obama during a two-hour governors’ meeting in Philadelphia.

Jindal said at a brief news conference upon his return from the meeting that he raised the issues of disaster funding, Medicaid assistance and coastal restoration.

Obama invited the nation’s governors to Philadelphia for a hastily called meeting to discuss the economy. He promised swift action on a plan to solve the economic crisis and ease the burden on states, most of which are facing large budget deficits.

“This administration does not intend to delay in getting you the help that we need,” Obama told the governors.

Louisiana is facing a $1.3 billion shortfall for the state budget year that starts July 1. California’s deficit is expected to reach $28 billion in less than two years. Ohio’s budget hole is $7.3 billion over 24 months.

A rise in unemployment, escalating health-care costs and an increased demand for social services are straining states’ resources.

State officials are asking for $40 billion for health-care costs and $136 billion for infrastructure. They are pushing for the aid to be included in an economic package that congressional leaders want to be ready for Obama’s signature after he is sworn into office in Jan 20.

The Democrats’ package is expected to include tax cuts, increased food stamp payments and money for road and bridge projects.

Jindal started preparing for Louisiana’s budget problems by halting some state government hiring in a bid to save $25 million. State agencies are being told to expect budget cuts — such as the elimination of programs — in the upcoming fiscal year.

Like officials in other states, Louisiana leaders are not banking on a brisk holiday shopping season to ease the budget crunch.

Ohio Gov. Ted Strickland urged Obama to back nearly $130 billion in funding to help state governments and U.S. automakers.

Obama has set a goal of saving or creating 2.5 million jobs to boost the economy, which experts say has been in recession for the past year. His aides and congressional leaders have been discussing the outlines of a measure that could exceed $500 billion over two years.