After a week of speculation about a possible government shutdown, state legislators agreed to pass another round of budget extenders – complete with nearly $326 million of new spending cuts – that will keep government running, at least for this week.
The actions, which took place late Monday night, June 14, saw three State Senate Republicans vote in favor of the budget extenders – something that was critical for its passage since Bronx Democrat Rueben Diaz Sr. voted against the extenders.
This week’s cuts, which were approved by a 34-27 margin in the State Senate and a much wider margin in the Assembly, cut nearly $326 million from programs largely associated with mental health and social services.
For the past few weeks, Governor David Paterson has put spending cuts in the budget extender bills, which are necessary to keep state government running absent of a budget agreement that is more than two and a half months late.
State legislators are up in Albany trying to come to an agreement to close a $9.2 billion shortfall the state is facing this year, and Paterson warned that the next two years look even worse with stimulus funding running out. Paterson said that next year’s deficit could be $14 billion and the following year $19 billion.
During an interview on WCNY’s Capital Pressroom radio show on Tuesday, June 15, Paterson said that his administration is reconsidering a plan that would lay off state workers in 2011 and move up those dates to 2010. Paterson said he is still discussing how many layoffs would have to occur with the savings that could be achieved by workers retiring.
“I don’t want to lay people off,” said Paterson, who said he spent his whole career trying to create jobs for people. “We’re trying to adjust to a crisis.”
Meanwhile, Paterson said he planned to issue regular budget bills in the areas of economic development, public protection and transportation to the Legislature on Wednesday, June 16, and “the Legislature can pass them or see them in the budget extenders.”
The next showdown, which will likely come this week and continue over the weekend unless a final budget deal is reached, is shaping up over proposed cuts to education.
“If they [the Legislature] can restore the amount they want to restore to education and want to cut it from somewhere else, that’s fine with me,” Paterson said.
