Worries about making state budget cuts

Last week I spent four days in Helena pouring over our budget problems.

Too many numbers, but I appreciate interim committees because we so often work in a non-partisan way.

Revenue estimates are way down.

Our Constitution says that the budget must balance with revenue estimates.

Our statutes have rules for when we fall below a certain cushion.

That is why the governor has asked for a 5 percent cut in general fund spending.

He cannot ask for cuts more than 10 percent without calling a special session.

No one wants to see that.

Some things cannot be cut, for example, school base aid and interest payments.

The legislative revenue analyst and the governor's analysts do not agree.

The major difference is the rate of corporate recovery.

The governor's budget director David Ewer talked about the corporate America and corporate Montana recovery happening later this year.

Nearly every larger corporation in our area is out of business.

In Montana, we rely on small businesses and these are now in serious trouble.

I am optimistic that we will recover from this recession; I just think we need to be realistic about the time frame.

So far, 2008 has been our top year in revenue. Predictions are that we will not see that level again until 2015.

To keep state government services at the current level, we need an increase every year.

So, what do we cut? Everyone seems to be in favor of reducing government until it comes to their program.

I'm afraid that this time everyone will feel the hurt.

I am specifically worried about the places in our last budget where we used stimulus dollars to replace general fund dollars.

This will be a huge hole going into the 2011 session.

Also, some of the governor's budget director's proposals are to delay long range building and water projects across the state.

This leaves money in the pot, but actually doesn't reduce the budget. Still, if the money's spent, it's gone.

Ewer spoke about "protecting the core." Too often that means protecting the Helena bureaucracy.

There was no 5 percent reduction in the Public Defender system, the Department of Corrections (by the way, they did negotiate a contract pay increase) and the Department of Revenue.

Did you vote for the healthy Montana kid's initiative?

The program went into effect last July 1 and has seen only 3,713 additions since then.

The CHIPs number has slightly decreased, but more have been moved to the Medicaid program that has a higher federal match.

Where are the 29,000 needy children?

Our Department of Public Health and Human Services has been actively recruiting and advertising.

Here's the real problem. According to the initiative, the money just amasses – this year $15 million and the numbers for the next four years are $26, $28, $24 and $20 million.

Before you vote to raise the tobacco tax again, check out exactly where the money will go and how much to each program.

I get far too many high gloss brochures about the tobacco programs already.

On a personal note, my favorite bridge partner, Vida Winkley, passed away last month just short of her 99th birthday.

Also, we lost my three-time campaign treasurer, Jack Meuli.

Please continue to contact me. E-mail jannataylor@montana.com, call 849-6096 or write PO Box 233, Dayton, MT 59914.

Taylor, a Republican from Dayton, is the representative for House District 11 to the Montana Legislature.