The Governor’s budget recommendations were released today. According to Governor McDonnell:
“All the cuts give me heartburn,” McDonnell said at a news conference. “All of them were difficult because I know that behind every cut there is a Virginian . . . that might be affected.”
Some of the lowlights from the governor’s cuts are as follows:
- $730 million in reductions to k-12 education
- Up to 10 unpaid furlough days for state workers
- Freezing enrollment in a health insurance program for low income children and pregnant women
- Increased employment contribution to the state pension program.
- Eliminate funding for the state school breakfast program for low income children.
Some of the highlights include
On the other side of the employees’ proposed unpaid days off, McDonnell wants to give them a 3 percent Christmas bonus in December 2011.
He also wants to eliminate former Gov. Timothy M. Kaine’s proposal under which state employees would be required to contribute 1 percent of their salaries to their retirement plans in fiscal 2011 and 2 percent in fiscal 2012.
Details haven’t been worked out and there are definitely other programs on the chopping block. The General Assembly now has to get down to business. According to House Majority Leader Morgan Griffith, R-Salem in the Richmond Times Dispatch:
McDonnell’s recommendations were welcome.
“We all are going to have a lot of tough decisions,” Griffith said. “Ours may not be the same tough decisions the governor makes, but we’re all trying to get to the best budget we can get with the money we have and all ideas are.”
Griffith also agreed with the governor about unfreezing the LCI formula. according to the Roanoke Times.
House Majority Leader Morgan Griffith, R-Salem, defended McDonnell’s decision to lift a proposed freeze on adjusting the state’s local composite index school funding formula. The composite index measures a locality’s ability to pay for its public schools, and Kaine had proposed delaying an adjustment to the formula in his December budget. Lifting the freeze will steer more money to Northern Virginia at the expense of other localities, but Griffith said the governor is right to propose the change.
“If we start saying when it benefits another region of the state that we don’t like it, then in a couple of years they may do away with it and we’ll be getting the short end of the stick,” Griffith said. “It’s helped us for 30 years. It hurts us this year. But I suspect it will help us for 30 years in the future, and messing with it and playing games with it in a single year is foolish.”
Much will unfold over the next week or so as far as budget cuts. Most of us will be unhappy over something. People will attempt to defend their own turfs. In most cases it won’t always be possible. However, these are tough times and we knew it was coming. Feel free to add to the list in this thread as we find out more proposals by the governor or the General Assembly.
With the POSSIBLE exception of the 730 million (need to know more about that), these are highlights, interpreted by the over-partisan left as lowlights. Upset about our entitlements going away? Listen to Joe “the drunken Irishman” Biden, it’s time to get some skin in the game. I know it’s very upsetting to think that pain has to be felt someone other than taxpayers. This is very important for folks who think relying on the government for their meal ticket is the acme of honor, what the government gives, the government can take away. You know, we should have over health care to them. What could go wrong? So far, the cuts sound perfect, save for being too little. Bet I could come up with a lot more real fast. Way to go, Governor!
Free breakfast at school? Give me a break. I love the Democrat response…..”let’s just raise taxes!”……what a slime-ball.
Wait ’till the bill comes due on the current administration’s reckless spending….you’ll think these were the “good-ole days”!
Its fine to just screw over state employees and kids, I suppose, in the world of slowpoke. I hope you never lose your job. I hope your kids always have plenty to eat.
You are aware that some kids don’t have enough to eat? You are aware that the only meals some of them get are the ones they get at school? I don’t think they wear it as a badge of honor that they have to go hungry nor is it their fault. Shame on you, Slowpoke.
You seem to have a ‘let them eat cake’ attitute. May your tail be caught in a mouse trap.
Conservatives believe in charity…Liberals believe in charity with everybody else’s money. There is not one ounce of nobility in that. Forced giving through the IRS, who just made a huge purchase of Remington 870 shotguns, to dispense “Hope and Change Shells”
And Moon, it is only very rarely that anyone here ever comments on you, personally.
Breakfast is the most important meal of the day.
I looked up the breakfast program because I wasn’t familiar with it. The state wasn’t providing a free breakfast. Virginia was paying the schools a 20 cents per breakfast meal supplement to encourage the districts to offer the program to children who needed it. The districts paid the rest of the costs. The school districts just starting getting that 20 cents within the last couple of years. Before that, they were on their own for the entire amount.
It sounds like it is the 20 cents supplement that would be cut, not the whole meal. It will be up to the districts to decide to offer the meal or not. It didn’t affect free and reduced lunch program that is a federal program.
I hope that districts realize how a breakfast can affect test scores and will come up with the funding.
There is back and forth all the time Slowpoke, Lately it has just taken a tone that I don’t care much for. No one ever said ‘on.’
As for the lowlight budget cuts, most people, including the governor, find them hard core. Paying for retirement contributions? That seems like a normal part of having a job benefit to me. Working all the days your business is open? Seems normal to me. If you are hired for a job paying $75k and then get told to only report 240 instead of 250 days and take $3000 less, then you are being asked to do something most people aren’t.
Plenty of other people besides liberals believe in feeding hungry kids. Hungry kids don’t learn. Oh well, there’s always the lunch problem that has been around before 1950 or so.
Most people are concerned about the money lost from local education. There are still state and federal mandated programs. It will be interesting to see how this all works out or how many kids will be in a class.
Again, very few people are cheering the budget cuts.
Anona, thanks very much for that information. I was not familiar with it. I thought it was an extention of the lunch program that is federal.
I hope the localities will continue the breakfast program also. Hungry kids don’t learn. So many kids have to leave the house at ungodly times. Paying kids can participate also and many do.
Is there any federal breakfast program?
How many jobs could be saved if instead of school breakfasts the money was diverted to education?
The schools have an obligation to educate not provide for a nutrion program.
God forbid parents take care of feeding their kids, right?
Schools long ago took on some social responsibility.
Providing school lunch has been a federal program since right after WWII.
I know nothing about the breakfast program other than it exists. I always thought it was federal.
I have no problem with asking kids to kick in 20 cents per breakfast. If there is truly a kid who doesn’t have it, PTAs could have a fund for truly indigent kids.
I would like to see the breakfast program stay though. Hungry kids don’t learn as well.
Marin, there is some discussion in the RTD about changes to state employee VRS contributions. I am confused over who pays what though. Here is the link:
http://www2.timesdispatch.com/rtd/news/state_regional/state_regional_govtpolitics/article/MCDO18_20100217-222606/325099/
I also dont really see much difference in forced furlough and raising taxes. Its just a sneaky way to redistribute wealth. Same with forcing state and local employees to pay their own VRS. They don’t have a choice. They must be enrolled in VRS.
Boy I sure as heck see a difference! And hey, redistributing the wealth is what it’s all about these days, right?
Some people don’t have the means. Some people are mentally ill. Some people are homeless. Some people are heavily involved with substance abuse. Some people don’t have jobs. But you knew that.
The kids from these families are the innocent victims.
@Moon-howler
I wish the article was clearer — shoddy reporting.
As I understand it the state is lowering the amount of money it puts into VRS and forcing the counties to put forth more money. It’s a burden shift. State wide its a good thing, county wide it’ll take more money out of education to put into benefits.
I could be wrong but that’s how I’m reading the article. It’s just really poorly worded.
Forced furlough isn’t really like forced (raised) taxation. When you (govt) furlough an employee they don’t get pay, you can’t tax them on pay they don’t get and reduced spending from that person which impacts other people.
It’s usually used in a last resort but workers prefer it over RIFs.
You see how much the school system spends on food (not just breakfast) and services related to serving that food? So much money down the tubes.
A school system has to provide a minimum level of education (if taxpayers want and can afford it – you can provide a higher level) and I don’t believe food services to be tied into education.
Moon, I am curious, please name a social support, income redistribution or other entitlement that you would do away with in these trying times. My understanding is that tax cuts have consistently resulted in greater public revenues through greater economic activity, but I have never heard of any public revenue increases being generated by a voluntary option to pay more taxes.
To Moons point; it looks like VRS may be raided to help with the budget.
From RTP:
And in recommending that the legislature drain cash from the retirement system, which now manages about $48 billion in assets to support former state and local employees, McDonnell would increase the pension fund’s future liability.
“It does dig the hole somewhat deeper,” said VRS Executive Director Robert P. Schultze. Ultimately, the reduced contributions proposed by McDonnell will have to be made up in future budgets.
I’m not thrilled with that but looks like it’d be legal.
Taxpayer, I am not sure I understand your question. You are aware that I haven’t had an opinion on any of the budget cuts?
Marin, I agree with your earlier statement that the section on VRS was poorly written. I read it several times and came away thinking I needed remedial reading. It was VERY unclear.
I sure didn’t see that latest about raiding the till in VRS. Any money taken out is also money not in some hedge fun earning money also. It should be illegal. I thought it was made illegal a few years ago but that might have been wishful thinking.
Most liberals never met an opportunity to commit other people’s money that they don’t like. State Employee pension funds……ask Mexifornia and Illinois about what those union-negotiated liabilities are doing to the state budgets.
Forced furlough….@ marin, If I am a state employee and stay home 1 day in an involuntary furlough, I lose $300. It is like paying a tax other than I can’t write it off. I would rather be taxed. What difference does it make WHY you are losing $300 out of your pay check.
@Moon-howler
Kaine wanted to lock box funds (campaign promise) but it never happened. Thats why gas taxes are a bad idea – it just goes to the general fund so can go to anything.
True about the ‘what difference does it make’ but if you ask a state employee if they’d rather take a furlough or a chance of being terminated – which do you believe they’d choose? With over 140,000 state employees there just isn’t enough money to fund everything. Something has to give.
I heard something yesterday which gave me considerable pause. The elementary school near me is very heavy with the children of recent immigrants, most of whom get a free or reduced price breakfast and lunch at the school. When the snow storms hit last week and the school administrators knew that we were in for an extended closure period, they gave most of the kids back packs filled with food to take home and put in the microwave. The rationale was that the immigrant parents would probably not be at home and that, even if they were, they tend to give the kids too much fast food or too much snack food rather that the nourishing meals they get at schools. Hence the reason for the microwavable food contributions, which reportedly were provided by local charities. Now, I am not someone who would ever deny a kid of any kind something decent to eat; but it looks like we have moved from feeding the kids in school to feeding them in some instances at home as well. You talk about a welfare state! I detect a radical change in the landscape around here.
If charity donated the food, then I don’t consider it a welfare state. If the school did this, then yes, I would say welfare state.
I have rarely heard of such a thing.
Marin, I am not saying it shouldn’t happen. I am thinking out loud. 10 days is a lot of money and is very much like a tax. Rather than saying 10 days or being fired, let’s compare 10 days to being taxed $3000. I would rather pay $ 10 or whatever my fair share is so that doesn’t happen to a person. Secondly, if the person was taxed $3000, at least it would be a tax write off.
Marin, so the state wants to pick VRS clean? Can you find a link to that?
Slow, your assault on those who receive VRS benefits is off the mark. Years ago, most employers offered a defined pension plan to most employees. As the financial system changed, along with the working careers of individuals (most people now have several different jobs in their lifetimes instead of staying with one employer), investment options were offered in the private sector while the public sector maintained the pension program. That benefit was offered as a condition of employment, just as a military pension is offered. In Virginia, the typical VRS benefactor, starting out of college, has to work until age 55 to earn full benefits, that’s about 34 years. Thats a lot of work.
In addition, the VRS indicator (the multiplier used to figure out the pension benefit) is a paltry 1.7% per year of service. In contrast, Fairfax County’s (they do not participate in VRS) multiplier is 3% per year, Manassas City’s VRS multiplier is 1.8%. Prince William only offers the base VRS multiplier of 1.7% to its employees. In contrast, California offers between 3% and 4% per year multiplier.
The last time I checked in 2009, Virginia’s retirement service (VRS) indicator of 1.7% was 47th out of 50 States. Virginia even trailed Mississippi. How sad is that?
Sorry Slowpoke, nobody is getting wealthy living off of a VRS pension. While the money has been very well managed, Gov. McDonnell should keep his hands off of the cash, lest Virginia eventually winds up like “Mexifornia” (your term) owing more money in the future than they should because of short sighted shell games with people’s retirement.
@Lucky Duck
I know that the VRS thing and what’s happening with pensions in other states was not the same, and although I get by reading it that someone would assume that’s what I was saying, it wasn’t. But credit where it’s due, your response was a darn fine one. Most folks other than moon come back at me with the most ridiculous stuff, but I gotta say, your response was just about perfect. My hat’s off to you (not that it means anything, or anyone cares).
I didn’t notice the word “Lowlights” in the Richmond Newspaper. Who’s word was that?
@lucky Duck
I liked the response too, Lucky Duck. Perhaps you could tell us how the green eyed greedy state monster is planning on borrowing from the VRS?
Marin and I have been chatting the subject and our reference was so poorly written both of us sort of gave it up.
Thanks Slow.
@Slow, I called all the budget cuts lowlights. (instead of highlights) I could have said bulleted points I suppose. I don’t think anyone is happy about all the budget cuts. I called McDonnell giving back to the employees highlights.
The term lowlights did not appear in any paper I read. Those were my own words. Did I answer your question?
Lucky duck, one more question please, why are the multipliers different? How come City of Manassas is 1.8 and PWC 1.7?
Moon, more information about VRS and some of the rates state/counties pay can be found here. VERY eye opening. http://hamptonroads.com/2009/12/economy-sank-virginia-retirement-payments-soared
LuckyDuck, WPost shows that VRS has been underfunded by the State since 2005 using ‘creative accounting’ http://www.washingtonpost.com/wp-dyn/content/article/2010/02/18/AR2010021800007.html. This is a far cry from saying that VRS has been ‘well managed’.
Moon, the URL for the story talking about a proposed drain on VRS is http://www2.timesdispatch.com/rtd/news/state_regional/state_regional_govtpolitics/article/MCDO18S1_20100217-222807/325110/. I want to say that I think I read that the state employees union supports the drain to maintain jobs today on the hopes that future taxes/taxpayers will be able to fund the shortage.
The smart move – but one that’s almost political suicide – is to terminate future enrollment into VRS and switch to a 401K with 3-6% match. You’d save the state and counties hundreds of millions of dollars and some jobs assuming they’re really needed.
Main Entry: low·light
Pronunciation: \ˈlō-ˌlīt\
Function: noun
Date: 1941
: a particularly bad or unpleasant event, detail, or part
—————————————————————–
In the vernacular, bad highlights. Generally speaking, there is always someone or some group who dislikes budget cuts, and this includes the governor.
Why all the discussion about the term ‘lowlight’? Does it have some suggestive meaning that I am unaware of like ‘teabag’ does? I have a fairly good personal mental collection of expletives that I use rather regularly around my own home. However, there are lots of esoteric terms that escape me. This might be one of them. Might as well just tell me what it means.
Hello Slow, I apologize as I did misread your comments as a dig at those receiving VRS benefits.
Moon, all of the information that I see coming out regarding the VRS and the budget is very confusing. I read that the Gov. is reducing the State’s contribution for current employees. Yet it did not state that the locals would have to pick this up. Does this mean its an unfunded mandate for future generations? I don’t know.
The City of Manassas and the County’s multiplier rates are different because in 2007, VRS permitted jurisdictions to raise the multiplier from 1.7% to 1.8% as long as the locals made up the financial difference. The City did, the County declined to do so.
Nothing particularly special about “lowlights”. I was just thinking out loud a little bit as to how calling certain budget cuts “lowlights” reconciles with “I have made no opinion on the budget cuts”. No problem, no big deal, just thinking to myself out loud.
Slowpoke, I was calling all budget cuts that were bulleted lowlights. I didn’t have an opinion on any that I shared.
Marin, Thanks for all those links. I don’t understand why there are all the different multipliers or why the southside counties are behind with their payments. Don’t they have to pay as they go?
From the reading you left, it looks like the state screwed up big time and the employees are the ones who will ultimately have to pay. VRS is well-run by its board. It is a sound system. The state has been loosey goosey with its rules and regulations. 🙄
The governmental budgeting system is not as complicated as we have made it. The “government” inherently has no money. It is the taxpayers money. I believe it was Jefferson (?) that said, ” for the governemnt to give one man a dollar, it must take it from another man”. What we need to do is for the taxpayers to decide what services they want from their government and tax to that number. If the tax number is too high for the taxpayer, then they must decide what services they do not want from their government.
@Wolverine
School food is not nourishing. It is a bunch of fat and carbs with little nutritional value.
this guy calls himself a christian ? What a HYPOCRITE ! Budget cuts should START FROM THE TOP . . uh . . how about leading by example there governor and cut your own pay FIRST . . start there . .then everyone of those fat cats sitting up there in Richmond . . then move down thew feeding chain . . . NOT the other way around . . . .always pick on the weakest . . .taking food out of a child’s mouth ? SICK ! IT is NOT about parents not being able to feed their children or the unhealthy lunches served . .SOME food is better thatn NO FOOD . . DUH !
These idiotic comments always from the self-righteous, well-fed, well HOOKED up top-tier class . . .yea yea . . we know your callous indifference and your self-righteousness about providing some safety net for the weakest among us . . . a great society judges itself on how it treats the weakest members . . .NOT the Social Darwinistic Hitlerian idea of tough luck dead end unconcern . . . unfortunately there will ALWAYS be weak members of society and until such types are still allowed to have children then these problems will be with us . . start the cuts from those with the MOST and work down from there . . there is no excuse for starting from the bottom up . . . this governor has just lost my support !
Jack, I think if you look at the content you will see that great strides have been taken to improve the nutritional value of school food.
Tom Andrews, how do you ever get everyone to agree? Different people want different services? Whose trump win?