Vol. 115, No. 6
February 6, 2008

Relief, further details sought following release of state’s ‘painful’ spending plan

Photo courtesy Governor’s Press Office
Gov. Steve Beshear makes a point during last Tuesday State of the Commonwealth address. While presenting a grim picture, Beshear did see fit to endorse BRAC funding and didn’t perform major school funding cuts as bad as some feared.

By LARRY SEE JR.
Messenger Staff

In what might be the most downbeat budget address since 1988 – when a new governor told a joint session of the General Assembly that Kentucky was “broke, busted, tapped out” – Gov. Steve Beshear, himself a new governor finding the cupboard bare, outlined a spending proposal last week “austere to the point of pain,” and riddled with spending cuts across state government.

Locally, the atmosphere is one of expectation and pleasure, with county Jailer Troy Seelye awaiting further details on what the governor proposes for the correctional programs, while county school Supt. Mitch Crump was relieved to learn educational cuts weren’t as bad as first feared.

Crump, while pleased to see Beshear kept the SEEK funding intact for local schools, admitted he was taking a “wait and see” attitude to see how the budget will flesh out.

“A 7 percent cut would have been devastating to school systems across the state,” Crump said. “But I am also aware this is the first step in building the budget.”

Funding was cut in such areas as teacher training, school safety and after-school programs, Crump said, adding those will directly impact students, most of whom already are at-risk.

“It is a difficult time in Kentucky,” Crump said, alluding to the economic downturn nationally as well as in the commonwealth. “And the governor had to make the tough decisions. I am pleased to see he spared education as much as he could.”

Crump said he’ll follow the process through media reports and information he receives from Frankfort, and in the interim, hope for the best.

State Rep. Jeff Greer was disappointed to see the cuts Beshear targeted in post-secondary education.

“I’m hopeful we can work something out there,” he said, adding universities already endured a 12 percent cut, causing tuition increases.

“I know there’s going to be a lot of work to do to create some funds to alleviate these cuts,” Greer said.

On the K-12 education front, while no cuts were suggested, Greer disliked the regressive nature of the proposed spending plan.

“He said it’s staying the same, but it’s being regressive and I am concerned about those areas,” Greer said. “As far as the rest of the budget I’m going to have to put some time in. It’s too soon to really grasp the entire project.” Greer isn’t alone. After being introduced in the House of Representatives, where those members will review and make changes, the budget goes to the Senate floor, where further changes are expected.

After the two chambers offer amendments, the budget is sent to a conference committee, composed of representatives from each chamber, who hash out differences and reach a workable solution.

On a positive note, both farmers and officials from the Base Realignment and Closure task force were pleased with what they heard come from Beshear’s mouth.

Greer had conversations with Rep. Harry Moberly, the chair of the House Appropriations and Revenue Committee, which is tasked with reviewing the budget. Moberly was still trying to grasp the budget.

“Once he gets his arms around it, I can make sure we’re presenting a clear picture of everything,” Greer said. “I am hopeful by the end of this week that I’ll have some much better information.”

As far as the rest of the budget, Greer admitted, as a freshman legislator, he was trying to grasp the entire process.

“This is my first budget and I have been asking a lot of questions of the other legislators,” Greer said.

Greer reiterated things

are tight in Frankfort, alluding to Beshear’s where he mentioned cuts are being made in other states.“Some 35 to 40 states across the country are facing shortfalls and budget reductions, too,” Beshear said, citing specific examples in Florida, Maine, Virginia and Rhode Island.

Greer had several conversations with the governor’s staff and didn’t get a firm commitment regarding BRAC funds.

Someone must have been listening though, as the governor proposed $50 million dollars in economic development road bonds and a similar amount to address other area infrastructure needs.

Beshear also will appoint an implementation team to build upon the work already started by the task force.

“We cannot afford to miss this opportunity,” he said. “This effort will result in the commonwealth becoming the beneficiary of hundreds of millions of dollars in federal investment as well as thousands of jobs.”

“I think we’re really fortunate to get that kind of comment in this biennum,” Greer said.

Greer added the BRAC subcommittee, of which he chairs, had an excellent meeting last week.

“We had a lot of discussion and Col. Mark Needham was there and gave us an update on what was going on. In the General Assembly there are not a lot of people who know what is going on with BRAC. When we mention that word to them they think we’re foreigners or something,” Greer said.

Greer said subcommittee members are doing their best to educate their counterparts.

“Primarily for us the BRAC thing was the biggest part of the budget,” Greer said. “I am glad the governor does see this as a tremendous opportunity and it is an economic boon. These funds will help us in our short- and long-term goals. I just couldn’t be happier with his support of BRAC.”

Echoing Greer’s positive comments about BRAC was One Knox Executive Director Brad Richardson.

“This is a great start,” Richardson said. “We also had a good meeting of the BRAC subcommittee yesterday.”

Richardson admitted all residents are feeling the effects of a dire budget, but was encouraged by the fact the governor saw fit to mention the project as a priority.

“I’m very cautiously optimistic, but we have a long way to go. Right now it is a great start,” Richardson said.

State Sen. Carroll Gibson, the Senate majority whip, said Beshear’s budget is one that tightens state government’s belt.

“The results of that may be very appealing to some,” he wrote in his column. “My priority as a member of the Senate leadership is to ensure that education, human services and infrastructure receive adequate funding. The House of Representatives now has a chance to modifty the budget to reflect their interests and I expect the Senate to receive the document sometime in March.”

Farmers were even supportive of the address, despite the fact many local farmers were unable to view it, due to the severe storms which ravaged the area.

“We’ re very encouraged that the governor’s budget proposal recognized the importance of agriculture to the Kentucky economy, especially the allocation of 50 percent of the tobacco settlement funds to agriculture diversification projects,” state Farm Bureau President Marshall Coyle said.

“We plan to work very hard to see that these projects and other important agriculture programs receive adequate funding as the budget process moves through the House and Senate,” he concluded.

The issue: K-12 Education

Beshear says: “So, while most of government will have to make do with significantly less, this budget provides the funding to maintain the SEEK base per pupil guarantee for the next two years.”

You say: “It’s a difficult time in Kentucky. And the governor had to make the tough decisions. I am pleased to see he spared education as much as he could.” - Mitch Crump
Meade County Public Schools Superintendent

The issue: Justice

Beshear says: “I will appoint a criminal justice task force, comprised of representatives from all parts of the system, to undertake a comprehensive review of Kentucky’s penal code, sentencing guidelines and related issues.”

You say: “I know a bunch of House bills have been filed, but I can’t really comment until I see how it affects jails. I think he does realize the seriousness involved in the corrections population and how it has grown.” - Troy Seelye
Meade County Jailer

The issue: Economic Development

Beshear says: “Finally, an immediate and major new economic development opportunity arises out of the federal government’s decision to change and expand the mission of the Fort Knox military facility.”

You say: “It’s a great start. We had a good meeting of the BRAC subcommittee yesterday and everybody – even in these dire budget days – is encouraged by the fact this is recognized as one of the governor’s priorities.” - Brad Richardson
One Knox

The issue: Capital Investments

Beshear says: “First, I feel strongly about keeping our commitment to agriculture as we continue investing in the agriculture economy. We must increase net farm income.”

You say: “We’re very encouraged the Governor’s budget proposal recognized the importance of agriculture to the Kentucky economy, especially the allocation of 50 percent of the tobacco settlement funds to agriculture.” - Marshall Coyle
President, Kentucky Farm Bureau

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