State faces $4 Billion budget deficit

[VegasDude]

State faces $4 billion budget deficit
By Tom Precious - NEWS ALBANY BUREAU
Updated: 09/21/07 6:56 AM

ALBANY — The state will look to cut spending in Medicaid and other programs next

year to cope with a loss in projected revenues that is partly the result of a lackluster performance on Wall Street, which the state typically relies on for 20 percent of its annual tax revenues.

The state is facing a $4 billion deficit in the 2008-09 budget, which is more than the $3.6 billion that was projected in July, Gov. Eliot L. Spitzer said.

Still, the administration is not taking any major steps now to slow spending at its state agencies — such as imposing freezes on hiring or travel — as officials monitor a worrisome fiscal trend in a state especially sensitive to the swings in the national economy.

Paul Francis, the governor’s budget director, told a Citizens Budget Commission audience Thursday that a hiring freeze had been discussed but that state agencies had been “starved for resources” during the Pataki administration.

He said agency heads are being treated “like grown-ups” to try to accommodate the governor’s request Thursday that they seek to hold the line on spending for the rest of the fiscal year.

Spitzer told a group of county executives Thursday that despite the potential economic problems next year, the state will proceed with previous commitments for funding education and tax cuts.

He again pledged no tax hikes in the next fiscal year, which begins April 1.

Francis said the rise in the stock market this week following the Federal Reserve interest rate cut is not a “silver bullet that fixes all our problems.” The state heavily relies on income from Wall Street, including taxes on capital gains and year-end bonuses paid to thousands of investment industry workers.

[Cgoodsp466]

State faces $4 billion budget deficit
By Tom Precious - NEWS ALBANY BUREAU
Updated: 09/21/07 6:56 AM

ALBANY — The state will look to cut spending in Medicaid and other programs next

year to cope with a loss in projected revenues that is partly the result of a lackluster performance on Wall Street, which the state typically relies on for 20 percent of its annual tax revenues.

The state is facing a $4 billion deficit in the 2008-09 budget, which is more than the $3.6 billion that was projected in July, Gov. Eliot L. Spitzer said.

Still, the administration is not taking any major steps now to slow spending at its state agencies — such as imposing freezes on hiring or travel — as officials monitor a worrisome fiscal trend in a state especially sensitive to the swings in the national economy.

Paul Francis, the governor’s budget director, told a Citizens Budget Commission audience Thursday that a hiring freeze had been discussed but that state agencies had been “starved for resources” during the Pataki administration.

He said agency heads are being treated “like grown-ups” to try to accommodate the governor’s request Thursday that they seek to hold the line on spending for the rest of the fiscal year.

Spitzer told a group of county executives Thursday that despite the potential economic problems next year, the state will proceed with previous commitments for funding education and tax cuts.

He again pledged no tax hikes in the next fiscal year, which begins April 1.

Francis said the rise in the stock market this week following the Federal Reserve interest rate cut is not a “silver bullet that fixes all our problems.” The state heavily relies on income from Wall Street, including taxes on capital gains and year-end bonuses paid to thousands of investment industry workers.

To all you evil bastards who rely on the State as a source of income,you are the problem.To all you retards who thought Spitzer was the second coming, I wish you nothing but hardship.

[VegasDude]

To all you evil bastards who rely on the State as a source of income,you are the problem.To all you retards who thought Spitzer was the second coming, I wish you nothing but hardship.

But day One, it all changes

[WNYresident]

But day One, it all changes

You can't expect for the most part someone in the system to fix the system because thier own income depends on the system

[Timmy]

No wonder spitzer nixed the removal of the Buffalo Control Board

one thing is for sure....if Buffalo was healthy enough to get rid of the control board...then it would be safe to say that Albany under Spitzer would CUT the state handout to our city and put us right back into the control board situation again.

As I said once before....all monies get sucked to downstate and as soon as anyone gets their feet firmly planted on the ground...albany will say...that we are doing well enough now....so you dont need albanies help anymore....and spend it elsewhere.

Buffalos only hope is in infrastructure: residential, commercial and industrial infrastructure.

Buffalo very simply needs big projects from roads to railroads to light rail to sewars to bridges to convention centers to industrial parks etc. Things that are invested and pay dividends regardless of state aid.

thats why im such a big infrastructure!

[Trolls_r_us]

so any public employee is an evil bastard now?

At least until your loveable and smart son or daughter makes mommy and dad-ee proud by going to school to become a teacher.

LOL

[CSense]

Some politicians will do whatever they can to avoid getting things done, because a quick settlement is easier for them. At some private sector jobs, employees receive no salary and have to turn jobs over rapidly. Of course, more work on their part means no more or less to you. The politicians of NYS gain record salaries from their peers in government, a place some of our competitors hope to join. Choose a politician that gives you less. Elliot Spitzer - Your Power of Attorney.

[run4it]

Some politicians will do whatever they can to avoid getting things done, because a quick settlement is easier for them. At some private sector jobs, employees receive no salary and have to turn jobs over rapidly. Of course, more work on their part means no more or less to you. The politicians of NYS gain record salaries from their peers in government, a place some of our competitors hope to join. Choose a politician that gives you less. Elliot Spitzer - Your Power of Attorney.

Maybe I've had a few too many Starbucks Frappacinos (addictive freakin things), but did anyone else have a problem following this?

[CSense]

sorry, tried to take the William Beltz law practice advertisement and spin into politricks. Sounded better in my head, wait they're still talking to me.

[Deerhunter]

Maybe they will "right size" their depts as the City did. The City has cut 25% of it's PD since 2002. Haven't honored contracts in yrs. They'll soon balance their books. Crime will probably rise but thats the way it goes. They have to balance the budget.

[leftWNYbecauseofBS]

Maybe they will "right size" their depts as the City did. The City has cut 25% of it's PD since 2002. Haven't honored contracts in yrs. They'll soon balance their books. Crime will probably rise but that's the way it goes. They have to balance the budget.

There is a lot of rightsizing that can be done without hurting the public or even a drop in level of service.

The GASB 45 is going to make a VERY BIG difference.

[Linda_D]

Some politicians will do whatever they can to avoid getting things done, because a quick settlement is easier for them. At some private sector jobs, employees receive no salary and have to turn jobs over rapidly. Of course, more work on their part means no more or less to you. The politicians of NYS gain record salaries from their peers in government, a place some of our competitors hope to join. Choose a politician that gives you less. Elliot Spitzer - Your Power of Attorney.

Excuse me, but that's called slavery and outlawed in the US in 1865.

Try again.

[Cgoodsp466]

Excuse me, but that's called slavery and outlawed in the US in 1865.

Try again.

Crawl back under your left wing rock. Your kind is the cuase of the problem.My kind offers the solution. Listen "Click"

[Timmy]

Excuse me, but that's called slavery and outlawed in the US in 1865.

Try again.

if you think that people are always paid for work they have done, then your niaive

[Timmy]

if you think some companies dont purposely churn employees to keep wages low, seniority low and use chaos to keep people insecure, motivated, afraid, etc.....then your niaive

Ive been in business long enough to know how a manager will create a false crisis to rally everyone....the niaive ones actually work...without putting it on their timecards....in effect donating time....management loves that

the newer and younger the employees the less likely they are to unionize, to protest, to organize or to question the crisis or the management directives

the same goes for seniors and part time employees that walmart loves to use

and in those companies try to complain about it...like a cult...management will turn against you ... then the employees fearing their jobs...and before you know it ... your out the door.