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State budget close to being finalized
Frustrated by inability to negotiate a deal, House Republican leaders unveiled their own plan Monday to enact a balanced budget for the new fiscal year that begins in less than a week.
State budget countdown: Weiers pushing ahead with GOP proposal
The proposal would cut state agency budgets by more than $500 million, including:
$65 million reduction to be spread over the state's three universities;
$84 million from the Department of Economic Security;
$80 million in cuts to the Arizona Health Care Cost Containment System;
$35 million from the Department of Health Services;
$10 million in savings by refusing to fund additional students in the community college system.
It also would take nearly $400 million from other special accounts, drain the last $85 million from the state's "rainy day" fund and reduce state aid to cities by about $18 million.
It also could mean layoffs of state workers.
But House Speaker Jim Weiers said it would be wrong to dismiss the package as simply a Republican budget proposal. He said it includes many of the things Democrats have said they wanted in the closed-door negotiations, including more than $500 million in borrowing.
And that, he said, could provide the path to finally resolving the stalemate.
House Minority Leader Phil Lopes, D-Tucson, pronounced the package unacceptable. He said, though, there are elements Democrats could accept with some changes.
The House GOP move came as a surprise to Senate Republican leaders who said Monday they were well on their way to crafting their own budget plan when Weiers called his press conference.
The big difference is that plan is being negotiated with Senate Democrats - and with Gov. Janet Napolitano - giving it more political capital. It balances the budget with less in spending cuts, making up the difference with additional borrowing.
Senate President Tim Bee, R-Tucson, and Senate Minority Leader Marsha Arzberger, D-Willcox, will provide details today.
Monday's political maneuvering comes as the state is required to have a balanced budget in place for the new fiscal year which begins July 1.
Legislative budget analysts estimate that revenues for the coming year will be at least $1.9 billion below anticipated spending.
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