House and Senate Democratic Caucuses - Budget Proposal
Comments from Representative David Litvack and Senator Patricia Jones
Representative David Litvack, D—Salt Lake City
Minority Leader in the Utah
Good afternoon and welcome. I am pleased to be joined by Senator Jones and many members of our caucuses today to present to you our core ideas and proposal for the FY2010 budget. Over the past several weeks, members of Utah House and Senate Minority leadership have been working closely with the fiscal analyst’s office to prepare our own, comprehensive budget proposal which creates a structurally sound and fiscally responsible plan.
I do want to thank members of both Republican leadership teams who have been responsive, approachable and open to our input. We are eager to continue to work closely with our colleagues.
We take seriously our responsibility to be a vital part of the budget process, and have not made any decisions lightly. As members of the minority party, we have a responsibility to be engaged in the process, to provide alternatives and to bring new ideas to the table. Our number one goal in developing our budget was to reduce ongoing cuts to vital services that Democrats have always championed. Based on that principle, our budget does the following
Protects vital services in our priority areas, which are: Public Education, Higher Education, Health and Human Services, Public Safety and others
Makes cuts where necessary and possible. Utah Democrats have always stated that budget cuts are necessary in these difficult times, but when making these cuts it is important that we do so very carefully. We believe that our budget reflects this.
We have explored new revenue sources. We deliberated long and hard and looked for every possible way not to raise taxes. But after careful consideration and much dialogue, our budget calls for a $1.30 increase in the cigarette tax, and an increase in motor vehicle registration fees. By incorporating these new sources of revenue, we were able to restore some of the on-going funding in our top priority areas, securing critical programs and services in health and human services for 2010 and beyond, and reducing the percentage of cuts to the ongoing base budget in public & higher education and public safety.
We are grateful for the federal stimulus dollars. Without these dollars, our discussions would be entirely different – we would be talking about deeper cuts to core services and programs, or we would be looking for additional revenue sources. Instead, we are able to use the one time federal stimulus dollars to help fill in the holes.
Let me reiterate. Our proposal protects vital services to children, the elderly, to public and higher education, and public safety. It makes cuts where necessary and possible. It examines new revenue sources, and it utilizes the federal stimulus. There are still areas that need to be addressed – restoration of cuts made in 2009, enrollment growth in education (e.g., we have discussed the use of the “Growth in Student Population Account” which we believe can help cover most of the projected growth over the next two years), and bonding for buildings – such as the School for the Deaf & Blind, a priority for our caucuses. Our proposal is a work in progress, and we look forward to continued collaboration with the fiscal analyst’s office, the Senate Democrats, the Governor and the majority party; however, we feel it is important to lay-out our framework for feedback and promote dialogue.
We have received many letters, cards and emails advocating for the use of rainy day funds. Earlier in the session, we – along with the Governor – advocated for responsible use of our rainy day funds. And there may still be a need as we move forward; but, as of now, the passage of the American Recovery and Reinvestment Act – the influx of federal assistance – has changed the landscape and the immediate need to utilize these funds. We are weathering a difficult and unpredictable storm. We are all uncertain when it will be over. Therefore, we think it is fiscally responsible and important to preserve – for now – the Rainy Day Funds. These funds may be necessary beyond 2010, when federal stimulus dollars are used and we are still on our way to recovery from the current recession.
I would now like to turn over the time to Senator Pat Jones, who will discuss some of our specific proposals in our priority areas.
Senator Patricia Jones, D—Holladay
Minority Leader in the Utah
Thank you Representative Litvack, for your leadership in this collaborative effort. I am very pleased to have been part of these discussions. I would also like to thank House and Senate Majority leadership who have invited the input of the minority caucuses.
As David has mentioned, our number one goal is to mitigate cuts in our priority areas, namely , public education, higher education, health and human services, and public safety.
We are grateful for the federal stimulus dollars that allow us to minimize cuts to our ongoing budget and essential programs, while maintaining a balanced and fiscally responsible budget. The stimulus monies are valuable, but temporary dollars. The federal funds give us the ability to shore up funding for this next year and beyond.
For example:
In public education, we are able to increase the ongoing budget dollars by 5 percent, creating an ongoing budget cut of 12 percent instead of 17 percent. When we add in the stimulus dollars, public education, in effect, only receives a 2 percent budget cut. This is good news for Utah
In higher education, we are able to reduce ongoing budget cuts from 17 percent to 14 percent. When we add in federal stimulus dollars, higher education takes an effective 6 percent budget cut. This means we can take more of the burden off college students, who have seen the costs of tuition rise each year, and retain competitive and quality teachers. It is unfortunate that we have to cut any dollars in these critical areas, but we believe this is a much softer landing than some of the other approaches that have been proposed.
In health and human services, we explored every possibility in our budget to preserve precious federal matching dollars. Revenues from tobacco tax increases should be spent where they are intended –to prevent disease and restore and maintain good health for our citizens. The increased revenue from the tobacco tax will be used to shore up the foundation of the Health and Human Services budget. This budget is critical in the lives of all of our citizens, but particularly important to the most vulnerable - from our children to our aging population. Let me give you a few examples of where our budget funds critical programs.
Nursing home alternatives, Restore critical funding to substance abuse prevention and treatment, Funnels more money to school nurses
Our budget puts health and human services in a good position for 2011 and beyond. Health and human services receives approximately $255 million in federal stimulus dollars in FY2009 and FY2010.
Public safety is a core function of government. Our budget preserves some very important services. We fill gaps in corrections. We ensure that early release of criminals is not an option and so that our children can play safely in their neighborhoods. We restore cuts to state courts. We assist our young adults in the juvenile justice systems with programs to help them gain skills to become productive citizens.
We realize that the federal stimulus money can only go so far. But we are grateful to have it. The stimulus helps Utah
I will now turn the time back to Representative Litvack.
Representative Litvack
Thank you, Senator. Today we have outlined the core of our democratic proposal, our framework for discussions with the Governor, our colleagues in the legislature , and the public. Make no mistake – what we have created is not simply a list of our budget priorities. We have developed a comprehensive budget proposal, covering all areas of state government. We invite you and all Utah
I will now address any questions you might have.
Comments from Representative David Litvack and Senator Patricia Jones
Representative David Litvack, D—
Minority Leader in the
Good afternoon and welcome. I am pleased to be joined by Senator Jones and many members of our caucuses today to present to you our core ideas and proposal for the FY2010 budget. Over the past several weeks, members of Utah House and Senate Minority leadership have been working closely with the fiscal analyst’s office to prepare our own, comprehensive budget proposal which creates a structurally sound and fiscally responsible plan.
Protects vital services in our priority areas, which are: Public Education, Higher Education, Health and Human Services, Public Safety and others
Makes cuts where necessary and possible. Utah Democrats have always stated that budget cuts are necessary in these difficult times, but when making these cuts it is important that we do so very carefully. We believe that our budget reflects this.
We have explored new revenue sources. We deliberated long and hard and looked for every possible way not to raise taxes. But after careful consideration and much dialogue, our budget calls for a $1.30 increase in the cigarette tax, and an increase in motor vehicle registration fees. By incorporating these new sources of revenue, we were able to restore some of the on-going funding in our top priority areas, securing critical programs and services in health and human services for 2010 and beyond, and reducing the percentage of cuts to the ongoing base budget in public & higher education and public safety.
We are grateful for the federal stimulus dollars. Without these dollars, our discussions would be entirely different – we would be talking about deeper cuts to core services and programs, or we would be looking for additional revenue sources. Instead, we are able to use the one time federal stimulus dollars to help fill in the holes.
Let me reiterate. Our proposal protects vital services to children, the elderly, to public and higher education, and public safety. It makes cuts where necessary and possible. It examines new revenue sources, and it utilizes the federal stimulus. There are still areas that need to be addressed – restoration of cuts made in 2009, enrollment growth in education (e.g., we have discussed the use of the “Growth in Student Population Account” which we believe can help cover most of the projected growth over the next two years), and bonding for buildings – such as the School for the Deaf & Blind, a priority for our caucuses. Our proposal is a work in progress, and we look forward to continued collaboration with the fiscal analyst’s office, the Senate Democrats, the Governor and the majority party; however, we feel it is important to lay-out our framework for feedback and promote dialogue.
We have received many letters, cards and emails advocating for the use of rainy day funds. Earlier in the session, we – along with the Governor – advocated for responsible use of our rainy day funds. And there may still be a need as we move forward; but, as of now, the passage of the American Recovery and Reinvestment Act – the influx of federal assistance – has changed the landscape and the immediate need to utilize these funds. We are weathering a difficult and unpredictable storm. We are all uncertain when it will be over. Therefore, we think it is fiscally responsible and important to preserve – for now – the Rainy Day Funds. These funds may be necessary beyond 2010, when federal stimulus dollars are used and we are still on our way to recovery from the current recession.
I would now like to turn over the time to Senator Pat Jones, who will discuss some of our specific proposals in our priority areas.
Senator Patricia Jones, D—Holladay
Minority Leader in the
Thank you Representative Litvack, for your leadership in this collaborative effort. I am very pleased to have been part of these discussions. I would also like to thank House and Senate Majority leadership who have invited the input of the minority caucuses.
As David has mentioned, our number one goal is to mitigate cuts in our priority areas, namely , public education, higher education, health and human services, and public safety.
For example:
In public education, we are able to increase the ongoing budget dollars by 5 percent, creating an ongoing budget cut of 12 percent instead of 17 percent. When we add in the stimulus dollars, public education, in effect, only receives a 2 percent budget cut. This is good news for
In higher education, we are able to reduce ongoing budget cuts from 17 percent to 14 percent. When we add in federal stimulus dollars, higher education takes an effective 6 percent budget cut. This means we can take more of the burden off college students, who have seen the costs of tuition rise each year, and retain competitive and quality teachers. It is unfortunate that we have to cut any dollars in these critical areas, but we believe this is a much softer landing than some of the other approaches that have been proposed.
In health and human services, we explored every possibility in our budget to preserve precious federal matching dollars. Revenues from tobacco tax increases should be spent where they are intended –to prevent disease and restore and maintain good health for our citizens. The increased revenue from the tobacco tax will be used to shore up the foundation of the Health and Human Services budget. This budget is critical in the lives of all of our citizens, but particularly important to the most vulnerable - from our children to our aging population. Let me give you a few examples of where our budget funds critical programs.
Nursing home alternatives, Restore critical funding to substance abuse prevention and treatment, Funnels more money to school nurses
Our budget puts health and human services in a good position for 2011 and beyond. Health and human services receives approximately $255 million in federal stimulus dollars in FY2009 and FY2010.
Public safety is a core function of government. Our budget preserves some very important services. We fill gaps in corrections. We ensure that early release of criminals is not an option and so that our children can play safely in their neighborhoods. We restore cuts to state courts. We assist our young adults in the juvenile justice systems with programs to help them gain skills to become productive citizens.
We realize that the federal stimulus money can only go so far. But we are grateful to have it. The stimulus helps
I will now turn the time back to Representative Litvack.
Representative Litvack
Thank you, Senator. Today we have outlined the core of our democratic proposal, our framework for discussions with the Governor, our colleagues in the legislature , and the public. Make no mistake – what we have created is not simply a list of our budget priorities. We have developed a comprehensive budget proposal, covering all areas of state government. We invite you and all
I will now address any questions you might have.
