Kulongoski: State pay freezes among budget solutions 01:21 PM PST on Thursday, February 19, 2009
SALEM, Ore. - Governor Ted Kulongoski on Thursday detailed plans to slash state employee pay and agency budgets, along with specifics of how to spend federal stimulus dollars, while saving education and necessary programs.
Kulongoski said he was taking a 5 percent pay cut and salary freezes for state managers.
“What I announced today translates into pay cuts for thousands of state workers and their families across the state,” Kulongoski said. “I know this is a significant sacrifice so I want to say to all state employees -- thank you for your continued commitment to Oregon, and to creating hope and opportunity for a better and brighter future.”
The cuts won't affect union-represented employees, who are currently in negotiations with the state. If they were to take the same cut, the state would save more than $120 million during the 2009-11 biennium.
The state was expected to get a $2.2 billion federal safety net over that will be split over the next three fiscal years.
The Legislature's chief budget writers previously released a set of proposed cuts they say will get Oregon through the current biennium's $800 million shortfall.
At a press conference Wednesday, lawmakers outlined a plan, which includes $350 million in agency cuts thanks to $455 million in federal stimulus dollars and other aid that offset the state's $800 million deficit for the current biennium.
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