Gov. releases budget changes
Gov. John Baldacci has announced changes to his proposed budget to restore nearly $80 million as a result of improved revenue forecasts and additional federal aid.
Baldacci's revisions, released yesterday, follow a recent $50.9 million increase in revenue predictions for the two-year budget, as well as an additional $27.8 million from changes in the federal Medicaid program, according to a statement from his office. The changes would restore $78.7 million in cuts originally proposed to close a $438 million budget gap.
The proposed changes:
- Restore $37 million in health and human services, including support for nursing and assisted living facilities, and home health, disability and mental health services. It also proposes alternative reductions of $13 million and new initiatives of $5.3 million.
- Restore $20 million for K-12 education for FY 2011
- Restore $8 million for higher education for FY 2011 ($6 million for the University of Maine System, $1.7 million for the Maine Community College System and a little more than $267,000 for Maine Maritime Academy)
- Restore $6 million in municipal revenue sharing
- Make a $3.5 million payment for retiree health
- Eliminate an $8.1 million payroll delay
- Includes $1.75 million to fund disaster assistance
- Includes $2.6 million to pay for a job creation bond package
The new health initiatives include efficiencies in psychiatric care, standardized rates and reduced costs in MaineCare, expected to reduce future costs in the Department of Health and Human Services. Details on the job creation bond package are slated to be released next week, according to the release.
For more on the governor's changes, go here.
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