Local government, aid to the poor hit hard by unallotments
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Governor Tim Pawlenty on Friday announced cuts – known as unallotments – to the state budget in order to close the yawning $428 million deficit this fiscal year. The move left some legislators and public officials worried, and one advocate for the poor called it “an assault on the underclass.”
Two weeks ago, Minnesota Management and Budget Commissioner Tom Hanson announced Minnesota faced a dramatic shortfall in revenues, meaning the 2008-2009 state budget would have to be cut back before the current fiscal year ends in June of next year. Part of the deficit will be closed with $155 million from the state’s budget reserves, and the remaining cuts will come from a number of sources, most notably $110 million from local government aid and $73 million from human services spending. “Are there a few things we can cut?” asked Blaine Hill, the city manager in Morris, MN. “Probably, but not many.”
Hill said after Pawlenty cut $35 million in local aid in the 2003 budget crisis, many cities, including Morris, had to re-organize and dramatically streamline their operations. Continue Reading







