JLF’s Joe Coletti has analyzed Gov. Perdue’s budget proposal. Here’s the reality of the numbers: (emphasis is mine):
The primary gimmick is Perdue’s claim that her budget cuts $1 billion in state spending, Coletti said. “The press release tied to this budget plan crowed about $1 billion in cuts, but it ignored a key point,” he said. “More than half of the so-called cut — $578 million — is new federal stimulus money that replaces state dollars.”
“Once you add that money back into the mix, there’s no reduction in actual spending on those items,” Coletti added. “That’s in addition to more than $1 billion in federal stimulus money already budgeted for the new fiscal year. Lawmakers approved that $1 billion during last year’s state budget debate.”
Taking account of the gimmicks, Perdue’s budget plan would spend $400 million more than the proposal for the current budget year, which ends in June, Coletti said. “The governor’s plan would spend $1 billion more than actual state government spending for 2008-09.”
Coletti explains the gimmicks in this brief interview.
