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Lawmakers, Agencies Question Deep Budget Cuts

All State Agencies Told To Cut 15 Percent

POSTED: 6:24 pm EDT April 22, 2010
UPDATED: 7:18 pm EDT April 22, 2010

Some lawmakers are challenging Gov. Mitch Daniels on his calls for more budget cuts, while officials at state agencies said they're worried about where they'll trim this time.

In an e-mail sent to state agencies this week, Budget Director Christopher Ruhl said the agencies will be expected to cut 15 percent from its spending for the fiscal year that starts July 1, citing dramatically reduced state tax revenue, 6News' Kara Kenney reported.

State Sen. Vi Simpson, D-Bloomington, on Thursday questioned how the governor can support such widespread cuts when the state does not have a list of cuts already made and how much they've saved.

"The public and their elected representatives have a right to know the amount of cuts made to specific programs and which Hoosier populations are being negatively impacted by those decisions," she said in a statement. "The people of Indiana should have a voice in that discussion."

Since July 1, 2009, 222 state employees have been laid off due to budget cuts.

Officials at some state agencies are now trying to figure out whether they'll have to layoff more people, cut salaries, cut benefits or help fewer people with programs and services.

John Dickerson, an advocate for the developmentally disabled, said budget cuts can mean clients have to share rooms or they get less one-on-one attention.

"We thought it would be 10 percent (cut) again, but it's up to 15 percent, so we have to figure out where the rest will be coming from," he said.

Julia Huffman, chief operating officer for Noble, an agency that helps the developmentally disabled, said they have already made cuts to vocational services.

"These are scary times, but we've tried to remain positive through this," she said.

Indiana Democratic Party Chairman Dan Parker said the governor can find other ways to cut than across the board.

"I think a lot of contracts need to be looked at. A lot of out-of-state contracts," said Parker. "I think the governor needs to keep telling us what state we are in terms of our finances. There's really no analysis of this is how much money is in the bank, and this is how much money we've got."

Meanwhile, Chris Spangle, of the Indiana Libertarian Party said the cuts are necessary.

"You can't raise taxes at a time when Hoosiers are looking for work," he said. "The government is not always the answer."

State revenues are down 9.4 percent from last year, about $867 million less than the budget forecast.

The governor's office had no comment on the issue on Thursday.

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