NBC29Kaine Cuts Include Furlough Day, Layoffs

Kaine Cuts Include Furlough Day, Layoffs

Virginia simply doesn't have enough tax money coming in to pay the bills. The $1.35 billion in Tuesday's announced cuts include 593 layoffs, a 15-percent funding reduction for colleges and a mandatory unpaid furlough day for state workers.

These cuts are just the latest in a long line of reductions going back nearly three years now. But the governor says that didn't make his decisions any easier. In order to bridge yet another budget gap, Governor Kaine says next May 28 -- the Friday before Memorial Day -- will be an unpaid day off for all state employees.

Kaine (D) said, "State government will essentially -- except for emergency and essential services -- will be closed the firday before memorial day under my proposal."

That furlough will save the state $16 million. To make up the rest, Kaine is turning to a combination of service reductions, spending cuts and layoffs. 593 state employees will get pink slips.

"These are 593 state employees. Again, my heart goes out to people who lose jobs under any circumstance, especially in this tough job market," said Kaine. 

But Kaine says it could get worse. "I will say that 593 layoffs does not include layoffs that may happen at the higher education institutions," shared Kaine. 

Those additional job losses could result from up to 15-percent cuts to funding for state colleges.

The governor is also asking for a reduction in state contributions to the Virginia retirement system next year, dropping a quarter of what the state would normally chip in.

But Kaine said, "This will not jeopardize or affect anyone's retirement benefits."

Kaine says his proposal also avoids tax hikes, new borrowing and major cuts to public schools.

"Our top goals were to minimize any cuts to k-12 education," stated Kaine.

All of the governor's proposals have to be approved by the legislature during next year's session so it is possible that some of the specifics change between now and then.

Reported by Adam Rhew
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