The Shumlin administration is expected this week to divulge proposals for solving the $16 million gap that formed on Jan. 20 — five days after the governor delivered his budget address.
For the Vermont Legislature, it can’t be soon enough. A month has passed since the budget address, and lawmakers are struggling to evaluate the governor’s budget proposal in light of the widening difference (roughly 2 percent) between state revenues and expenditures.
The budget is, as one source put it, “the skunk at the party,” and the deficit just keeps growing. First it was $94 million, then it was $110 million with the revenue downgrade. Before it’s all over, the total could bounce up to $126 million or more, given the fact that the governor’s payroll tax has little traction and January tax receipts fell below the new revenue downgrade released last month.
One of the biggest Shumlin administration budget reduction proposals is $10.8 million in labor savings. Representatives from the Vermont State Employees Association will hold a town hall forum at noon today to talk about how cuts would adversely impact services to Vermonters.
Sen. Jane Kitchel, D-Caledonia, and Rep. Mitzi Johnson, D-South Hero, heads of the Senate and House Appropriations committees, gave the administration a Feb. 13 deadline for a plan for the $16 million. As of Friday, the proposal hadn’t been released. Word is, the plan will be out before the “revenue landscape” meeting with House Appropriations and Ways and Means at 3:30 p.m. on Wednesday in Room 10.
On Wednesday there are also competing environmental forums on tap, one in the House Chamber from 9 a.m. to 11 a.m. on Lake Champlain cleanup and another at Vermont Technical College from 9 a.m. to 5 p.m. on Vermont’s climate change economy. The first is spearheaded by the Friends of Northern Lake Champlain, which is advocating for H.35, the House water quality bill that would set new standards for farming practices. Sources say the bill is a heavy lift even though the federal government is imposing the cleanup. The forum is designed to gin up support in a year when no one is enthusiastic about new fees and mandates that will have an impact on farmers. The climate change economy conference is the brainchild of Paul Costello, the head of the Vermont Council on Rural Development. The climate conference will take participants down 13 different avenues that explore economic development opportunities in a variety of sectors — transportation, education, investment, downtown redevelopment, tourism and efficiency.
On Thursday, the House and Senate will hold a joint session to elect the Sergeant at Arms, the Adjutant General and lawmakers who serve on the UVM board of trustees. The pomp and circumstance is expected to last from 10:30 a.m. until noon.
With only three weeks to go before the March 13 crossover date (the deadline for bills to be approved by committees) lawmakers in the House and Senate will be hard at work. The House Natural Resources Committee will vote out a renewable energy bill this week; Senate Judiciary will vote on the child protection bill; and House Ways and Means will be diving into the miscellaneous tax bill and the governor’s payroll tax proposal.
The money bill crossover is March 20, and the budget machinations will begin to unfold between now and then. The House gets the first stab at vetting the governor’s plan and will vote on their version of the proposal the last week of March, along with tax plans. The Senate will then take up the two companion pieces of legislation over the month of April when hopefully spring will be in the air.
