HEADLINES : Louisiana
House cuts decried as Senate committee looks at $25 billion budget
Museum and prison closures. Reduced services for mentally ill and developmentally disabled people. Job losses and less investment in business.
Round two of the state budget process got underway Monday in Baton Rouge as a Senate committee heard from Jindal administration representatives, statewide elected officials and policy advocates about the effects of budget cuts made last week by the House.
Commissioner of Administration Paul Rainwater asked the Finance Committee to reverse a series of cuts to Gov. Bobby Jindal's $25 billion spending plan and get the budget bill back to the posture it was when the governor sent it to the Legislature in March.
"My request to this committee is to not lose sight of the bigger picture and long-term progress of this state," Rainwater said.
The House budget plan includes more than $200 million in new spending cuts and eliminates money from two sources on which Jindal had counted: the sale of state prisons and a higher payroll tax on state workers. Among other things, the House plan would cut $121 million from the Department of Health and Hospitals, which translates to more than $300 million once federal matching money is included.
House budget writers also took $82 million from an economic development incentive fund. That prompted warnings that Louisiana could lose out on large-scale industrial projects, including a possible new tenant for the Avondale shipyard.

