And the Cuts Keep Coming

The preliminary report from the Commission on Streamlining Government appointed by Louisiana Gov. Bobby Jindal includes more than $1 billion in potential budget cuts. The total of the 236 proposed cuts is more than the $802 million in reduced spending sought by Jindal.

Current revenue estimates indicate the state's budget for fiscal 2011 will be $948 million in the red if spending continues at its current level.

Commissioner of Administration Angele Davis told the panel that many of the suggestions will be incorporated into the governor's proposed budget for fiscal 2011.

Sen. Jack Donahue, who chaired the panel, said the total savings would be more than $1 billion, but acknowledged that some of the proposals are vague, with uncertain savings. He proposed a 2% reduction in agency budgets, which would save $124 million in fiscal 2011.

The panel turned down proposals by Treasurer John Kennedy to reduce the state payroll by 15,000 employees over three years and limit the number of outside contractors working for the state.

A final report, with an official estimate of the reductions developed by the Legislative Budget Office, is to be delivered to Jindal on Jan. 4.

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Louisiana
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