DALLAS — Kansas Gov. Sam Brownback announced government spending cuts of 4% to deal with an anticipated $279 million revenue shortfall in the current fiscal year.
The recently re-elected Republican governor, who has defended his aggressive tax cuts against Democratic critics, also called for the Kansas Legislature to shift $200 million between accounts when it convenes in January.
"These first steps are a down payment in resolving the immediate budget issue," Brownback said in a prepared statement. "Our job now is to address this situation through good fiscal governance while maintaining our investment in education, sustaining funding for public safety and allowing T-Works to be completed."
T-Works is the Kansas Department of Transportation's bond program for major highway projects in the state. While the T-Works projects will not be affected by the spending cuts, KDOT will transfer $95.7 million to the general fund from the State Highway Fund, the department said.
A 3% reduction from KDOT's operations budget will be included in a rescission bill that will be considered by the 2015 Legislature, officials said. The 3% reduction amounts to $7.8 million out of an operations budget of $260 million.
"Although the 3% reduction will impact the agency's salary budget, there will be no layoffs or salary reductions," KDOT spokesman Steve Swartz said.
Projects already let under the 10-year T-Works transportation program have cost less than planned, federal and state revenues have been higher than anticipated, and bond rates have been more favorable than expected, Swartz said.
Funding for the state's schools will also be spared under the current plan, officials said.
"It is important for us to take these actions now to address the projected shortfall and minimize the effect of budget reductions to state agencies in this fiscal year," Brownback's budget director Shawn Sullivan said.
Critics of Brownback's tax cuts over the past two years reacted to the spending cuts.
"The governor's plan is the latest sign of how unprecedented and unaffordable tax cuts are eroding key investments that make up the economic foundation of our state and continue to put Kansas' future in jeopardy," said Annie McKay, executive director of the Kansas Center for Economic Growth. "We've been down this road before and it's a dead end. During the recession, Kansas relied heavily on cutting schools, safe neighborhoods, healthy communities and other things Kansans need — cuts that we are still suffering from."
