Mississippi budget stalemate could lead to thousands of layoffs
Talks broke down Friday between House and Senate negotiators trying to plug a $90 million hole in Mississippi’s 2010 budget, and some legislators say the breakdown could translate into at least 1,800 layoffs.
The two sides are more than $90 million apart, and tax collections for the coming fiscal year, which begins July 1, are expected to be even lower than the current year’s $350 million shortfall.
When asked if the potential for layoffs among the 30,000 state employees was real, Rep. Cecil Brown, D-Jackson, said, “It’s 100 percent if you follow the Senate’s plan.”
“It’s people,” he said.
Earlier this year, the House and Senate passed differing budget proposals, and a conference committee of three House members and three senators was appointed to resolve the differences.
Senate Appropriations Committee vice chairman Doug Jackson, R-Hernando, said he is not convinced a large number of employees would be laid off regardless of which budget plan the legislature adopts.
“I’ve heard those numbers, but where do they come from?” Davis said.
“I have the utmost respect for Representative Brown, but I’ve not seen documentation to that effect.”
Financing Medicaid — and whether to tax hospitals by up to $90 million a year — was the apparent deal-breaker in Friday’s session. House negotiators had gone from no hospital tax to $60 million for 2010, but they backtracked Friday to the no-hospital-tax position.
Commercial-Appeal
5/4/9
Magnolia Tribune
