State budget cuts to avert layoffs
Jim Gilmore's plans to make up the $421 million state budget
shortfall, as of March 6, includes using the funds that were earmarked
for capital projects, more than two-thirds of which were slated
for Virginia's colleges and universities. These recent moves
make it unlikely that the governor will call a special session
of the legislature.
governor has stated that layoffs will be avoided, as he finds
savings elsewhere. Along with savings of more than $72 million
from the Virginia Retirement System without having an impact
on retirement benefits the governor said that $405 million
could be saved from planned building projects. He halted construction
and maintenance projects not yet under contract after the General
Assembly's budget impasse over phasing out the car tax last
month, and froze hiring and discretionary spending.
was among state agencies who submitted budget-cutting plans to
the state March 2. The plans, designated as governor's working
papers, can not be publicly disclosed. Mandated budget cuts for
the University were $2.4 million from this year's budget and almost
$6.7 million from next year's budget.
Medical Center is not
subject to the budget reductions or the hiring freeze.