Cutting money out of a budget, local or state, isn't easy.
Gov. Perdue told North Carolina agencies to look harder for spending cuts, and the General Assembly is scouring the state budget for excess fat.
Probably, the result will be a few dollars here and there to make up the expected $2 billion shortfall in revenue. Legislators want to tally $3 billion in cuts for the new budget that kicks in July 1.
One of the problems is that many expenditures are set by law. Some items can't be reduced or axed. They're in the budget because of state or federal regulations. Agencies can look for less expensive suppliers, they can make deals to lower expenses so the agency can save money and the vendor still do business with the state, but the agencies must spend whatever amount is necessary to satisfy the needs.
For example, if a person qualifies for an entitlement program, that person will benefit. That's why assistance programs run by the state and Washington have been strained to the limit and beyond. The economy has created longer, unexpected lists of people who qualify for help.
Government must fulfill its obligations.
So, government can't arbitrarily shorten the lists to equal money in the programs. Legislation can alter qualifications to cut people from entitlement rolls, but that breaks faith with government promises and can put lawmakers in political jeopardy.
Another example: The General Assembly and the governor are seeing if a state prison hospital can be closed. Sure it can, as long as prisoner health care is not compromised. Prisoner health care cannot be delayed or denied. Close the facility, lay off the employees, save money. But obligations must be fulfilled. In this instance, there is no way to amend qualifications for health care.
Instead of whacking out some of the beef, government officials must find the fat and implement new management strategies.
When the economy is booming and everyone is working, a small fee hike or a couple of cents' tax increase makes many problems go away.
In a deep recession, such options are scandalous.
Everyone in state government is involved in finding ways to save and still deliver services. It won't be easy, but they will be successful because of an overriding legality.
The N.C. Constitution says unequivocally, to local and state governments: Thou shalt balance the budget.
It's not subject to debate.
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