AUSTIN -- Gov. Greg Abbott on Tuesday ordered a short-term state hiring freeze, urged more trims to business taxes and occupational fees, and called for a small increase in Medicaid's crushingly low wages for personal attendants.In an abbreviated budget, Abbott also plugged some pet programs and griped that lawmakers, in their first drafts, shorted them. In not so subtle ways, he pushed back. For instance, he complained the Legislature spends too much on itself.With the state economy still recovering from an oil-drilling slowdown, it's "a time for addressing essential needs and eliminating the non-essential wants," the Republican governor said in a written statement."That is why my budget proposal ensures that state government lives within its means while maintaining funding for important, but limited priorities."Traditionally, legislators pay little heed to a governor's budget, though it sheds light on programs likely to be the subject of spirited horse-trading near the end of the session. The governor has veto power over non-budget bills and can erase individual items in the budget, which gives him some leverage.The session is likely to end with a good many cuts, as GOP leaders abhor raising taxes and drawing down savings.For 2018-2019, Abbott proposed spending $213.3 billion, including federal funds. That was just $90 million less the Senate's starting point budget. The House's would spend $221.3 billion. However, the Senate's doesn't pay for enrollment growth and inflation in Medicaid, the safety net health care program. That accounts for billions of the difference in the two chambers' initial budgets.Abbott's priorities include a child welfare overhaul and his favorite educational programs.At Child Protective Services, racked by turnover and failing to make timely checks on hundreds of at-risk kids each week, he proposed spending $500 million more.That would be about $200 million more than the two chambers initially proposed, though precise comparisons cannot be made because in fiscal terms, Abbott's 51-page budget document is only a sketch. In each chamber, GOP leaders filed "base budgets" of more than 1,000 pages.Abbott said the new money - in a department currently spending about $2.9 billion this cycle - would let CPS maintain last month's emergency pay raises and authority to hire 829 new employees. It also would help improve a shortage of foster care berths, building on "positive outcomes we have seen through Foster Care Redesign" in the Fort Worth area, his budget said.In Medicaid, Abbott wants to grant a small raise - for the third consecutive session - to personal attendants who help disabled Texans dress, groom themselves and move around.He called for $60 million to increase the current wage, $8 an hour.While the governor offered no details, Dennis Borel of the Coalition of Texans with Disabilities said it would probably be a 35-cents bump in the attendants' hourly pay."We're paying them terrible," said Borel, whose group recommends a $1.2 billion increase. That would give the 260,000 such workers in Texas $10.50 an hour next year, and a $13 wage in fiscal 2019.In education, Abbott told lawmakers he was "perplexed" their starting budgets dialed back his prekindergarten grants. In its first year, the program dispensed $118 million to about half of the state's school districts. To qualify, they must do things like hire more staff or certified teachers.While Abbott sought no increase, he asked for $236 million for two years. But the House proposed a mere $119 million; the Senate, just $150 million."They nod in the direction of pre-K, but they turn a blind eye to the goal of achieving high-quality pre-K," Abbott said his state of the state speech.At state universities, he asked for $40 million to continue his new fund to try to lure Nobel laureates and top researchers. Both the House and Senate zeroed it out.In economic development, both chambers' budgets offered no new funds for the Texas Enterprise Fund, a deal-closing kitty started under former Gov. Rick Perry. While lawmakers said Abbott only could draw down its remaining $43 million, he sought $108 million."If you are truly committed to adding jobs and growing our economy, you need to fully fund the Enterprise Fund," he said.Business groups applauded Abbott's call for more franchise tax relief. Last session, lawmakers passed a $2.56 billion cut in franchise tax, with rates reduced by 25 percent. On Tuesday, Abbott urged $250 million more."If it's [a rate reduction of] 2 percent, we'd love to see that," said Will Newton, executive director of NFIB/Texas. It represents more than 21,000 small businesses.He also called for shrinking some of the remaining occupational license fees, though he offered no details.To tighten the state's belt, Abbott ordered a hiring freeze at state agencies through Aug. 31 - with CPS presumably exempt."This should free up $200 million in our current budget," he said.He warned lawmakers not to tap the rainy day fund, which is expected to have $11.9 billion by the end of the next two-year cycle. Continue reading...
Abbott Freezes State Hiring, Begins Jockeying With Texas Lawmakers Over Budget
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