Massachusetts Governor to Cut Jobs, Drain Reserves

[JonLP24]

Source: bloomberg

Oct. 16 (Bloomberg) -- Massachusetts Governor Deval Patrick plans to eliminate 1,000 jobs as part of an effort to close a $1.4 billion gap that has appeared in the state budget as the economy falters.

The governor, a Democrat who took office last year, said he expects to lower spending this fiscal year by about $1 billion through job eliminations and other savings, including cutting the annual contribution to the state pension by $100 million. He also proposed draining $200 million from the state's $1.8 billion rainy-day fund, which will require legislative approval.

``There are no easy choices here,'' Patrick said at a press conference at the State House in Boston late yesterday. ``Many worthy ideas and good people will be affected.''

At least 21 states and the District of Columbia face a combined $8.9 billion budget shortfall as income and sales taxes decline amid rising unemployment, the Center on Budget and Policy Priorities said in a Oct. 10 report. Fitch Ratings downgraded Rhode Island's credit rating this week one step to AA-, blaming the economic slowdown and lower-than-expected revenue collection.

Read more: http://www.bloomberg.com/apps/news?pid=20601103&sid=apanELTcqqzc&refer=us

[defendandprotect]

1. They should reverse themselves into GREEN jobs and electric cars . . .

raise a corporation to build electric cars and let's see what happens --- !!!