Governor Deval Patrick has signed a $27.6 billion budget that includes deep cuts in aid to Massachusetts cities and towns...because of the failure of the US Congress to make available matching Medicaid funds. Making clear whom he serves, the Democratic governor boasted that the big bond rating agencies are happy about his budget initiatives, adding that “business confidence is soaring.”
(Deval's budget) includes layoffs, drastic cuts to funding for schools, libraries and other public services, and a shifting of the tax burden onto the working class through increased sales and meals taxes.
The US Senate, by refusing to extend unemployment benefits for the long-term unemployed, has not only left 30,000 such people in Massachusetts in the lurch, but also killed the FMAP (Federal Medical Assistance Percentages) funding included in the bill. The program would have provided more than $600 million in matching Medicaid funds to Massachusetts, enabling the state to free up funds for other purposes.
Patrick responded quickly to the federal cuts by vetoing more than $450 million in state appropriations, including $264.5 million for the Department of Health and Human Services and $65.7 million for the Department of Education. The state legislature did not fight Patrick’s veto, and also agreed to cuts of 4 percent in local aid and 3.1 percent in public education funding.
http://www.wsws.org/articles/2010/jul2010/mass-j13.shtml