Passage of FY2005 budget eyed next week

The Legislature will try to call for a special session next week to pass the fiscal year 2005 budget.

Senate President Joaquin G. Adriano said that, after meeting with House Speaker Benigno R. Fitial yesterday, he learned that the budget conference committee will meet Monday to put out a final draft of the appropriations bill.

The joint panel, co-chaired by Senate Fiscal Affairs Committee chair Joseph Mendiola and House majority floor leader Oscar M. Babauta, earlier agreed to endorse a $218-million funding level for FY 2005.

Adriano said that, other than the budget issue, there are no other pressing issues that would require the Senate to hold any more sessions this year.

“Other than that [budget bill], we’re not going into session until next year,” he said.

He said he would know by Tuesday if a special session will be held.

“They [conference committee] are coming out with the final draft of the report by Monday. Hopefully we should have that on Tuesday. That will determine if everything is settled. If it’s settled, I will call for a special session right away,” said Adriano.

Meantime, he said that Gov. Juan N. Babauta may end up line-vetoing the budget bill if the conference committee fails to accommodate PSS’ budget at $42 million.

Babauta earlier threatened to veto the proposed appropriation if it does not raise the PSS funding to $42 million as he had requested.

“I agree with raising the PSS budget. All along we were talking with the conference panel back and forth that they should retain what the administration had identified for PSS. If the committee goes ahead with its plan ($38 million), chances of a line-veto by the governor may take place,” said the senator.

The Babauta administration originally asked the Legislature for $226 million for FY 2005. The House of Representatives, however, only approved $212.7 million, rejecting the administration’s proposed Fiscal Integrated Plan, which aimed to generate some $13 million from increased fees and taxes.

The Senate amended the bill and raised the funding to $217.7 million after the administration submitted an additional $5.1 million in projected revenues.

The conference committee has agreed to use the additional revenues to pay retroactive salary increases and within-grade increases of government employees.