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‘House to OK $210M budget’
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Posted on Jun 09 2005
The House of Representatives is reportedly inclined to endorse only $210 million as the government’s budget for Fiscal Year 2006, instead of $225.8 million being asked by the administration.
It seems the House will reject the governor’s proposed poker fee increase and suspension of the Tobacco Settlement and Tobacco Control Funds appropriation, resulting in a lower budget for the next fiscal year, according to a lawmaker who agreed to speak on condition of anonymity.
“It looks like the joint concurrent resolution is not favoring the poker fee increase and the suspension of tobacco funds. Based on the initial talks, the bill would only identify $209 million or $210 million as available resources,” said the lawmaker.
House Ways and Means Committee chair Norman S. Palacios declined to confirm this, saying the budget bill is still being drafted.
“No comment for now. We’re still working on it,” said Palacios.
House majority floor leader Oscar M. Babauta said the leadership has not taken an official position on the matter.
“We have not discussed the budget yet,” said Babauta. “The House Ways and Means has not met to discuss the budget process.”
What the House is deliberating on at this time, he said, is Rep. Clyde Norita’s bill that proposes to increase the Commonwealth’s poker license fee from $6,000 to $10,000.
“That’s on calendar. We’re not even finished with that,” said Babauta.
Meantime, another source said that the budget bill is being drafted with the help of “a special assistant.”
But Babauta said that the leadership is merely counting on the House Ways and Means panel.
The administration earlier submitted a $225.8-million budget for the next fiscal year, which included revenue generating measures—increasing the poker fee by $6,000 and diverting the local poker fees and the Tobacco funds to the General Fund—to raise an additional $19 million.
The administration said that existing resources would only generate $206 million, considering the projected decline of revenues from the garment sector.
Last year, the Legislature finished the budget process for FY 2005 in December.
