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Need for Immediate Budget Cuts Clear
 
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Contact: State Rep. Mike Reynolds
Capitol: (405) 557-7337

OKLAHOMA CITY (November 20, 2009) – The need for immediate reductions in state spending is clear-cut and Gov. Brad Henry needs to stop dragging his heels, a state lawmaker said today.

"Governor Henry keeps saying we need to ‘study’ the budget before cutting spending, but the need for immediate cuts is clear to everyone," said state Rep. Mike Reynolds, R-Oklahoma City. "If you’re spending $475 million a month and bringing in just $400 million, you’ve got a problem. That’s basic grade-school math and we don’t need to hold an endless series of meetings to show we grasp the obvious."

Reynolds said there is no need to waste additional taxpayer funds on a special legislative session, noting the governor has the power to order immediate, across-the-board reductions that address the shortfall.

"We cannot run a deficit in Oklahoma and the governor should act immediately to balance the budget," Reynolds said. "Wishing you had more money won’t make it so and agencies can’t spend IOUs and empty promises, no matter how long the governor takes to ‘study’ the issue."

This year, state revenue has come in 24 percent below projections and officials believe a $1 billion shortfall is possible by year-end. In response, the executive branch has ordered 5-percent cuts in state spending and borrowed $155 million (so far) from state funds that have to be repaid by the end of next June – essentially "promising to repay a loan with cash we don’t have, unless the governor is thinking about transferring money from his favorite pet pork project, the EDGE fund," Reynolds noted.

However, when it was suggested this week that a December special session should be called to immediately address the shortfall, Henry said through a spokesman that lawmakers need to instead "do their budget homework" and hold public hearings on budget cuts.

"Apparently this is news to the governor, but most legislators learned by the third grade that 400 is less than 475," Reynolds said. "I am baffled that he needs to ponder that fact for months before acting. Apparently, the governor thinks if he pretends there’s no shortfall, it will go away, or maybe he is simply trying to delay the tough decisions until after he is out of office. However, if the governor continues to drag his heels, the cuts will be much, much larger in his final months in office with possible massive layoffs for state employees. Governor Henry can avoid that scenario if he will simply man up and order the full cuts."