TennCare takes biggest cuts, but other agencies feel crunch
NASHVILLE (AP) — Cuts to TennCare may make up more than half the $200 million in state budget reductions proposed by Gov. Phil Bredesen, but other departments will feel the biggest crunch.
State agencies handling everything from tourist development to corrections to agriculture would lose money in Bredesen’s $23.8 billion budget proposal presented to a joint session of the Legislature Monday.
The reductions are needed because TennCare funding must increase by more than $1 billion overall to cover uncontrolled growth in medical costs and enrollment. That increase is on top of proposed reductions of $374 million, including $110 million in state spending.
In some cases the agencies still will get more money next year than their current budgets, but some of their programs will be trimmed or eliminated. The money from those cuts is being redirected into other areas and don’t reflect a cut in overall state spending.
For example, the Department of Education would receive $174 million in new money under Bredesen’s plan but still was asked to cut $8.2 million in other areas.
While department officials say the cuts hurt, almost all agree that planning for this budget has been easier than the last, when 9 percent across-the-board reductions were required of most of them.
‘We’re pulling our fair share, we’re not upset with these cuts,’ said Margie Maddox, spokeswoman for the Department of Children’s Services, which stands to lose more than $7.2 million. ‘It’s always painful to take, but we got some things to help us out this year.’
That includes $650,000 to fund 13 additional child advocacy centers, which help investigate child abuse claims in Tennessee, Maddox said.
The Department of Agriculture also expressed pleasure with Bredesen’s plan, particularly his recommendation of $3.6 million to replace 100 bulldozers used to fight forest fires — almost double the 52 originally asked for.
In exchange, the department would cut by 5 percent the grant money it gives to state farmers for boll weevil eradication. It also anticipates bringing in more money from the sale of state forest timber because prices are higher. Of the 160,000 acres of forest managed by the department, about 500-700 acres are cut and sold each year, spokesman Tom Womack said.
‘Any cuts are difficult, but by doing our fair share in the governor’s budget … we’re able to help him focus on some of his priorities — including restoring some funding for conservation and getting funding for the firefighting equipment we need,’ Womack said.
The state’s higher education institutions also have been asked cut a total $9.2 million. That would mean reductions of $3.2 million for the University of Tennessee system and $5.4 million for the Board of Regents institutions.
State colleges and universities also would be required to raise employee pay by 2 percent — at a cost of $24 million — through increases in student tuition.
The Department of Human Services originally was asked to cut $30 million from its budget, but the Bredesen administration restored $10.5 million by using one-time federal funds.
The remaining reductions would come mostly through trimming administrative costs, fewer grants to people with custody of their grandchildren, and less funding for low-income child care.
Among other reductions outlined in Bredesen’s plan:
— Tourist Development: $326,900 from funds for advertising and promotional programs.
— Environment and Conservation: $1 million by abolishing 100 vacant positions in state parks.
— Correction: $1.4 million from capping at $16 the amount the state reimburses local jails for housing state inmates if that jail’s population is above capacity. Jails below capacity would continue to receive $32 per state inmate per day.
— Governor’s Office: $190,200 by abolishing three vacant full-time positions and reducing operational costs.
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On the Net:
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