For Immediate Release
House Republican Office
November 29, 2012
For more information:
Jay Finegan, 287-1445
FOR IMMEDIATE RELEASE
AUGUSTA - The Legislature's Appropriations and Financial Affairs Committee met today to receive a briefing from the Revenue Forecasting Committee on a projected $35 million revenue shortfall for fiscal year 2013, which ends next June 30.
Yesterday, the Governor's Office announced that it is considering a curtailment to close this gap. Curtailment is a budgetary power of the executive branch that allows for a reduction in general fund spending across all departments in the face of revenue shortfalls, but not cost overruns. The last curtailment order was issued in 2010 by then-Governor John Baldacci.
"I support the governor's temporary curtailment proposal as a means to deal with the immediate revenue shortfall," said House Republican Leader-elect Rep. Ken Fredette (R-Newport). "Quite frankly, state government cannot spend money that it doesn't have, and we are mandated by the state constitution to have a balanced budget."
Incoming Assistant Senate Republican Leader Roger Katz (R-Kennebec), who currently serves with Rep. Fredette on the Appropriations Committee, echoed his comments: "Although in a perfect world, these curtailments should be made following legislative discussion, the time crunch here warrants the governor's approach. Both Rep. Fredette and I would support accelerated legislative action on a supplemental budget by the newly elected legislature."
Supplemental budgets are often used by the Legislature to close fiscal shortfalls. ###
Maine House Republicans
Tel: (207) 287-1445