Speaker Bill Howell Addresses State Budget Cuts
By Broadside Staff Writer Rachel Palting
Bill Howell, the Speaker of the Virginia House of Delegates, spoke about the state budget crisis and its effects on the state, the university and college students. The lecture began with a brief explanation of the bi-annual budget passed last spring and put into effect last summer until 2010.
The financial plan was based upon increases in revenue for the next two years. However, due to the recent drops in the economy, Governor Tim Kaine announced a probable $2.5 million shortfall and a need to cut spending, which Howell discussed on Tuesday in Research 1. The shortfall was projected by a group of economists serving as advisors to the governor.
“The governor out-front is trying to cut expenses,” said Howell. A reduction in spending is already evident in recent job layoffs. Kaine has already let go of 7,000 employees and decreased the executive mansion household expenditures to accommodate for the deficit.
The big concern among the Virginian politicians is that the $2.5 million shortfall is not adequate because of bigger economic plunges. Yet Howell remains hopeful.
“Technically, we’re not in a recession in this country or in Virginia yet,” he said. “But I really think one’s coming, and I think we need to prepare for it.”
Howell proposed a more aggressive approach to the budget deficit and suggested a higher figure of $3.5 million.
Howell kept a positive light on the situation.
“It presents a good opportunity to re-examine how we put our budgets together, what our core responsibilities are, and maybe re-adjust our priorities,” Howell said.
Three categories in the state budget, K-12 education, Medicaid and social services, take up more than half of the state’s funding. Howell formed the Virginia Reform Initiative, a non-profit organization, to find ways for the government to deliver more services in a more efficient manner.
“We’re still governing Virginia in a 20th century mode,” he said. “We’re in the 21st century. We have to adjust.”
“I’m very concerned about what they’re possibly doing to community colleges. They’re suffering enough as it is. I’m also concerned about what they’re saying about K-12,” said Victoria Meixell, a sophomore majoring in psychology.
Howell also complained about the lack of accountability for government funding. The government does not always know exactly where the money is going. He cited examples from grants given out by the Virginia Department of Mental Health, in which money amounts ranging in the thousands were being given to mentally disabled people to start their own businesses or take classes.
“That may be good. But is that something you want your taxpayer dollars on? I don’t know,” Howell said. “I think this is an opportunity to one: restructure the ways we fund our system. We can’t continue to have three items to make up 54.5 percent of our budget and be growing faster than our revenue. Secondly, I think this is an opportunity to dig in on our different agencies and departments and have them have some accountability.”
After his lecture, Howell opened the floor for questions. Many inquired how George Mason University would be affected specifically. He responded that the budget cuts would influence each college differently, but tuition would inevitably rise. The state would continue to offer scholarships and assistance funds in support of education.
However, Howell concluded that all schools are requesting more money due to recent economic times.
Students voiced other apprehensions regarding the budget crisis.
“I’m also really concerned that we’re not investing in more things in solar and wind power, and that [Howell] was more interested in funding nuclear power,” Meixell said.
“Ultimately, I was worried about financial aid, student loans,” said Emily Ericson, a senior majoring in communication. “Most of that, I understand, comes from the federal government. But it was good to hear how the state budget was going to affect me in general.”
“Overall, I’d like to see what they do to implement [their plan]. People can talk about a lot of things and until I see something in action, I can’t decide whether or not it was the right decision. It seems like they realize a lot of the problems that we have, and they’re trying to do something about it,” said Ericson.