Our state is collecting less revenue due to continued national financial turmoil, Gregoire said. We must act now to reduce our spending and put our budget back in the black without touching the Rainy Day Fund.
UPDATE: Ive attached a letter from Office of Financial Management director Victor Moore to agencies asking for the savings. Heres the only detail on how to select savings:
We need you to use the following criteria to identify these cuts and savings:
2. Continue to pull back on new programs not yet fully implemented; and
3. Scale back existing programs and activities that fall lower in the Priorities of Government process and/or have been identified in your work with OFM as 2009-11 Biennial Budget reduction items. Please consult with your OFM budget analyst and seek appropriate legal advice as appropriate when taking these steps.
The best part of the letter, though is page two, which lists how much each sector is supposed to save. Out of $260 million, $181 million is supposed to come out of the Department of Social and Health Services. DSHS will bear 70 percent of the budget-cutting burden.
And now, again, the video report, which is quite appropriate:
Crossposted at State Workers and Wilson blog.

