Budget repercussions - Portland Business Journal:

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“It does not look said SuperintendentCarole Smith. Kulongoski’ds budget, released this week, calls for $1.2 billio n less in spending the next two Some predict the shortfall couldhit $2 billiom in the next few months. That concerna Smith, other educators and socialp service providers who worry about slashing jobs and cutting programs. “Come as early as we might be looking back to this day as a pointg where people wish they saidJillian Schoene, Kulongoski’s spokeswoman. “Thid could be the high-water mark.
” l If health care providera are forced to pay a set of proposeednew fees, Oregon employers could experience healtjh care cost increases, in the form of highere premiums or other means, of 5.5 percent. l The Campaigb for Oregon’s Seniors & People with Disabilities projectz thatnearly 5,800 of Oregon’as most vulnerable seniors and people with disabilities could lose access to criticapl services. Though Kulongoski’s budget steers 6.8 percent more toward Department of Human Services programs overthe 2007-090 budget, the governor said maintaining the department’sx current services level would requirecd a 28 percent funding increase.
The budgeyt proposal could lead tonearly 15,000 lost jobs and eliminater some $806 million in economic activity. l Communityu colleges, which frequently team with businesses on jobs training face collectivebudgets that, at a base levelp of $485 million, are 8.9 percentt lower than money allotted for the 2007-0o9 budget. At , that means a hit of $1.8 milliojn in what spokesman Dana Haynedcalls “hard dollars.” “We took a serious cut at a time when the governo said we’ll hold education harmless,” she “But he didn’t hold us harmless.
” Hayne said PCC’s financial managers don’tg expect to cut positions or entire programs, but that it will be difficultf to build on variouas training curricula. “When people are coming to us everyh single dayand saying, we want to be technicians, nurses, it’s not a good time for us to retrenchb and offer less,” he said. Even Smith, with K-12 schoolsx earning a 2.4 percentg spending increase overthe 2007-09 worries that the figure isn’t enoughy to cover the district’s existing services for the next three years. The district’d annual budget is $452 million. who released his budget Dec.
1, concedes that publifc schools across the state couls fallsome $150 million short unless the stater finds other money. Others are nervou s as well. collects about $1 million, about 8 percent of its operating budget, each year from the If other service providerse lose theiroperating capacity, theird clients could seek help from the food bank’s regional The Oregon Food Bank already distributes more food than it “Because some people will no longer have services, they’lk be driven into the emergenc y food system,” said Rachepl Bristol, Oregon Food Bank CEO.