Lawmakers reach budget agreement
TALLAHASSEE (AP) – House and Senate negotiators settled their differences over the state budget and turned Monday to revenue-generating proposals to expand gambling and add new taxes and fees in efforts to help balance that plan.
The budget for the fiscal year starting July 1 is expected to top $65 billion, nearly $8 billion less than lawmakers appropriated two years ago. They’ve had to cut spending since, owing to shrinking tax receipts and other revenue during the economic slump.
The revenue drop is expected to continue next year. To avoid a potential $6 billion deficit, lawmakers are seeking to rely on spending cuts, federal stimulus money and increases in the cigarette tax, university tuition and fees for everything from court filings to license plates. Reductions also include a 2-percent pay cut for state employees making more than $45,000 annually.
“It’s reasonable and responsible in view of the times,” said Rep. Marcelo Llorente, a Miami Republican who chairs one of the House budget councils.
Llorente and Rep. David Rivera, a Miami Republican who chairs the other House budget panel, hashed out differences over three days with Senate Ways and Means Chairman JD Alexander, R-Lake Wales.
The trio later agreed to cut legislators’ pay by 2 percent instead of 1 percent as previously proposed in a separate budget implementing bill. That’s atop the 5 percent cut lawmakers took this fiscal year. The added reduction would drop their salaries to just below $30,000.
Alexander next will resume gambling talks put on hold pending a budget resolution.
The House has been reluctant to expand gaming, but a top House negotiator, Rep. Bill Galvano, R-Bradenton, last week moved closer to the Senate’s position.
He offered to let the Seminole Indians have blackjack tables at the tribe’s three Broward County casinos but not four facilities in Tampa, Immokalee, Big Cypress and Brighton. The Senate wants to allow blackjack and other card games at Tampa as well as Broward County casinos.
A gambling deal could generate about $500 million next year, but that would likely go into reserves that could be tapped if revenues continue to drop below expectations.