By J. Lyn Carl, Reporter, Gallery Watch.com
Austin, TX – Although challenging, Lt. Gov.-elect David Dewhurst said he is confident the state can "balance the budget, keep taxes low and address the challenges in front of us" as the state faces a nearly $10 billion budget shortfall. Dewhurst plans an announcement following his inauguration next week of a series of steps the state can employ to create an unencumbered balance to help offset the state budget shortfall and to help balance the budget.
Saying the state "has some real challenges in front of us," Dewhurst said at a press conference today that "between Sunday night and Monday morning, those challenges got a little larger." The soon-to-be lieutenant governor was talking about State Comptroller Carole Keeton Strayhorn's Monday announcement that the budget shortfall could grow to as much as $10 billion instead of the $5 billion she had previously forecast.
Dewhurst said his and the Senate's efforts will be aimed at slowing down state spending.
He has previously addressed the possible use of "non-tax revenues" to help balance the budget and today said that does not include fees.
"Give us a little time," he said, noting that the Senate is prepared to spend several months for a "methodical process" to reach a consensus on what services are essential. "We're not going to reduce any of the essential services the people of Texas need and deserve."
However, he noted, the Senate will explore ways to ensure that those services are offered "as efficiently and effectively as possible."
"We can provide our services more effectively with less tax dollars."
Responding to questions regarding school finance, Dewhurst said, "There is a consensus it is broken. We've got to stop financing public education on the back of property tax."
He said although assessments are going up and more revenue is being generated by school districts, the state needs over time to lower the amount of money coming in from local school districts and increase (state) general revenue going into public education. "That is our goal," he said, pointing out that with the looming budget deficit that goal "may be tougher this biennium."
Dewhurst said House Speaker Tom Craddick is "very, very interested in this subject," as well as the governor and the comptroller. "In the Senate, we are very aware that school finance is broken. I expect to make progress in this session."
However, Perry recently noted that he does not expect the school finance issue to be resolved this session, citing no real solutions and no consensus.
The Legislative Budget Board's recommendation of $2.8 billion for health and human services spending will be studied, said Dewhurst, with particular attention to the "assumptions" upon which the figures are based. "We're not looking at shortchanging anyone," he said. He noted he is hopeful that the projected Medicaid caseload growth from 1.8 million to 2.9 million is an over-estimate.
Lastly, Dewhurst said he expects to announce Senate committee assignments either Thursday or Friday.