Swift trims budget by $271m; some veto
overrides expected

by Daniel J. Fitzgibbons, Chronicle staff

cting Gov. Jane Swift last weekend outlined about $271 million in vetoes and reductions to the $22.6 billion state budget approved by the Legislature.

     As the Chronicle went to press, the House and Senate were meeting to consider possible overrides of Swift's actions on the budget.

     The largest cut made by Swift is a $134 million reduction in the state's $912 million annual contribution to the public employees pension fund. If sustained, the action would slow down efforts to fully fund the state's pension liability by 2018 by extending the target date to 2028.

     Noting that the state currently covers 82 percent of the pension fund, an increase of 43 percent since 1990, Swift said payments should be deferred to free up money for "critical human services and other legally mandated expenses" not included in the legislative budget.

     "While I support the elimination of our unfunded pension liability, I do not think we should make major service cuts at the expense of bills due tomorrow," Swift wrote in her veto message.

     Swift's other vetoes included $20 million for bridge and park construction and State Police patrols in designated areas, $20 million in surplus office and operating funds for legislators' offices, $17 million in smoking cessation funds. Swift also reduced administrative funding for the Group Insurance Commission since an "alternative funding source is available." The budget message does not specify the alternative source.

     Within higher education, Swift doled out some $3.1 million in cuts to community colleges and more than $2.2 million in reductions for the state college system. She also eliminated $2.5 million for the University's endowed chair incentive program and $2.5 million to match private fund-raising by state and community colleges.

     Swift also struck language from the legislative budget that barred the Board of Higher Education from reducing or approving reductions in tuition. She called the prohibition "inconsistent with my plan to keep education affordable."

     Also deleted was $250,000 and earmarking language for an Amherst campus research project on Integrated Pest Management.

     Along with her vetoes, Swift also filed a $592 million supplemental appropriations bill that restores $10.4 million to the Board of Higher Education, which had funding for its operations and programs cut by nearly $30.3 million. Swift's budget plan designates $8.8 million "to preserve financial aid for as many as 30,000 students at public colleges." The move would reverse the Legislature's $7 million cut in the $101 million scholarship line item. Even with Swift's proposed increase, however, the University's earmark will remain level at $93 million.

     The remaining $99,344 backed by Swift would restore funding for the Cape Cod Community College's ETE Job Training Partnership that was eliminated by the Legislature.

     Swift also added $1 million for higher education academic stipends for former foster children and $343,000 for the dual enrollment program at higher education institutions.

     The supplemental spending bill restores funding for the New England Board of Higher Education, which was eliminated in the legislative budget. Last year, the board received $375,000. Under Swift's plan, funding will increase this year to $500,000.