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Wednesday, June 9, 2010

Governor Prepares Cuts And Tax Hikes If No Budget Passed

Governor Paterson is preparing a series of spending cuts and tax increases over the next two weeks if a full state budget is not agreed to. Administration officials say this Friday would be the eleventh emergency spending bill and it could include cuts to mental health and human services programs as well as a one-dollar per pack boost in cigarette taxes. The Legislature has already balked at the funding cuts which Paterson proposed earlier in the year. However, by putting them in an emergency spending bill, lawmakers can either accept them or shut down the government. If a full budget is not in place by next week, Paterson is reportedly considering nearly one-and-a-half billion dollars in cuts to school aid and a nearly 100-million-dollar cut to the state university system. The governor has said he wants the emergency spending bills to serve as incentive for lawmakers to agree on a full budget.