Colorado lawmakers empower the governor to make $300M in budget cuts
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Colorado is facing a budget shortfall estimated at $750 million, and Gov. Jared Polis is the one holding the axe.
State of play: Rather than chopping themselves, state lawmakers are deferring to the Democratic governor to find roughly $300 million in cuts to help close the budget gap.
Top Democratic lawmakers say the current special legislative session is too frantic to make spending changes and prefer a deliberative process.
- Instead, the majority party is focused on repealing tax breaks worth millions to generate more revenue and lessen the size of potential cuts.
Reality check: By punting the decisions to the lame-duck governor, lawmakers won't be responsible for the cuts.
The latest: Earlier this year, Polis instituted a hiring freeze and asked state agencies to identify 2.5% in potential spending cuts.
- The governor will present his plan to the legislative budget committee Thursday. The draft trims along the edges rather than slashes major programs, officials say.
- Other options on the table include pay cuts for service providers, pre-authorization rules for Medicaid recipients and taking money from agency cash accounts.
The intrigue: Unlike Denver, which is facing its own budget shortfall, Polis set a goal not to institute layoffs or furloughs.
The other side: The governor's authority is in existing law, but legislators are streamlining the process and adding guardrails.
- Colorado lawmakers approved legislation Sunday to require the governor to consult with the legislative budget committee on the plan to trim spending.
- The bill also requires the governor to take action in the future when the reserve is needed to cover shortfalls that amount to roughly $500 million.