Markell Budget Calls for Layoffs, Program Cuts

Del. Governor proposes $3.4B budget

There could be some some cuts and layoffs but no new taxes in the First State.

Gov. Jack Markell is proposing a $3.4 billion operating budget for the fiscal year starting July 1.

The budget proposal released on Thursday would increase spending by 3.85 percent compared to this year but does not call for raising taxes or dipping into reserve funds.

"This is a difficult, but financially responsible budget. It makes clear our top priority for the present is helping people get back to work and expanding opportunity for people who are working," Markell said.

Markell, a Democrat, wants to use a mix of program cuts, unspent federal stimulus money, and funding transfers to balance the fiscal 2012 budget.

In addition to the operating budget, the governor proposed spending $420.5 million on road and building construction projects, up from about $390 million this year. The proposed capital budget authorizes $222 million for building projects and $198 million for transportation projects.

Gov. Markell canceled the annual budget presentation Thursday afternoon, because of the snow storm.

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Copyright AP - Associated Press
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