A Local Breakdown Of The Latest State Budget | Officials say aid numbers look promising
With the state budget season finally winding down, local economic development leaders are scrutinizing the latest numbers and pummeling their state representatives about the prospects for their favorite line items.
“I think the good news is the increase in the local aid distribution,” said Mike Lanava, business resource manager for the Worcester Regional Chamber of Commerce. “We’re going to get some increased relief.”
Curbed Spending
The FY2009 budget signed by Gov. Deval Patrick on July 13 provides about $1.4 million more in local aid than the previous year’s budget, though that is still less than the $2 million hike proposed by the legislature.
Lanava said local aid, which supports municipal budgets, can mean better infrastructure and other improvements that benefit businesses.
In a standard piece of budget-time drama, the governor has vetoed a number of line items benefiting local economic development organizations. Patrick cut state funding for both the North Central Massachusetts Development Corp. and the 495/MetroWest Corridor Partnership from $250,000 to $125,000. He also eliminated a $75,000 allocation for Marlborough 2010 entirely. It remains to be seen whether the legislature will override any of the vetoes.
Paul Matthews, executive director of the MetroWest Partnership, said he was disappointed but not overly surprised at the cut to the organization. He said funds for the group have been vetoed every year since he’s been there.
“This is not a scenario we are unused to working with,” he said.
Matthews said the governor did change his approach somewhat by reducing, rather than eliminating, many items. He said he couldn’t tell whether that would have an effect on the likelihood of overrides.
Heritage Dollars
The Sturbridge area was hit hard by the governor’s vetoes. Patrick eliminated the entire $300,000 in state funding that the legislature wanted to offer the Sturbridge Heritage and Preservation Partnership. He also knocked down funds for an international marketing campaign for Old Sturbridge Village from $200,000 to $100,000.
Ann Lindblad, director of marketing and communications for OSV, said that if the cuts hold they will harm budding efforts to market the region around New England.
“We have invested a lot of time and study into the economic profile of the region, what needs to be done,” she said. “We’ll work to market the region regardless, but certainly you can see that this is a significant part of our plan going forward.”
One group that doesn’t need to worry about pushing for an override is the Massachusetts Manufacturing Extension Partnership. Patrick didn’t touch the group’s line item, which the legislature bumped up to nearly $1.4 million from its FY08 level of $975,000.
Still, with worries about the state’s economy calling tax revenue projections into question, even funding included in the governor’s version of the budget won’t necessarily remain safe. The governor currently has the authority to make midyear cuts to items that fall under the executive branch, and he is now asking the legislature to grant him the power to cut other parts of the budget as well.
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