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October 17, 2008

Economic Development Casualty Of Budget Strife

State budget cuts recently announced by Gov. Deval Patrick will affect a wide range of programs in areas including economic and workforce development, according to a new report.

The cuts are designed to help make up for an anticipated $1.4 billion budget gap created largely by reduced tax revenues expected this year.

The Massachusetts Budget and Policy Center reports that one cut will take $27.5 million from economic development funding, including a $20.3 million reduction to the Massachusetts Office of Travel and Tourism. That means the elimination of earmarks for local programs promoting tourism.

The governor's reductions also include an $18.1 million cut in workforce development and labor programs, including a $9 million, or 42.8 percent, reduction in funding for workforce training programs.

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