Jindal to unveil budget proposal Thursday

Budget haggling for the new fiscal year begins Thursday, when Gov. Bobby Jindal’s administration unveils its spending proposals and its recommendations for closing a nearly $900 million shortfall. Lawmakers say they anticipate cuts to state services in the spending plan for the fiscal year beginning July 1, which will be presented to the joint legislative budget committee. Also expected is another round of state job cuts and an increase in retirement costs for state employees. The state’s general fund is expected to grow by 4% next year, but the increase isn’t enough to cover inflationary costs and to plug all the gaps caused when one-time money used in this year’s budget falls away next year. Commissioner of Administration Paul Rainwater says the administration’s proposals will continue to shrink government. He calls the years of budget cuts an opportunity to make agencies more efficient in spending.