Gov. Maura Healey stated she is searching for expanded emergency budget-cutting powers partially to focus on Massachusetts’ quasi-public companies, or a collection of organizations which might be a part of state authorities however function with some independence from Democrats on Beacon Hill.
As Healey signed a $61 billion yearly spending plan earlier this month, she additionally filed laws to grant her extra authority to slash spending throughout all of state authorities as a substitute of simply the chief department that she oversees. Her workplace argued that Massachusetts may face fiscal troubles on account of actions taken by President Donald Trump over the previous seven months.
After an unrelated occasion on the State Home Monday, Healey stated the identical budget-cutting guidelines that apply to government department companies ought to apply to quasi-public companies.
“Obviously, I don’t want to be having to make any cuts, and we’ve tried to be really prudent in this budget that I signed, that the Legislature got to me a little more than a week ago,” she stated. “But we’re going to continue to be in a position, and I share the sentiment with legislative leadership, we’ve got to be in a position to continue to evaluate things as we go over the coming weeks and months.”
She didn’t identify a particular quasi-public company in Massachusetts, however as a substitute stated she is searching for “general authority to do what might be necessary at the appropriate time.”
“I’m not telling you that we’re going to do 9C cuts, but it was important to me to make sure that we have the flexibility and the tools in place to take whatever measures necessary in the best interests of the state and maximizing the dollars that we have,” Healey advised reporters.
Quasi-public companies in Massachusetts embrace the Massachusetts Port Authority, the Massachusetts Housing Finance Company, and MassDevelopment, amongst many others. The organizations make use of greater than 1,300 individuals, in keeping with the Workplace of the Comptroller.
Massachusetts regulation permits a governor to chop spending throughout emergencies solely throughout the government department in the event that they decide there may be not sufficient cash to pay the state’s payments. Healey slashed $375 million in 2024 after the state missed income projections for six straight months.
However Healey’s prime budget-writer stated earlier this month that the invoice the governor filed makes an attempt to go additional.
The invoice would permit the Healey administration to slash spending throughout the whole state finances solely in fiscal yr 2026 if revenues are available in $400 million under preliminary projections or federal coverage modifications go away a $400 million gap within the finances.
Which means if the measure is accepted as written, Healey and Gorzkowicz may scale back spending throughout an unlimited array of applications and companies, in addition to different constitutional workplaces just like the Lawyer Normal’s Workplace, the Legislature, or the State Auditor’s Workplace.
The proposal drew a tepid response from the highest Democrat within the Home.
Home Speaker Ron Mariano stated his management staff has not “really talked about it in great length yet” as a result of the chamber has not but addressed the $130 million Healey vetoed from the annual state finances.
“But it’s giving away some power,” the Quincy Democrat stated. “We’re going to have to think long and hard about making changes like that.”
Mariano did agree that states are “getting hit hard” by Trump’s efforts to cut back the dimensions of the federal authorities, lower spending, and the large tax breaks and spending lower laws he signed at first of the month.
“I don’t think we’re any worse or any better than any other state in the country,” he stated on the State Home Monday. “I think if you listen to what’s going on in New York, and you look at what’s going on in other states, look what’s happening in California, we don’t have armed troops in our streets. So we’re not as bad off as some states. So we’re going to play it as best we can and keep it as normal as we can keep it.”
Earlier Herald reporting was used on this article.
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