Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, April 12, 1994 TAG: 9404120149
SECTION: VIRGINIA PAGE: B-5 EDITION: METRO
SOURCE: Associated Press
DATELINE: RICHMOND LENGTH: Medium
Allen announced the budget amendments as he worked against a midnight deadline Monday for acting on nearly 1,000 bills passed by the General Assembly.
The administration unveiled a plan last week to reimburse the retirees about half the income taxes they paid under a policy overturned by the courts. The retirees would be paid $234 million over four years, with the first $58.9 million being paid out in December.
``The solution to this enormous liability will not happen without some painful budget cuts,'' Allen said in a statement.
To fund the first installment, he proposed using $40 million in unspent balances from the 1992-94 budget. The remaining $18.9 million would come primarily from canceling construction projects at community colleges and Old Dominion University and cutting local school maintenance funds.
Among the major projects that would be cut are a $4.3 million humanities and social sciences building at Piedmont Virginia Community College and a $2 million renovation of a child studies center at ODU.
Community service grants to public television and radio stations and aid to local arts groups also would be reduced.
``When you look at the list, you see everyone shares in this burden,'' said Robert Lauterberg, director of planning and budget. He said the cuts would not hurt education, noting that Allen did not touch the assembly's $100 million plan to increase funding for at-risk students.
The assembly will consider Allen's amendments and any vetoes at an April 20 session.
by CNB