Face The State Staff Report
Colorado's Democrat-led state Senate passed this year’s contentious $18.9 billion budget bill Monday afternoon, seizing $500 million from Pinnacol Assurance, the state’s largest provider of workers compensation insurance. While Democrats defended the move, saying it was necessary to fund higher education, they also declined to pass at least 22 alternative cuts introduced by Republicans.
"The Dems' cure for the budget - the Pinnacol heist - is worse than the disease," said Republican Caucus Chair Sen. Mike Kopp, R-Littleton. "And the disease might just be their nearly pathological inability to say no to bureaucrats with their hands out. They couldn't even cut three quarters of a million dollars from the state's higher [education] bureaucracy at a time some of the colleges they serve are scrambling to keep their doors open."
Republicans also argued that taking the funds from Pinnacol could result in higher insurance premiums on businesses already struggling in the nation's current recession. Democrats sitting on the Joint Budget Committee, however, said that without the Pinnacol funds they would have to cut over $300 million from the state's colleges and universities.
As an alternative to the Democrats' plan, Senate Republicans proposed over $400 million of alternative cost reductions. Democrats, who control the Senate 21 seats to 14, passed just one Republican-backed amendment, allowing for a reduction in security at the Capitol by shutting down one of two current public entrances to the building, saving the state about $100,000.
"This budget avoids any tough choices at all," said Senate Minority Leader Josh Penry, R-Grand Junction.
Senate Majority Leader Brandon Shaffer, D-Longmont, ran the amendment that enabled the $500 million seized from Pinnacol to be realized in the budget. Senate Democrats offered no other alternatives for funding higher education.
Below is a list of amendments proposed by Senate Republicans seeking to spare higher education and left Pianncol’s reserves intact. These totals are either calculated or estimated based on the current budget for fiscal year 2009-12.
1. Amendment sought to eliminate General Fund appropriation to the Agricultural Markets Division and 4.7 full time posits. Total savings: $446,927.
2. Amendment would have cut funding to the Department of Corrections for academic and vocational instructors, includes eliminating 34.8 full time positions. Total savings: $3,023,021.
3. Amendment would have reduced funding to DOC for therapeutic community programs, includes eliminating 33.9 full time positions. Total savings: $2,090,308.
4. Amendment sought to reduce funding to DOC for Labor Subprogram. Total savings: $2,804,329.
5. Amendment advocated reducing funding to DOC Personal Services and Recreation Subprogram. Total savings: $3,214,051.
6. Amendment would have reduced funding to DOC for case management for substance abuse. Total savings: $333,000.
7. Amendment would have reduced funding to DOC for parole services, such as substance abuse and mental health follow-up. Total savings: $1,800,000.
8. Amendment would have reduced funding to the state's Economic Development Commission. Total savings: $1,015,767.
9. Amendment would have reduced funding to the Colorado Commission on Higher Education by 25 percent, including 6.9 full time positions. Total savings: $709,895.
10. Amendment would have transfered funding for bioscience research to higher education. Total savings: $4.5 million.
11. Amendment would have reduced state-funded salaries of university employees making over $100,000 by 5 percent and redirected the savings to academic instruction. Total savings: according to multiple estimates, at least $4.5 million.
12. Amendment would have reduced legislative staff salaries, health, life and dental benefits, with proceeds redirected toward higher education. Actual cost savings unknown.
13. Amendment would have lowered the hourly rate for court appointed counsel from $65 to $64. Total savings: $696,223.
14. Amendment sought to reduce funding to the state's Public Defender office, including cutting 42.2 full time positions. Total savings: $4,101,881.
15. Amendment would have reduced funding to Department of Public Safety, Colorado State Patrol and Capitol Security, in a plan at would have included cutting 14 workers. Net gain that would have been realized for higher education: $840,000. The legislature opted to cut back on Capitol security by closing one entrance for a savings of $100,000.
16. Amendment attempted to reduce the amount the state is obligated to pay local governments to offset lost revenue due to the senior citizen and disabled veteran property tax exemption. Total savings: $5,200,000.
17. Amendment sought to adjust funding levels for health, life and dental insurance for all state departments. Total savings: $8,820,225.
18. Amendment would have reduced funding for Personal Services (employee salaries) by 3 percent, saving $28,786,416. Total savings: $28,786,416.
19. Amendment would have mandated furlough days for state employees. Total savings: $46,167,711.
20. Amendment sought to reduce funding to the state's Department of Corrections for private prison provider rates. Total savings: $2,393,596.
21. Amendment would have Redirected some federal stimulus money intended for K-12 education. Total savings: $1.8 million.
22. Amendment sought to reduce all general fund line items, meaning all budgets across the board, by 2.9 percent. Total savings: $213,246,358.
23. Based on expenses incurred by Gov. Bill Ritter’s recent trip to Asia, amendment would have reduced funding to the state's international trade office. Total savings: $81,000.