STATEMENT BY GOVERNOR ABERCROMBIE ON STATE BUDGET

News Release from www.Hawaii.gov/gov

Honolulu – Governor Neil Abercrombie this morning signed into law House Bill 200 CD1, which appropriates funds for the operating and capital improvement budget of the Executive Branch for fiscal years 2012 and 2013. This bill contains a $50 million “fiscal constraints” reduction for each of those two years that must be allocated statewide.

The budget passed by the legislature is less than the Governor’s request by $133 million for FY 2012 and $251 million for FY 2013. The Governor asked his Administration to identify programs, services, and/or activities for possible elimination. Today, he issued the following statement:

“July 1st begins the new fiscal year with a mission to change the direction of Hawai'i.”

“The budget passed by the legislature requires our Administration to operate with hundreds of millions less than we believed necessary to restore core government functions. Despite tax increases passed by the legislature, services and programs will still have to be significantly cut.

“I have asked all departments to work together in a deliberate and thoughtful process that will identify programs that may be affected. In recent weeks, our administration began discontinuing financial support of programs that are valuable but can no longer be sustained, such as Vanpool Hawai'i and the State Pharmacy Assistance Program. These cuts and others that follow will be difficult but the financial constraints we face allow for no other course of action.

“This in no way alters our commitment to our three-part plan to get Hawai'i moving forward by creating good jobs; transforming government and providing taxpayers with the best value for their dollar; and investing in our priorities and future.”

###