Gov. Mike Dunleavy’s proposed budget will be released Wednesday, and very few people outside his office know what to expect.<\/p>\n
Finance Director David Teal, who has worked in the Legislative Finance Division for about 20 years, said the budget process has been a little less transparent this year than most years. The Office of Management and Budget and the governor’s administration haven’t tipped their hands much, he said in a phone interview Monday.<\/p>\n
“We just don’t know what’s coming,” Teal said.<\/p>\n
Many legislators know that at the very least, cuts are coming. Senate Majority Leader Sen. Mia Costello, R-Anchorage, said lawmakers are bracing themselves for major budget cuts.<\/p>\n
“I expect, from what we’re hearing about it, that it’s going to be surprising to a lot of people in terms of the reductions,” Costello said of the budget.<\/p>\n
[‘The $1.6B problem’: Senators, commissioners gear up for budget challenge<\/a>]<\/ins><\/p>\n In meetings, press conferences and news releases, legislators have expressed that they’re expecting major cuts in the budget. For example, Sen. Click Bishop, R-Fairbanks, proposed legislation Monday to try and raise money for school districts with the expectation that there will be budget cuts.<\/p>\n It’s difficult for lawmakers to start their most important job — putting together the budget — when they don’t know the governor’s budget proposal for the first month of session, Costello said.<\/p>\n Dunleavy and OMB Director Donna Arduin sat down for an interview with the Empire on Saturday, and Dunleavy said he expects to hear a great deal of feedback when the budget is released.<\/p>\n “We expect that certainly the budget will be questioned, which it should,” Dunleavy said. “We expect a lot of folks to then lobby their Legislature to put funding in certain areas that they wish to see. We expect that to happen. That’s part of the process. I don’t think anyone will be surprised at that.”<\/p>\n A press conference is scheduled for 10:30 a.m. Wednesday where Dunleavy will talk about the details of the budget.<\/p>\n A look into the process<\/strong><\/p>\n During Saturday’s interview, Dunleavy shied away from using the word “cuts.”<\/p>\n “It may sound philosophical, but we’re not cutting,” Dunleavy said. “We’re building a budget.”<\/p>\n Dunleavy said there will definitely be state jobs cut in this proposed budget.<\/p>\n “Yes I do,” Dunleavy said when asked if he knew how extensive those cuts would be, “and you will on Feb. 13.”<\/p>\n Dunleavy said he believes this administration’s budget process is different from many recent ones because the aim is to match revenues and expenditures without pulling from the state’s savings. A phrase Dunleavy used repeatedly was “core services,” saying his administration identified the most important functions of government and put a priority on funding those.<\/p>\n