Monday, October 19, 2009

ChicagoTribune.com | Iowa officials predict 1,000 state layoffs

DES MOINES, Iowa - Officials said Thursday a 10 percent budget cut ordered by Gov. Chet Culver will force at least 1,000 layoffs of state workers -- a figure that's likely grow after Iowa's three public universities announce how they will handle the reduction.

The loss of state employees will likely ripple through myriad government services, from delays in child support collection efforts to delays in court services.

The extent of those job cuts will become more clear on Tuesday, when state agencies must submit their plans for making the 10 percent budget cut. Further reductions will likely be announced later this month when the Board of Regents meets to agree on its revised budget.

"The regents are about a third of state government, so I assume they will get us to about 1,500 to 2,000," said House Speaker Pat Murphy, D-Dubuque. "When people say there are going to be hundreds of layoffs, I say, no it will be thousands."

Richard Oshlo, the governor's top budget aide, is using the 1,000-worker layoff as a working estimate of the impact, said Culver spokesman Phil Roeder, who agreed that figure could climb after the Board of Regents meets.

"It will strike home how serious the economic recession is in this state," said Roeder. "This past month was just stark."

The depth of the cutback will be felt throughout state government.

The Department of Human Services, which oversees programs in areas including health care, nutrition and child care, estimates 150 to 400 of its workers will be laid off.

"There are already strains at the edges of some of our major jobs," said agency spokesman Roger Munns. "The caseloads at our county offices are staggering."

Munns said one area that could be hit hard would be child support collection because employee cutbacks would come at a time when people paying the support are suffering from the recession.

Chief Justice Marsha Ternus has warned that already lengthy delays in access to the state's court system will certainly get worse.

And Public Safety Commissioner Eugene Meyer warned that about 100 law enforcement officers could be laid off.

Legislative leaders also have agreed to cut back, trimming the normal 100-day session that begins in January to 80 days. It costs roughly $60,000 a day to keep the Legislature in session.

In addition, all legislative employees will get six unpaid furlough days, and out-of-state travel is banned while in-state travel is severely limited.

"We will do our part to keep the state budget balanced in these tough economic times," said a statement from Democratic leaders who hold majorities in both legislative chambers.

Culver has said he wants to restore some of the cuts when lawmakers convene in January, but conceded there will likely be little money for that effort.