Governor Fletcher’s Plan Continues Focus on Education, Economic Development
Frankfort KY: The Office of Governor Ernie Fletcher announced today the 2nd quarter Public Services Continuation Plan to continue the necessary services provided by state government. The 2nd quarter plan is an extension of the 1st quarter plan and will be effective from October 1 through December 31, 2004.
“The spending and resource priorities in my plan will continue to reflect my commitment to fiscal responsibility and promoting expanded opportunity to broaden and improve the quality of life for all Kentuckians,” stated Governor Fletcher.
The Plan is being executed to continue government operations in the absence of a legislatively enacted budget and maintains the Governor’s chief priorities of education and economic development.
The Plan is comprised of an executive order authorizing Robbie Rudolph, Secretary of the Commonwealth’s Finance and Administration Cabinet, to provide further payments of the Commonwealth’s financial obligations within the limits outlined in the plan.
The Public Services Continuation Plan is built on a foundation of fiscal integrity which will provide for the needs of Kentuckians on an interim basis until the General Assembly enacts a biennial budget. Furthermore, the plan recognizes the spending limitations set forth by the Franklin Circuit Court in light of litigation challenging the authority of the Governor to operate the government without a legislatively enacted budget.
“As governor, I have the responsibility to ensure the continuity of public services for every Kentucky family, and the Public Services Continuation Plan has proven very effective in helping us do that.”
The Plan reflects a limited number of adjustments as compared to the First Quarter Plan. These include a 2.3% Cost of Living Adjustment (COLA) for retired teachers and certified employees in the Kentucky Teachers Retirement System, which was announced by Governor Fletcher on September 21 and will benefit approximately 36,000 retired teachers. Also included in the plan are $15 million additional General Fund and $34.3 million additional Federal Funds for the Medicaid Program.
Governor Fletcher continued, “This plan remains a sound public policy document that will keep state government operating in the absence of a legislatively enacted budget. The Public Services Continuation Plan maintains government services and helps us keep Kentucky moving forward.”
EDITORS NOTE: A copy of the 2nd quarter Public Services Continuation Plan has been attached.
# # #