Citing a $19 million budget shortfall, Gov. John deJongh Jr. proposed three stopgap legislative measures this week: extending the unpopular 8 percent government pay cut; authorizing bank funding to bridge the shortfall; and funding health insurance premiums to the end of the fiscal year. [Governor’s Proposed Legislation]
“If they choose not to pass this proposed legislation, then I call on them to pass any measure of their choice that will deliver the combination of increased revenues and reduced spending in time to make payroll and pay health insurance premiums from now until Sept. 30,” deJongh said in a statement Wednesday announcing the proposals.
The unpopular pay cut was legislated in 2011 as an emergency budget measure and is due to expire July 3, 2013.
“We must have a plan and, like many of you sitting around your kitchen table at home, if there is less money coming in, you have to reduce your spending to what you can afford,” deJongh said in a statement.
Meanwhile deJongh will be sending the Fiscal Year 2014 budget to the Legislature in two weeks, which he said would cut "to the extent he believes those cuts are consistent with the best interests of the territory." Instead of calling for specific measures to raise revenue, the governor said he will lay out several choices for the Legislature to select. He said if there are not any they are prepared to support, they should propose budget cuts to make up the difference.
