Rep. Rebimbas and House Republicans Unveil 2011 Budget Plan

Rep. Rebimbas and Fellow Republicans Reveal a Common Sense Budget on tax day erasing $736 million 2011 deficit without raising taxes.

See a video clip from the news conference. Download a copy of the Republicans’ budget presentation shown at the news conference.

Representative Rosa Rebimbas (R-70) stood with her colleagues Thursday and pledged support for the House Republican 2011 budget that erases the $736 million deficit for 2011.

The balanced Republican plan preserves municipal and school aid, establishes a $74.5 million job creation program and eliminates the Business Entity Tax on all companies without raising taxes.

The plan is accomplished by consolidating government agencies and shrinking the public workforce through an early retirement program while still committing $74 million to stimulate job growth.  In addition, Companies that hire the unemployed can earn $17.5 million in tax credits, and the plan establishes a $25 million small business revolving loan fund

“We’re running out of time to make the difficult decisions that will save our state millions of dollars and close the deficit,” Rep. Rebimbas said.  “The time for action is now, before the bill comes due; not after the November elections.”

The hallmarks of the savings:

• $58 million in line item cuts to 2009 levels;
• $64 million in early retirement for state workers;
• $10 million in state agency consolidations;
• $6.4 million to shed state office leases; 
• $20 million in privatization of state functions;
• $150 million in state worker concessions, including wage freezes, furlough days and health care;
• $3.8 million in legislative pay cuts, elimination of franked mail and travel.

The budget also makes significant investments in job creation and retirement security:

• $200 million will be paid into the state employee pensions;
• The Business Entity Tax is eliminated to save companies $32 million;
• A Small Business Revolving Loan Fund of $25 million is created;
• Tax credits of up to $17.5 million will be available to companies that hire off unemployment rolls.