Governor vetoes state budget; Democrats pledge support
by RICKI JO AGENT, STATE CAPITAL NEWS SERVICE
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Democrat Gov. Brad Henry announced Wednesday he was vetoing the $6.8 billion state spending plan for 2008 that passed 48-0 in the Senate and 84-16 in the House.

Rep. Ed Cannaday (D-Porum) was one of the 16 Democrat representatives who originally voted against the budget measure (HB 1234). He and other House Democrats pledged to vote as a group to block any attempt to override of Henry's veto.

"I am excited to see the process open up," Cannaday said. "I respect the governor's decision to veto the original budget."

Cannaday said he voted against the budget bill on integrity, and felt a new round of negotiations would allow more money to go toward teacher retirement.

Cannaday said he believes the budget needs to allocate more money to higher education. With the original budget, double-digit tuition hikes might have been necessary to make up for inadequate state funding, he said.

Cannaday also expressed hope that new budget negotiations would result in higher teacher pay raises to move educators closer to the national average.

The original budget approved by the Legislature was misleading, Cannaday said. Local educators felt the school system was getting more than enough funding, he said, but that was not the case.

The governor said he was rejecting the budget bill because he and House Democrats were not involved in the negotiations, which concluded while Henry was vacationing with his family in Mexico last week.

"The closed-door process created a faulty budget that would not be in the best interest of Oklahoma taxpayers," Henry said in a prepared statement. "I do not use my veto authority lightly, but given the flawed process and the flawed product it created, I had no other choice but to strike down the spending bill to protect taxpayers' best interests."

Rep. Glen "Bud" Smithson (D-Sallisaw) said he supported Henry 100 percent, even though Smithson had voted for the original budget bill. Smithson said he hoped the new negotiations would provide more money for retired teachers and state employees.

"This is Gov. Henry's first veto, compared to the 307 by former Gov. (Frank) Keating," Smithson said. "I see no reason this veto would not be sustained."

It takes a two-thirds majority, or 68 votes, to override a veto in the 101-member House. That means the House would need at least 11 Democrat votes along with all 57 Republicans to override, and Smithson said that was not likely to happen.

The governor's veto did not affect $92 million in emergency funds to address schools, prisons and other essential areas that need supplemental funds to finish the 2007 fiscal year, which ends June 30.

Failure to approve a budget by July 1, the start of the 2008 fiscal year, could result in a government shutdown. Legislators have until late May to develop a budget without going into special session.

Before rejecting the $6.8 billion budget for fiscal year 2008, Henry said he was using his line-item veto authority to strike a proposed $1 million external audit of the state prison system because he felt state auditors could do the job just as well.

Smithson said he agreed with the governor there was no reason to spend another $1 million on a private firm when the state auditor and inspector could provide the necessary oversight.

Meanwhile, State Rep. Joe Dorman (D-Rush Springs) said he planned to introduce an amendment that would require the state to set aside money collected from the state lottery for one year before spending it.

Lawmakers include anticipated lottery collections in their budget calculations. The lottery was originally expected to produce $150 million per year, but only generated about $80 million last year, reducing funding for teacher pay raises and higher education.

Currently, about 45 percent of the lottery goes toward common schools, and another 45 percent to higher education. The remaining 10 percent is devoted to other types of schools and lottery administrative expenses, Cannaday said.

Cannaday said he thought the Legislature should use lottery proceeds to fix existing problems and finance new initiatives. Smithson said he supported Dorman's amendment, but was worried about the cash-flow shortage that would be created during the first year while lottery collections were being set aside for the first time.

Ricki Jo Agent is studying journalism and public relations at the University of Oklahoma, and assists with the page program for the Oklahoma Senate. She is a native of Sallisaw.

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