Lawmakers Consider Special Session, Could Cost Taxpayers Thousands

Staff and Wire Reports

OKLAHOMA CITY -- Gov. Brad Henry and legislators are discussing a possible special session that may deal with additional cuts to state agency budgets.

A special session could cost taxpayers $20,000 a day, but some legislators said the meeting is crucial for the state's financial stability.

Henry's spokesman, Paul Sund, said Wednesday the governor is discussing the issue but a final decision hasn't been made.

"Gov. Henry and legislative leaders are in general discussions about how to best address the state's deteriorating revenue outlook, but they have made no definitive decisions on a course of action," Sund said.

Earlier this month, agency leaders learned that more cuts may be in order after July tax collections came in nearly $76 million below what's needed to pay the state's bills.

Democratic minority Leader Danny Morgan said a special session is critical to the budget shortfall and hopes they can review the cuts on a case by case basis.

"Some agencies obviously will be difficult to get a eight percent cut then maybe they can get that cut where other agencies take a two percent cut and that would decimate them. I hope they go at this where they scalpel with meat cleaver and say everybody has a five percent cut," Morgan said.

Officials borrowed about $54 million from cash reserves and other funds to make up the difference, but agencies will have to cut their August budgets by five percent.

Most agencies' budgets had been cut by seven percent for the fiscal year that began July 1.

A meeting could mean tapping the state's Rainy Day Fund.

Republican Senator Clark Jolley said he hopes there won't be a need for a special session but it's crucial for stability.

"These other agencies need to know what they have that they can spend, and if we have to spend taxpayers money then that's a necessary evil and the only option the state has if we continue to have the economic downturn that we have," Jolley said.

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- Oklahoma City's Tax Revenue Down
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- State Agencies Must Decide What To Cut Out Of Budget