Bevin orders cuts to fix $152 million budget gap, warns of more - WDRB 41 Louisville News

Bevin orders cuts to fix $152 million budget gap, warns of more problems ahead

Posted: Updated:
Kentucky Gov. Matt Bevin, May 26, 2017 Kentucky Gov. Matt Bevin, May 26, 2017

LOUISVILLE, Ky. (WDRB) --  Gov. Matt Bevin on Friday ordered a mix of budget cuts to state agencies and transfers of restricted state funds to fix a $152 million shortfall in the state’s $10.6 billion budget for the fiscal year that ended June 30.

John Chilton, Bevin’s budget director, said in a press release that the state expects “an ongoing challenge with revenues” in the current fiscal year.

Bevin, in the release, said the situation “dramatically underscores the critical need for fixing Kentucky's broken pension systems and modernizing the state’s tax code."

Bevin plans to call a special legislative session in the fall aimed at passing an overhaul of the state’s tax code and public employee pension plans.

Bevin spared some agencies – such as public universities – from the cuts he ordered Friday.

An executive order released Friday shows that the state’s Medicaid program, which provides health coverage to the poor and disabled, provided the single-biggest source of savings.

Bevin’s press release said his administration cut costs by renegotiating contracts with the managed care organizations – such as Passport Health Plan in Louisville – that administer Medicaid benefits in the state, as well as lower-than-expected prescription drug costs in the program.

The executive order shows that Medicaid took a $38 million reduction in its $1.7 billion budget for benefits.

Copyright 2017 WDRB Media. All rights reserved.

  • Sign Up for WDRB's Sports Newsletter

    * denotes required fields

    Thank you for signing up! You will receive a confirmation email shortly.
  • Stories by Chris OttsMore>>

  • Now making money on Obamacare, Humana still plans to quit exchanges

    Now making money on Obamacare, Humana still plans to quit exchanges

    Friday, November 17 2017 1:46 PM EST2017-11-17 18:46:53 GMT
    Louisville-based Humana is unexpectedly making money on Obamacare exchange plans this year, company reports show.Louisville-based Humana is unexpectedly making money on Obamacare exchange plans this year, company reports show.

    Louisville-based Humana isn’t budging from its promise to stop selling individual plans in the Obamacare health insurance exchanges -- once and for all – in 2018. There’s only one problem: Humana is finally making money on the plans.

    More >>

    Louisville-based Humana isn’t budging from its promise to stop selling individual plans in the Obamacare health insurance exchanges -- once and for all – in 2018. There’s only one problem: Humana is finally making money on the plans.

    More >>
  • Louisville-based Almost Family to merge with bigger competitor

    Louisville-based Almost Family to merge with bigger competitor

    Thursday, November 16 2017 5:06 PM EST2017-11-16 22:06:51 GMT
    Almost Family's headquarters office in LyndonAlmost Family's headquarters office in Lyndon

    Louisville-based Almost Family Inc. plans to merge with its slightly bigger competitor LHC Group to create a national home-health care giant that will operate in 36 states and generate $1.8 billion in annual revenue.

    More >>

    Louisville-based Almost Family Inc. plans to merge with its slightly bigger competitor LHC Group to create a national home-health care giant that will operate in 36 states and generate $1.8 billion in annual revenue.

    More >>
  • Apartment complex planned on old farm land near Oxmoor mall

    Apartment complex planned on old farm land near Oxmoor mall

    Wednesday, November 15 2017 9:25 PM EST2017-11-16 02:25:57 GMT
    A rendering of the proposed apartment complex at 202 Oxmoor Lane.A rendering of the proposed apartment complex at 202 Oxmoor Lane.

    A 301-unit apartment complex is proposed for a portion of the massive, undeveloped Oxmoor Farm behind Oxmoor Center. NTS Development Co. plans to build more than a dozen 3- and 4-story apartment buildings, as well as an outdoor pool, a clubhouse and a two-story parking deck.

    More >>

    A 301-unit apartment complex is proposed for a portion of the massive, undeveloped Oxmoor Farm behind Oxmoor Center. NTS Development Co. plans to build more than a dozen 3- and 4-story apartment buildings, as well as an outdoor pool, a clubhouse and a two-story parking deck.

    More >>
Powered by Frankly
All content © Copyright 2000 - 2017 WDRB. All Rights Reserved. For more information on this site, please read our Privacy Policy, and Terms of Service, and Ad Choices.