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Published by Statesman Journal

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Published by: Statesman Journal on Nov 30, 2012
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Fellow Oregonians,My recommended budget or 2013-15 is guided by onesimple premise: that all Oregonians deserve their shot atthe American dream. It is a commitment to equity andopportunity or all, secure jobs with upward income mobility,and sae, secure communities where people have a sense o common purpose and commitment to one another.While many o our assumptions about work, progress andairness have been shaken by economic uncertainty, my optimism or a more prosperous uture remains intact. Ourgreat challenge lies in ending the income stagnation thaterodes the middle class, exacerbates inequality, and or the rsttime threatens a generation o Oregonians with the prospect o a declining standard o living.Over the past two years, we have gone a long way towardmeeting this challenge. With bipartisan leadership, we havemade tough choices to set Oregon’s economy on an upwardtrajectory. We came together to close a $3.5 billion budgetgap with a balanced budget built on priorities, not programs.Our priorities have been clear: putting children, amiliesand education rst; investing in jobs and innovation; andreducing the cost o government. We have begun to shif stateinvestment rom addressing problems afer they develop topreventing them in the rst place. Our reorms in educationand health care and our investments in innovation embody the change necessary to accelerate Oregons economic recovery and restore our shared prosperity.We should be proud o what we have accomplished in sucha short time, but there is much more to be done to rebuilda strong, secure middle class and urther expand economicopportunity – particularly in rural Oregon and within ourcommunities o color. Tat starts with reinvesting in publiceducation by controlling the cost increases – including PERS that divert resources rom the classroom. It means lowering the
Govrnor’ Bg Mag
Education First
Good Jobs
Lower Costs
BudGet HiGHliGHts:
Putting Children, Familiesand Education First
Ch safy
$542 million or relie nurseries,child protective services andcommunity health to improve thehealth and welare o children.
eary larnng Rform
Realigns childcare, health careand pre-school services toensure all children are readyto learn when they get tokindergarten.
$8 Bon for ecaon
Reverses the trend o cuts andlayos and better integratesEarly Learning, K-12 andpost-secondary educationand career training.
Mor tachr anschoo day for K-12
$6.15 billion
 plus $253 million in PERS savings
to begin toreinvest in K-12 education,enough to hire an additional500 teachers.
Po-sconaryecaon an tranng
Increases unding or OpportunityGrants to $113.7 million, expandsdual credit and supports tuitionequity to ensure every qualifedOregon high school graduate,regardless o immigration status,has access to aordable highereducation.
Highlights continued …
BudGet HiGHliGHts:
Investing in Jobsand Innovation
Ovr $1 Bon for Cor infrarcr Projc
Funds the Interstate 5 bridge replacement,water projects, university buildings, airport,marine and rail improvements, seismicupgrades, and technology inrastructureprojects that get Oregonians back to work.
$90 Mon for Provn innovaon Parnrhp
Increases unding or the Oregon InnovationCouncil, Signature Research Centers andmaintains university-based innovation,agriculture and orestry research programs.
Workforc tranng
$10 million to better align programs withemployer needs.
Rgaory Rform
Removes barriers to private investment and job creation.
From Povry o Propry
Increases the Earned Income Tax Creditby more than 30 percent and undsEmployment Related Day Care to helpworking amilies keep more o what theyearn and move up the income ladder.
Lowering theCost of Government
$865 Mon n PeRs savng
 Adjusts out-o-state benefts and capscost-o-living increases to gain system-widesavings and ensure the long-term viability o public retirement benefts.
$11 Bon n expc Hah Carsavng Ovr h Nx dca
Implements health care reorms or bettercare at lower cost.
$600 Mon n Avo Pbc safyCo Ovr h Nx dca
Reduces the cost o corrections throughpublic saety reorms and investments inproven crime prevention and communitycorrections strategies.
cost o health care to make small businesses morecompetitive and better positioned to create jobs.And it requires state government to be disciplinedwith tax dollars to maintain critical services oramilies still acing economic uncertainty.My recommended budget or 2013-15 includes costsavings in PERS compensation, in health care andin public saety to allow or strategic investmentsin education – including amily stability and early childhood success – while keeping communitiessae and improving Oregon’s business climate orinvestment and growth. It emphasizes partnershipsand community-based investments that movedecision-making to the local level and get betterleverage or public dollars. And it includesaccountability measures to track results over thenext decade.Tere is no quick x to the economic challengesOregonians have aced over the last our years.Central to our success will be having the courageand discipline to look beyond the next two yearsto where we want Oregon to be in a decade andbeyond. We share a vision that includes a strongmiddle class and expanding economic opportunity or every Oregonian in every community in thestate. We share an expectation to raise our amiliesin sae, vibrant neighborhoods with excellent,well-unded schools. And we are committed to theuture generations o Oregonians whose prosperity depends on the decisions we are making today towisely deploy the natural, human and nancialcapital o this great State. Let’s take the next stepstogether. John A. Kitzhaber, M.D.Governor
2013-15 Governor’s Balanced Budget
In Context of a Ten-Year Outlook
“The final step in rebuilding the House of Oregon is to recognize that thekind of transformational change required can't happen overnight or overthe course of a single biennium. It will require a sustained and consistenteffort over the next eight to ten years, built on such a solid foundation thatit can continue to move forward and be sustained regardless of changes inthe executive branch or partisan changes in the make up of the legislature.We have the opportunity and the responsibility to put that foundation inplace...”
- Governor John A. Kitzhaber, M.D., Inaugural Speech, January 10, 2011
The 2013-15 Governor’s Balanced Budget marks a significant departure from previousbiennial budgets. It was prepared with a long-term framework to guide it. It is built onstrategic priorities and outcomes, rather than existing programs, and it aims to achieveambitious goals over the next decade. This budget shifts away from stand-alone agencyinitiatives, instead emphasizing five cross-cutting priorities that Oregonians haveidentified as critical to securing a prosperous future: Education, Jobs and Innovation,Healthy People, Safety and Healthy Environment.This outcomes-based budget targets investments to meet specific 10-year goals. It isdriven by five guiding principles:
Common Vision
– Develop a statewide vision for the state investment now andin the future.
Defined Outcomes
– Define specific outcomes with clear accountability toOregon's citizens.
Fiscal Sustainability
– Deliver programs and services efficiently withinavailable resources.
Innovative Solutions
– Prioritize investments in areas of change andinnovation.
Informed Decision Making
– Rely on evidence-based information to informpolicy decisions and decision makers.
This new approach requires the state to set clear budget limits, expectations and criteriafor investment. It seeks to deliver critical public services more efficiently and effectivelyby integrating, streamlining and reducing redundancy. It changes the focus of the biennialbudget from balancing the bottom line to budgeting to meet long term outcomes. And itdirectly involves Oregonians from outside government in recommending programinvestment levels with accountability measures to track progress over time.

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