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Govt. spending down by 7.5 percent
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Posted on Apr 19 2002
Government spending over the first two months of the new administration is down by 7.5 percent compared to the same period last year, representing a $1.7 million drop.
The decrease follows the expenditure control directive issued by Gov. Juan N. Babauta in late January for all Executive Branch departments and agencies.
“The Lt. Governor and I realized early on the importance of taking immediate action to control spending,” said Babauta. “We have more to do, but we are very pleased to see these positive results.”
Total government expenditures during February and March this year were $21.5 million compared to $23.2 million during the same period in 2001.
Spending within the Governor’s own office is 23 percent below spending for the same period in the previous administration – a saving of $133,000.
“Cutting government spending to stay within revenue projections is requiring cost control and wise spending by all of us. If I expect departments and agencies to comply, I am going to ensure the Office of the Governor sets the standard,” the Governor added.
Lt. Gov. Diego T. Benavente has also cut spending. His office expenditures dropped to $72,000 in February and March, a 42 percent decrease from the previous lieutenant governor’s spending.
According to the Department of Finance, the Office of the Governor’s account, including professional services, personnel and travel, expended $447,000 in February and March compared to $580,000 over the same period last year.
The Governor has also cut spending on official representation, vehicle rentals, and communications.
As all government offices, the Governor’s annual budget is being cut by 8.02 percent. Even with the cut, however, Babauta hopes to show a surplus for the year.
“We may have to use some of the funds saved by the Governor’s office to pay for critical needs, such as doctors and nurses,” the Governor explained.
Babauta has further ordered departments and agencies to limit their fiscal year 2003 budget requests to comply with the administration’s projections of available resources of $210.8 million.
