Budget battle takes shape in House panel

The state’s budget for the fiscal year beginning July 1 began its tumultuous journey through the Legislature Monday with large-scale changes made by House Appropriations Chairman Cameron Henry, R-Metairie, in large part to fund TOPS, the state’s popular tuition-paying program.  
Gov. John Bel Edwards’ budget recommendation cut TOPS by roughly 80 percent, but he said he will call the Legislature into a second special session in June to raise revenue to fund the program.  
Henry has fought the notion that the state needs to raise more taxes, instead crafting amendments to HB1, the budget, which he carries through the Legislature. His amendments rely largely on spreading out cuts to the state’s partner hospitals on a pro-rata basis and instituting across-the-board cuts.  
But the rift between Edwards and Henry, who share the same goal of funding TOPS, grew wider Monday as Henry defended his budget that prioritizes TOPS without relying on more revenue.  Edwards called some of Henry’s maneuvers “bad policy” and plans to take aim at tax giveaways in the special session.
“It’s a bad idea to simply take across the board cuts,” Edwards said in a news conference. “That’s the easy thing to do -- not the right thing to do.”  
Included in Henry’s changes to the budget, which passed through the Appropriations Committee 18-4, would eliminate the Inspector General, the state’s public corruption watchdog.  
That amendment drew blowback from committee Democrats and Republicans, as well as from Inspector General Stephen Street, who testified the move a “black eye” and a “step backward.”  
“It’s very shortsighted to completely eliminate the funds for an office that plays a critical role in state government,” Street said. “Are we really going to deprive the taxpayer of its independent watchdog?”
Rep. Steve Pylant, R-Winnsboro, suggested the inspector general’s office is unnecessary, as the state already has an attorney general. But Street countered that there are certain “toxic” cases that elected officials will avoid, and that current ongoing cases that no other agency is litigating will end.  
The inspector general is appointed by the governor and approved by the state senate, but cannot be removed from office without a two-thirds vote of both houses.  
Edwards said he does not support Henry’s move to eliminate the inspector’s general’s office.  
DHH and Division of Administration officials have testified during the legislative session that if partner hospitals were cut equally, some of them would walk from their contracts. That, DOA said, drove the decision by Edwards to cut four “safety net” hospitals out of the budget completely, again relying on the Legislature to raise more revenue in a second special session of the year.  
The budget is scheduled to be heard by the full House Thursday when changes could be made and the Senate is expected to make further adjustments to Henry’s proposals.