The Colorado Fiscal Policy Institute Monday released a study showing that the budget proposed by Governor John Hickenlooper could eliminate about 3600 Colorado jobs. Most of the lost jobs would be in education, the report claims, but it says there will also be lost jobs in mental health, prisons, health care and parks
“„The budget-balancing plan offered by Gov. John Hickenlooper last month relies heavily on cuts to public schools and will result in the loss of more than 3,600 jobs as services in education, mental health, prisons, health care and parks are scaled back. Most of the lost jobs will come out of classrooms and schools throughout the state as school districts cope with a nearly $500 decline in spending per student.
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“„The governor’s proposal would eliminate 263 state jobs, most from closing a state prison and shutting down programs in mental health facilities. An analysis by the Colorado Fiscal Policy Institute estimates the governor’s proposed cuts to public schools would eliminate another 3,348 jobs. The total job loss as a result of the governor’s proposed cuts would equal 3,611 educators and state employees in communities throughout the state.
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“„The governor offered smaller, yet still damaging, cuts to health care. Hickenlooper’s plan would cut $79.4 million from the Department of Health Care Policy and Financing during this year and next. The largest health care cut comes from Medicaid in 2011-12. The governor proposed cutting $28.8 million in 2011-12, of which $13.2 million would come from the General Fund. The most significant cut in Medicaid would be trimming provider rates by 0.5 percent to save $12.3 million, which includes reducing General Fund spending by $5.6 million. If that provider rate cut is approved by the legislature it would mean provider rates have been decreased 5.89 percent since the start of the recession. Rate reductions can discourage doctors and nurses from working with Medicaid patients because they get paid more to see patients with private insurance. Each provider rate reduction reduces access to quality health care for Medicaid patients — many of whom are children in low-income homes.
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