Peninsula Daily News News Services
OLYMPIA — Gov. Chris Gregoire says if $480 million in Medicaid matching money doesn’t come from the federal government by Aug. 9 she will have to consider a special session of the Legislature to deal with the state’s finances.
She said Thursday she would consult with legislative leaders to limit a session to a day or two.
Washington and about 30 other states built their current budgets on an expectation that Congress would continue higher Medicaid matching payments, which were part of an economic stimulus package.
Congress has not yet decided on whether to continue the additional Medicaid dollars.
It was hoped that lawmakers could wait until they return in January to deal with potential budget problems.
Heading into the 2011-2013 spending period, the state’s operating budget is about $3 billion in the red — and the slow economic recovery is forcing fundamental changes in state operations including brief unpaid furloughs of state employees.
To give the public a say in expected cuts, Gregoire is asking for ideas on a website — www.transformwabudget.ideascale.com — and holding a series of forums.
Forums were held Monday in Tacoma and Wednesday in Everett.
Two more are planned next week — Tuesday in Vancouver and on Thursday in Spokane.
