Treasury Update

May 22, 2012

Inside This Issue:

  • The Truth About State Job Costs
  • Budget-Trimming Bills
  • Substitute Teaching
  • State Bond Commission Update
  • Federal Benefits Alert!

The Truth About State Job Costs

You may have read or heard that Louisiana state government is spending less of your

hard-earned taxpayer dollars because it has fewer employees. That's not true.

It is accurate that we have reduced the number of state jobs over the past 6 years or

so by 7%, or about 1.2% a year, mostly by not filling vacancies, but we are spending

at least $650 million more on salaries and benefits after the reduction. In other

words, we're going backwards. READ THE FULL COLUMN

Treasurer John Kennedy on the truth about state jobs

Budget-Trimming Bills

State Treasurer John Kennedy applauded Rep. Jerome “Dee” Richard

of Thibodaux and the House of Representatives for the passage of two

bills last week which would reduce the number of state contracts and

shrink the size of the state’s workforce without layoffs.

“I’m pleased that these bills moved forward to begin the challenging process of

setting fiscal priorities in our budget and reducing the size of a state government that

taxpayers can no longer afford,” says Treasurer Kennedy.

HB 327 by mandates a 10% reduction of all state professional, personal, and

consulting service contracts. HB 328, also by Rep. Richard, reduces the state

workforce by not filling 5,000 of the 15,000 annual vacancies over the next three

years. The bills now move to the Senate for debate.

Substitute Teaching Resolution

The Louisiana Legislature formally recognized the

importance of experiencing the issues affecting teachers

and students in the classroom, and passed HCR 63, a

resolution requesting that "legislators, statewide elected

officials, and members of the State Board of Elementary

and Secondary Education volunteer to teach in a public

school for at least two days of each year of their term of office."

State Bond Commission Update

At the last Bond Commission meeting:

The State Bond Commission approved over $8 million in

savings by refinancing existing public debt and $67

million for projects statewide at its May 17th meeting,

according to State Treasurer John Kennedy.

“We saved the taxpayers millions by signing off on the refinancing of public debt for

11 local projects,” said Treasurer Kennedy. “The Bond Commission gave approval

for bonds to construct a new public library in Claiborne Parish as well as various

infrastructure and capital improvement projects across the state.”

Federal Benefits Alert!

Do you receive Social Security, VA or other

federal benefit payments by paper check?

The U.S. Department of the Treasury reports that

they are eliminating paper checks completely and

recommend that you sign up to receive electronic

payments via the U.S. Treasury's Go

Direct Program as soon as possible. The deadline

to switch to an electronic payment method is March 1, 2013. Switch now to one of

the two electronic payment options recommended by the Treasury Department:

  • Direct deposit to your checking or savings account, or
  • If you don't have a bank account, or prefer a debit card: the Direct Express Debit MasterCard card.

It’s fast, easy and free to make the switch today. You can switch at your local federal

benefit agency office, online at www.GoDirect.org or by calling the U.S. Treasury

Electronic Payment Solution Center at (800) 333-1795.

For direct deposit, you can also switch at your bank or credit union.

For more information: Visit www.GoDirect.org or view the Go Direct instructional

video.

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