• Madison County Record
    • Madison Living
    • Living 50 Plus
    • Explore
    • Classifieds
    • Public Notices
      • Public Notices
      • Alabama Public Notices
    • E-editions
    • Contact Us
    • Services
      • About Us
      • List of Locations
      • Subscribe
      • Policies
      • Terms of use
      • Submit a news tip
      • Submit a photo
      • Birth announcement
      • Engagement announcement
      • Wedding announcement
      • Submit a Classified Ad
      • Letter to the Editor
    • Madison County Record
    • Madison Living
    • Living 50 Plus
    • Explore
    • Classifieds
    • Public Notices
      • Public Notices
      • Alabama Public Notices
    • E-editions
    • Contact Us
    • Services
      • About Us
      • List of Locations
      • Subscribe
      • Policies
      • Terms of use
      • Submit a news tip
      • Submit a photo
      • Birth announcement
      • Engagement announcement
      • Wedding announcement
      • Submit a Classified Ad
      • Letter to the Editor

Hartselle Enquirer
  • Home
  • News
  • Sports
  • Obits
  • Opinion
  • Public Records
  • Madison County Record
  • Madison Living Magazine
  • Classifieds
  • Public Notices
  • Contact Us
  • Services
  • About Us
  • List of Locations
  • Subscribe
  • Policies
  • Terms of use
  • Submit a News Tip
  • Submit a Photo
  • Birth Announcement
  • Engagement Announcement
  • Wedding Announcement
  • Submit a Classified Ad
  • Letter to the Editor
    Hartselle Enquirer
      • Site logo
      • Home
      • News
      • Sports
      • Schools
      • Opinion
      • Events
      • Lifestyles
      • Business
      • Records
      • Special Sections
      • Site logo
      • Home
      • News
      • Sports
      • Schools
      • Opinion
      • Events
      • Lifestyles
      • Business
      • Records
      • Special Sections
    Archives
     By  Staff Reports news Published 
    9:19 am Tuesday, April 15, 2003

    Budget slashing Riley takes aim at state spending

    By Staff
    (Editor's Note: This is the first story in a series addressing Alabama's fiscal crisis and how government officials are tightening the state's financial belt through massive and immediate agency cuts. The series will detail efforts to rewrite the state's 1901 Constitution and how officials hope to offset a $500 million shortfall in revenues.)
    By Kim N. Price BNI News Service
    Gov. Bob Riley sat at the head of a long, mahogany table in the middle of his state Capitol office, periodically digging into a container of sunflower seeds. He pulled out one and crushed it between his teeth.
    A small trash can was placed next to his high-back chair. Your eyes followed the sunflower shell as it is tossed into the trash can and you catch a glimpse of his neatly polished black boots as your glance returns northward.
    With his shirt sleeves rolled slightly up his arms, he gazed down the long table at a group of Alabama editors, propped his elbow on the corner of the table and straight-forwardly declared: "Fellows, you cannot believe how bad it is."
    It was with those words that Riley began telling the story of runaway
    governmental spending that has boot-strapped the state financially and placed Alabama in one of the most severe economic crises since the Great Depression. "Unless we have immediate fundamental and structured changes across the board, we're in for big trouble," Riley said.
    Sitting around the table were Drayton Nabers, the former chief executive of a billion-dollar insurance company, whom Riley convinced to join his team as Finance Director to help put out the fires and find ways to fix the problem. Also there were Toby Roth, his chief of staff and David Azbell, Riley's press secretary.
    No one spoke until the governor had laid out his plans to make immediate and drastic cuts, while maintaining necessary state services. In the end, the governor said the cuts would help erase a portion of an anticipated $500 million shortfall in the coming fiscal year.
    "We're going to take the next three to four months cutting expenses," he said. "The people of Alabama have to be convinced that we're running state government as credible, effective and efficiently as possible before we can make any suggestions for revenue changes."
    Shortly after taking the oath of office, Riley directed Nabers to find financial fat and cut it. "We uncovered millions of dollars in bad decisions, bad deals and indefensible expenditures of our tax dollars. We realized it would be difficult to find that much in cuts but we understand that the responsibility of funding government – our most common means of fulfilling those duties – rests upon those capable of shouldering its costs.
    "But nothing is worse, or more of a breach of the social contract between citizens and state, than for government officials, bureaucrats and agencies to waste the money entrusted to them by the people they serve. We all work too hard for this to be tolerated," Riley said.
    Nabers moved quickly and made a laundry list. He began implementing cuts that, to date, total about $127 million annually. With state tax
    collections showing a 5.6 percent increase, the combination comes out to about $220 million in revenue and savings.
    Nabers began attacking the problems immediately. A legal team was hired to end a Department of Transportation lawsuit that has cost the state about $500,000 per month in litigation costs. More than $200 million has been spent so far on the lawsuit.
    Riley ordered all state departments to reduce personnel costs by at least 5 percent, saving about $75 million annually, and he froze pay raises. He banned "pass-through-pork" projects – the process of hiding money within state agency budgets only to be later handed out by lawmakers as political favors – which will save about $1 million annually.
    He cut the money state employees who travel can spend each day, a move
    that should save $6.1 million annually, and he revoked all state cars
    permanently assigned to government employees, saving about $7 million a year. He cut all but essential out-of-state travel.
    Nabers said the cost of purchasing state-owned automobiles has risen from approximately $11.4 million in 1999 to almost $20 million in 2002. He said the costs of operating those state vehicles went from $13.5 million in 1999 to more than $20 million in 2002.
    The Finance Director said he plans to reduce the cost of purchasing new state cars by at least $5 million and reduce the annual operating costs by at least $2 million. His directive included no more purchases of luxury state cars, such as Crown Victorias.
    The moratorium Riley placed on merit raises for state employees will save some $25.6 million annually. Riley said the state must operate like a business. "If the CEO of a company is expecting a $500 million drop in revenues, it doesn't make good sense to give thousands of employees an 8 percent pay raise, and that's exactly what's happening in state government," he said.
    Riley said cuts would get down to the basics too, for items such as pens and pencils, and copy paper. That's why he hired a professional state purchasing director, who he said can save some $11.7 million in purchasing costs annually. Riley cut his own staff by 30 percent and payroll costs by 20 percent, including his own salary. The total savings in the executive branch was expected to be $750,000 annually.
    Even with all the cuts, Riley said he must have the Alabama Legislature's help to trim even further. A measure he hoped to be part of a package of bills on constitutional reform would give him line-item veto authority. That would allow him to make further cuts in spending. "It doesn't make any sense if the CEO can't manage the business spending,"Riley said. "This is absolutely necessary in the process." That issue has been one every governor before him would like to have had, but lawmakers will tell you that the line item veto issue will be dead when it hits the floor of the Legislature. That's because legislators see control of the state's budgets as their basic function. Riley disagrees.
    "As stewards given the power to spend public money, government officials must first treat every dollar as if it was being taken directly from their own wallets," the governor said. "Only then will the machine of government run properly, and only then will the people voluntarily make whatever appropriate investments are necessary.
    "In the final analysis, if expenditures cannot be justified and balanced against the weight of having that money taken directly from your own purse, then they shouldn't be taken from the public purse," he said. "That simple notion has become a policy within my administration, and we're using it to steadily shape a government worthy of the public's trust."
    For more information on Gov. Bob Riley's plans for state government, visit www.governor.state.al.us.

    Also on The Madison Record
    Madison girls planning annual Lemonade for St. Jude on July 12
    A: Main, Events, Lifestyles, ...
    Lemonade Stand for St. Jude
    Madison girls planning annual Lemonade for St. Jude on July 12
    KADIE VICK kadie@themadisonrecord.com 
    July 10, 2025
    MADISON - Two local girls in fifth and sixth grade are selflessly using time during their summer break to raise money for a great cause. Landri Kruse ...
    {"epopulate_editorials_prism":"epopulate_editorials_prism", "madison-record":"Madison Record"}{"madison-record":"Madison Record"}
    Sparkman track star qualifies for AAU Junior Olympic Games
    A: Main, Madison County Record, News, ...
    Sparkman track star qualifies for AAU Junior Olympic Games
    Bob Labbe 
    July 9, 2025
    HARVEST - With his sights set on attending college within weeks, Joe Quez Keith has a major event he has prepped for that has occupied his entire summ...
    {"epopulate_editorials_prism":"epopulate_editorials_prism", "madison-record":"Madison Record"}{"madison-record":"Madison Record"}
    Little Booths Market Day will debut at The Grove Church July 12
    A: Main, Events, Lifestyles, ...
    Little Booths Market Day will debut at The Grove Church July 12
    Gregg Parker 
    July 9, 2025
    MADISON – A special event for young, aspiring entrepreneurs and vendors will debut this Saturday in Madison with Little Booths Market Day. Little Boot...
    {"epopulate_editorials_prism":"epopulate_editorials_prism", "madison-record":"Madison Record"}{"madison-record":"Madison Record"}
    Discovery recognizes Quamae Jackson as ‘Staff Member of the Year’
    Madison County Record, News, Schools, ...
    Discovery recognizes Quamae Jackson as ‘Staff Member of the Year’
    Gregg Parker 
    July 9, 2025
    MADISON – Quamae Jackson’s job carries personal importance in his life. Teachers and staff at Discovery Middle School selected Jackson as “Staff Membe...
    {"epopulate_editorials_prism":"epopulate_editorials_prism", "madison-record":"Madison Record"}{"madison-record":"Madison Record"}
    Mill Creek archers qualify for World Archery Tournament
    Madison County Record, News, Schools, ...
    Mill Creek archers qualify for World Archery Tournament
    Gregg Parker 
    July 9, 2025
    MADISON – Mill Creek Elementary School is home to numerous toxophilites . . . but there’s no cause for alarm. In fact, the campus is fortunate to have...
    {"epopulate_editorials_prism":"epopulate_editorials_prism", "madison-record":"Madison Record"}{"madison-record":"Madison Record"}
    Madison City Chess League youth augment skills at summer meets
    Madison County Record, News, Schools, ...
    Madison City Chess League youth augment skills at summer meets
    Gregg Parker 
    July 9, 2025
    MADISON – Chess players can avoid the ‘summer slide’ and keep their skills sharpened with numerous tournaments across Alabama and in other states. “Ar...
    {"epopulate_editorials_prism":"epopulate_editorials_prism", "madison-record":"Madison Record"}{"madison-record":"Madison Record"}
    Shakespeare in the Garden returns to Huntsville Botanical Garden
    Events, Lifestyles, Madison County Record, ...
    Shakespeare in the Garden returns to Huntsville Botanical Garden
    Annual tradition making Shakespeare’s plays accessible
    Maria Rakoczy 
    July 9, 2025
    HUNTSVILLE - A midsummer night’s dream becomes reality with Huntsville Shakespeare. Set to a backdrop of golden hour at the amphitheater at the Huntsv...
    {"epopulate_editorials_prism":"epopulate_editorials_prism", "madison-record":"Madison Record"}{"madison-record":"Madison Record"}
    Hallman, Auffenorde, Bartley and therapeutic art set for Blue Apple Books in July
    Events, Madison County Record, News, ...
    Hallman, Auffenorde, Bartley and therapeutic art set for Blue Apple Books in July
    Gregg Parker 
    July 9, 2025
    MADISON – Nail-biting literary drama, self-help and healthy relaxation are on the July schedule at Blue Apple Books. Alabama author Jennifer Hallman o...
    {"epopulate_editorials_prism":"epopulate_editorials_prism", "madison-record":"Madison Record"}{"madison-record":"Madison Record"}

    Leave a Reply Cancel reply

    Your email address will not be published. Required fields are marked *

    ❮ ❯
    Get Legals or Public Notices Published
    Latest Local News
    Madison girls planning annual Lemonade for St. Jude on July 12
    Madison girls planning annual Lemonade for St. Jude on July 12
    MADISON - Two local girls in fifth and sixth grade are selflessly using time during their summer break to raise money for a great cause. Landri Kruse ...
    July 10, 2025
    Sparkman track star qualifies for AAU Junior Olympic Games
    Sparkman track star qualifies for AAU Junior Olympic Games
    HARVEST - With his sights set on attending college within weeks, Joe Quez Keith has a major event he has prepped for that has occupied his entire summ...
    July 9, 2025
    Little Booths Market Day will debut at The Grove Church July 12
    Little Booths Market Day will debut at The Grove Church July 12
    MADISON – A special event for young, aspiring entrepreneurs and vendors will debut this Saturday in Madison with Little Booths Market Day. Little Boot...
    July 9, 2025
    Discovery recognizes Quamae Jackson as ‘Staff Member of the Year’
    Discovery recognizes Quamae Jackson as ‘Staff Member of the Year’
    MADISON – Quamae Jackson’s job carries personal importance in his life. Teachers and staff at Discovery Middle School selected Jackson as “Staff Membe...
    July 9, 2025
    Mill Creek archers qualify for World Archery Tournament
    Mill Creek archers qualify for World Archery Tournament
    MADISON – Mill Creek Elementary School is home to numerous toxophilites . . . but there’s no cause for alarm. In fact, the campus is fortunate to have...
    July 9, 2025

    More Local News

    Our Latest E-edition
    Read the most recent edition
    Latest Stories
    Flow&Grow hosts second Flow Jam on July 26
    Flow&Grow hosts second Flow Jam on July 26
    HUNTSVILLE - Huntsville Flow&Grow provides a community for locals who practice flow arts with weekly meetings and an upcoming Flow Jam. “I was rea...
    July 9, 2025
    USTA U16 Girls Clay Court Nationals set for Huntsville
    USTA U16 Girls Clay Court Nationals set for Huntsville
    HUNTSVILLE - For eight consecutive days, the top under 16 girls tennis players in the United States will spring to action at the Athletic Club of Alab...
    July 9, 2025
    Declining gas prices buck annual trend and earlier expectations
    Declining gas prices buck annual trend and earlier expectations
    MADISON - Bucking earlier expectations for mid-summer, gas prices have continued to decline. Even though the cost for gas locally has risen some since...
    July 8, 2025
    Limestone Co. Sheriff’s Office: Violent felon arrested with weapon, stolen identities in multi-state fraud case
    Limestone Co. Sheriff’s Office: Violent felon arrested with weapon, stolen identities in multi-state fraud case
    LIMESTONE COUNTY - According to the Limestone County Sheriff’s Office, a Birmingham man with a violent criminal history was arrested after detectives ...
    July 8, 2025
    Exclusive: Movie planned on life of baseball’s Jose Canseco
    Exclusive: Movie planned on life of baseball’s Jose Canseco
    Editor’s note: Former Major League Baseball superstar Jose Canseco spoke exclusively with Bob Labbe of the Madison Record about the former All-Star’s ...
    July 2, 2025
    poll
    Latest Sports
    Sparkman track star qualifies for AAU Junior Olympic Games
    Sparkman track star qualifies for AAU Junior Olympic Games
    HARVEST - With his sights set on attending college within weeks, Joe Quez Keith has a major event he has prepped for that has occupied his entire summ...
    July 9, 2025
    USTA U16 Girls Clay Court Nationals set for Huntsville
    USTA U16 Girls Clay Court Nationals set for Huntsville
    HUNTSVILLE - For eight consecutive days, the top under 16 girls tennis players in the United States will spring to action at the Athletic Club of Alab...
    July 9, 2025
    Exclusive: Movie planned on life of baseball’s Jose Canseco
    Exclusive: Movie planned on life of baseball’s Jose Canseco
    Editor’s note: Former Major League Baseball superstar Jose Canseco spoke exclusively with Bob Labbe of the Madison Record about the former All-Star’s ...
    July 2, 2025
    Mitch Daly on the move: Former Bob Jones standout moving from Trash Pandas to 66ers
    Mitch Daly on the move: Former Bob Jones standout moving from Trash Pandas to 66ers
    MADISON- The Rocket City Trash Pandas has made a series of player moves including Mitch Daly. The Bob Jones High graduate and only local player to sui...
    June 18, 2025
    Daly returns home to play for Trash Pandas
    Daly returns home to play for Trash Pandas
    MADISON - Since birth, Mitch Daly has always been on the move as his father, Ed, is a four-star general in the U.S. Army causing him to pack up his wi...
    May 26, 2025

    More Sports Stories

    x

    Sections

    • Home
    • News
    • Sports
    • Opinion
    • Lifestyles
    • Obits
    • Business
    • Sponsored Content
      • Home
      • News
      • Sports
      • Opinion
      • Lifestyles
      • Obits
      • Business
      • Sponsored Content

    Other Publications

    Madison Living Logo Living 50 Plus Logo

    Services

    • About Us
    • Subscribe
    • Advertise With Us
    • Policies
    • Terms of use
    • Submit a news tip
    • Submit a photo
    • Birth announcement
    • Birthday announcement
    • Engagement announcement
    • Wedding announcement
    • Sign Up For Our Free Newsletter
      • About Us
      • Subscribe
      • Advertise With Us
      • Policies
      • Terms of use
      • Submit a news tip
      • Submit a photo
      • Birth announcement
      • Birthday announcement
      • Engagement announcement
      • Wedding announcement
      • Sign Up For Our Free Newsletter

    Follow Us

    Copyright

    © , The Madison Record