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06/01/2020
OBM Announces Actions to Control Personnel Costs
The Ohio Office of Budget and Management put out the following release today, June 1, announcing budgetary cuts in the area of state government personnel due to decimated revenue projections for the upcoming fiscal year.
OBM Announces Actions to Control Personnel CostsThis includes cost savings days and additional measures
The following statement can be attributed to the Ohio Office of Budget and Management (OBM) Director Kimberly A. Murnieks:
The State is facing a significant budget shortfall caused by the COVID-19 pandemic and the resulting impacts to Ohio’s economy. On May 5, 2020, Governor Mike DeWine announced actions to balance the fiscal year 2020 state budget. Fiscal year 2021 is projected to remain significantly below original budgeted estimates. OBM has updated fiscal year 2021 revenue projections and the COVID-19 pandemic will continue to negatively impact tax revenue such that available revenue receipts and balances in the GRF will be approximately $2.5 billion less than budgeted. Details regarding the updated fiscal year 2021 revenue projections will be included in the OBM Monthly Financial Report to be released on June 10.
Given the current economic situation resulting from the COVID-19 pandemic, it is necessary that Ohio state government implement immediate additional measures to reduce expenditures by state agencies, boards, and commissions, as planned personnel expenditures for fiscal year 2021 are unsustainable. Therefore, in accordance with Executive Order 2020-19D, Department of Administrative Services (DAS) Director Matthew Damschroder and I will be ordering certain cost savings measures for fiscal year 2021.
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