Beshear: Bring on the cost-cutting ideas
By John Cheves – jcheves@herald-leader.com
FRANKFORT — During his 2007 campaign, Gov. Steve Beshear pledged to save Kentucky taxpayers $150 million to $180 million a year by finding greater efficiencies in state government.
Now — one year into his term, grappling with a projected $456 million budget shortfall — Beshear is asking taxpayers for their cost-cutting ideas.
The Beshear administration says it’s already saving an undetermined sum thanks to thousands of useful efficiency suggestions submitted by state workers over the past year, such as canceling newspaper subscriptions (the same news stories are available for free on the Web), shrinking the state vehicle fleet through two surplus auctions and reducing some laundry and cleaning services from weekly to monthly.
Starting this month, Kentuckians can offer their own suggestions to the governor’s Office of Innovation, Economy and Efficiency, said Finance and Administration Secretary Jonathan Miller on Wednesday.
Anyone interested should visit www.OpenDoor.KY.gov and click on the compact fluorescent light bulb, Miller said.
Since Beshear took office, his administration has collected more than 3,600 efficiency suggestions from state employees who observed wasteful spending in their daily routines, Miller said. Those tips have helped Beshear cut $432 million in state spending, Miller said, although he could not say how much money the relatively gentle efficiency measures saved as compared to Beshear’s sweeping budget cuts across state agencies, including schools and universities, and the loss of hundreds of state jobs through attrition.
While it’s safe to credit the efficiency measures for “millions of dollars” in savings, it would be risky to get more specific than that, said acting state budget director John Hicks.
Miller did list three examples, with estimated savings amounts, of state workers’ ideas implemented at the Personnel Cabinet:
- Walt Gaffield suggested the state discontinue unnecessary excess risk insurance for workers’ compensation claims that could never be filed ($475,000 a year);
- Neal Lanham suggested that his office stop buying letterhead paper from the state Division of Printing for $1,250 a month and use a simpler letterhead designed on office computers and printed when needed;
- And Tim Anderson suggested that state agencies make better use of free Web conferencing software rather than burn gasoline driving to face-to-face meetings and training sessions. Miller said the cutback in travel should save the state at least $30,000 a year at the Personnel Cabinet, but when it’s implemented across the government, the savings should climb into the hundreds of thousands of dollars.
Filed Under: Featured • State Government • Steve Beshear




Limiting it to only 1500 characters is ridiculous. Todays problems or ideas for resolution cannot be solved in 1,500 characters. Take the limit off, this is silly
Twenty thousand could be found if that guy Beshear just hired at homeland security started at the salary of the guy who just left the position instead of getting a 25% pay increase to it.
Get rid of all of the Ford Crown Victorias that any number of state exectutives drive to and from home. Not all of these people need them. If you are going to continue to provide the vehicles, at least buy less expensive cars to purchase and operate.
Reduce staff in the transportation dept. the state maintenance buildings are a joke. people that work there brag about doing nothing.
Purchase small cars for state use- Malibu, Camry or smaller. Prefer Camry(Made in KY)
No vehicles go home except police. Turn electric off at state offices-except heat at 4:30 each day. Turn heat down to 67*. No more floor heaters for offices..Stop ordering the Newspapers/Magazines by all Government Offices. No more bottled water for free. I can go on and on. Each department reduce staff by 4% tomorrow.
Consolidate Kentucky’s 120 Counties into about 60-80. Reduces services and will be better able to serve citizens. This is not going to be politically popular because the County Judges would have to run against each other. Kentucky has way too many counties.
Hire Larry Forgy, a true conservative, to slash spending as State Budget Director.
Reduce the number of school districts in the state while you are reducing the number of counties.
School districts across the state spend too much energy and money tracking daily attendance. The student attendance tracking system in KY is a joke. Go to a twice-a-year census for school funding and the savings would be substantial.
I agree 100% but we know that politics will win out over common sense.
Encourage various state agencies to quit sending the “Season’s Greetings” cards which are mailed to so many folks and groups this time of year.
While the sentiment is nice, I shudder to think of the budget large agencies have for the printing, labor and postage for these mostly thoughtless and automatic mailings.
If individuals in state government wish to share their sentiment of the year, let them do it with their own cards, on their own time and their own postage. Those greetings would be much more meaningful.
Today I saw a card from Mike McCall and KCTCS. It was a large gold foiled customized message with Dr. McCall’s name and the message printed in gold type. Kind of tacky.
Certainly he, as one of the most highly paid administrators could afford to send these things out on his own. (But I do appreciate his willingness to forego his raise and bonus this year.)
May sound like a dirty word but a raise in taxes of some sort is needed. You can\’t pay more with less. Also, look at county tourism budgets. They are not spent correctly and the law on useage is vague. Do away with tourism commissions and give the money to the counties as a general fund. Most don\’t spend the funds the right way. Stop renting state office space and purchase buildings. May cost up front but in the long run no more high rental costs to the state.
I posted a nice long comment and it did not get posted, can I please ask why? not sure I want to try to do it again.
Simple: Bring off-budget spending into the light of day
In 2004 Ky spent $808 million on economic development.
$571 million of that was spent in tax expendures(off-budget)
$448 million in business tax exemptions
$123 million in economic development tax
incentives
$237 million in on-budget spending
These expendures have become a regular unchecked part of state spending.
We must measure the cost and benefits of economic development programs, evaluate project performance and have flexibility to change course if projects are not achieving desired goals.
It may be a good start to rescind the $20,000.00 raise given to the friend in Homeland security. Gov. Fletcher hired 2 pastry chefs for the mansion. Are they still on the payroll? Lets cut some of the frills before we start taking things away from the people who are actually trying to do the work. Show us that the Executive Branch is willing to suffer along with the rest of us.
I have an idea Gov. Beshear. How about you and your overpaid cabinet take a pay-cut.
The problem with the http://www.OpenDoor.KY.gov is that it is a Finance Cabinet Site. Ask any state employee where waste can be cut and 90% is in tied to the Finance Cabinet. They run the motor pool, printing services, Commonwealth Office of Technology, and buildings. The other Cabinets are not allowed to save money if it means reducing what they pay to a Finance unit. Example, when electronic badge readers were installed in a building a guard was nolonger needed, but, Finance insisted the fee still be paid by the agency. Example, every attempt to reduce computer expenses by eliminating high cost services provided by Finance COT is flatley refused by COT. Building space is more dependent on who the owners are than the best building at the lowest cost. It became a cess pool under the last administration. I expect better from this administration.
Stop spending so much money on cutting down marijuana, it’s not hurting anyone anyway!
Your right about ED expenses.
While plant locations have been down in the USA, due to third world competition, China the largest, Kentucky has had very little activity in Economic Development.
I would like to see a breakdown as to where the money spent, went?
The Commonwealth also needs to close and cut their losses on INTERNATIONAL OFFICES.
The only office, at this time, they need is Japan. The others are a waste of money.
There is little activity in development in this period. So, I would think, rather than throw money at International Offices, it would be better to close those offices.
I sure would like to know what the cost to operate the other International Offices, for the exception of Japan.
Why do we need International Offices with staff in Mexico, Europe, and South America.
Next thing you know, we will have an office in CHINA.
There are many ways to cut cost in the ED Cabinet, but all will resist cut backs and claim it will hinder our job production in Economic Development.
I SAY, IMO, THAT IS NOT TRUE.
Wonder how much or our taxpayer money is going to other countries.
I don’t mind additional taxes to help pay for necessities, however I can’t see raising any tax to cover inflated salaries for political appointees. Let’s take a hard look at the contract employees, see what kind of productivity we’re getting, and who approves their contracts. There are at least two cabinets that are wasting money hand over fist. I also agree with closing any state sponsored office in a foreign country, their only function seems to be monitoring all of the the jobs we’ve exported.
I see lots of ideas on state cars and their uses I looked up the current directors salary.
THe new director is making $75,600 while under the Fletcher administration. the director made $70,000.
I wonder if this $5,600 increase in pay is across the board? If it is then it makes that coldiron $20,000 incerease a pittance.
I wonder if the fleet director brought any additional experience to justify that $5,600 increase in pay or if he is a \”friend of Beshear\” like Coldiron.
The state currently does not have a managed travel program concerning rental cars. A recent press release from the state of Missouri claims they savied $15 million by mandated the use of the state motor pool as the first option, followed by a rental car, and finally mileage reimbursement as the last option. During this time period, Missouri reduced the number of pool vehicles to increase their utilization percentage and thus promote more efficient use. A managed travel program would allow the state an option that could significantly reduce travel expenses. 36 of the 50 states have a managed program.
The biggest problem with the state motor pool is that the bulk are located in and around Frankfort and therefore availability is limited to outlying areas. For instance, if you live in Paducah and need to travel to Frankfort, state vehicles are rarely available. Reimbusing mileage at $.37 per mile will cost approximately $165. Whereas, renting a mid size car would cost around $115 including gas and tax. That is a 30% savings on this example.
State universities, Western Kentucky, Eastern Kentucky, and U of L have already starting reducing their pool fleets in favor of rental contracts. Recently UK, Morehead State, and KCTCS have also been considering possible fleet reductions.