About 20 people will lose their full or part-time jobs and many unfilled posts will remain that way. Other cuts include pulling about half the money in the state fire fund out to beef up reserves and ending a contract with the insurance company that administers Medicaid expansion. The Montana State Historical Society and the state library also saw their budgets gutted, which will result in a vast drop in services.
Dan Villa, Gov. Steve Bullock’s budget director, met with reporters to discuss the cuts, which are required under a law passed during the this year’s Legislative session.
The governor has long insisted on an unofficial rainy-day fund to tap in case of emergency. Lawmakers established such a reserve fund this year, but it was designed to build up during years with faster-than-expected growth. With no money yet in the fund, budget shortfalls can only be managed with cuts.