Pawlenty Cuts City, Health, Education Spending in Unallotment Plan

ST. PAUL, Minn. - Gov. Tim Pawlenty's unallotment plan calls for a $300 million cut in aid to Minnesota cities, counties and townships in attempting to fill the $2.7 billion gap in Minnesota's budget.

Also taking a hit are state health and welfare programs. Human services spending faces a proposed cut of $236 million, and he plans to end the state's General Assistance Medical
Care program on March 1, 2010.

Pawlenty also deferred state aid to K-12 schools by $1.8 billion in the 2010 fiscal year. Schools will get their entitlement in the second half of that fiscal year.

Higher education funding in Minnesota will be cut by $100 million. State agencies face a cut of $33 million.

Pawlenty is using the unallotment power to cut spending after he and the Democrat-controlled Legislature couldn't agree on a budget deal.