COLUMBUS — Saying his administration has cut down to “bone, tissue and nerve,” Gov. Bob Taft issued a plea to legislators Wednesday to make no further cuts in the state budget.

        Mr. Taft and his cabinet members predicted the additional cutbacks being pushed by leaders in the House and Senate would seriously damage Ohio's ability to invest in research and technology, attract employers and keep tuition low enough to make community colleges accessible.

        Officials said the administration is already cutting back in key areas, including reducing services to the mentally ill and decreasing the state's ability to crack down on food stamp fraud, liquor sales to minors and illegal gambling.

        In addition, officials said they are planning to cut back state funds for counseling and treatment services for juveniles across the state.

WHAT'S NEXT

Ohio's governor and legislative leaders are struggling to find ways to pay for a $1.4 billion school funding plan they unveiled last week.     Department heads say they expect to learn in the next few days which departments will be hit the hardest. Gov. Bob Taft says he has agreed to $600 million in additional cuts.     Meanwhile, lawmakers acknowledge they are running out of time to reach an agreement. The Ohio Supreme Court has given the state until June 15 to create a system for bringing poorer schools up to par with wealthier ones.     That means the Ohio House must start debate on a bill containing the plan next week, officials say. After the House approves the plan, it must win approval in the Senate before it is sent to the governor for signing.

        In Hamilton County, for example, the state plans to spend $500,000 less on subsidies for Hillcrest School, a Cincinnati juvenile residential center.

        Mr. Taft said such cuts go far enough.

        “To go further would affect Ohio families and citizens in very harmful ways,” the governor warned. “This is as far as we responsibly can go without jeopardizing public health, public safety and the fundamental services the state provides.”

        At issue between Mr. Taft and Republican legislative leaders -including Senate President Richard Finan, R-Evendale, and House Speaker Larry Householder, R-Glenford - is whether more cuts are needed to pay for a new, $1.4 billion school funding plan being unveiled at a time when the state's economy is dragging.

        Mr. Taft said Ohio is being hurt on three fronts:

        • Being in the midst of a national manufacturing recession, which is adversely affecting state revenues.

        • Medicaid costs are on the rise.

        • Paying for the school funding plan.

        The governor said Wednesday he has already agreed to cut $600 million out of the next two-year budget, which begins July 1. At least another $700 million, he said, will come from closing tax loopholes, deferring tax cuts and using $100 million the state had set aside to pay for unexpected increases in the welfare rolls or other emergencies.

        But that still leaves officials $60 million to $80 million short - and that is where the battle is raging. Mr. Taft wants to tap into the state's rainy day fund, which is at $1 billion.

        Legislative leaders want the rest of the money to come from additional budget cuts. They say Ohio does not have the kind of dire economy that would justify tapping into the rainy day fund.

        “Automobile sales are actually up. The stock market has been up a bit this week,” Mr. Finan said. “Cut the interest rates again and more cars and houses will sell. I don't think it's time to raid the rainy day fund.”

        Mr. Finan added that a $60 million to $80 million funding gap - in a $44.8 billion budget - is not very big. He said he's surprised the governor is campaigning so vigorously against cutbacks to make up that shortfall.

        “In the overall picture, we're down to nickels,” he said. “That's why I think (cuts) can be done.” Mr. Householder said overspending, not the state's economy and school funding plan, are to blame for Mr. Taft's inability to balance the budget.

        “What we have is a situation where overspending in state government has been going on for several cycles,” Mr. Householder said. “Now, without continued incredible growth in the economy, we can't keep up.”

        Families who spend money “hand over fist,” he said, know they should cut back spending before they turn to their savings, and Ohio should do the same.

        Gary Cates, R-West Chester, agreed with Mr. Finan. Mr. Cates, a House Republican leader, said he's not sure whether legislators will vote on the school funding plan first and the cuts later, or vote on both the plan and the cuts together. But he said he is convinced rainy day funds will not be needed to balance the budget.

        “That rainy day fund is set aside for when you have a real catastrophe,” he said.

        Mr. Cates said legislators are committed to getting the school funding plan passed by the General Assembly before the June 15 deadline set by the Ohio Supreme Court. The court, which has twice ruled Ohio's current school-funding plan is unconstitutional, said a new plan is necessary to bring Ohio's poorer schools up to par with richer ones.

        Mr. Taft and his cabinet members said they have already cut $175 million from their budgets this year. They said cutting another $60 million or more - on top of the $600 million in agreed-upon cuts - would be too painful.

        After the meeting, Geno Natalucci-Perichetti, director of the Ohio Department of Youth Services, said his department will cut subsidies to counties for counseling, probation officers and services for juveniles. He predicted more cuts in state subsidies to counties will come next year.

        Hamilton County officials said they will try to find other ways to make up for the money, including cutting travel budgets and other expenses.

        Michael Hogan, Department of Mental Health director, said his agency plans to lay off at least 50 people this year.

        He said people are concerned about teachers dealing with more than 28 students in a classroom but caseworkers are struggling to help 30 or more mentally ill individuals across an entire county. With the cuts, that figure could increase to 45 people, he said.

        Lt. Gov. Maureen O'Connor, director of the Department of Public Safety, said the Liquor and Food Stamp Enforcement Unit is down from 153 to 136 employees and has no money available for additional hiring.

        Officials from across the state gathered at the Statehouse atrium Wednesday to protest the cutbacks, saying children and the state's neediest people will suffer.

        Dan Schneider, director of the Public Children's Services Association of Ohio, said 250,000 children in the juvenile justice and child welfare system could be affected.

        “If parents can't get mental health services or drug counseling, children could stay in foster care longer,” he said. “And more kids will be at risk or remain in dangerous situations if these services are not offered.”

        Cutting human services funding to pay for public education may strengthen schools but would have negative effects on communities, said Margaret Hulbert, director of public policy and government relations of United Way and Community Chest in Cincinnati.

        The cuts could affect day care, transportation services, job assistance and meals for seniors, she said.

        It comes down to a basic philosophy, Ms. Hulbert said: “You don't rob Peter to pay Paul.”

       Travis Tritten contributed to this story.
       

After the riots in Cincinnati: Continuing coverage
Three dead in Queensgate wreck
Taft fights additional budget cuts
Auditor out of ballpark plan
Death case enters new territory
Arrests point to Oxy problem
City in turmoil
Sycamore, UC to be partners
To disabled, one friend makes all the difference
Fire, EMS levy renewal before voters
Much new at Fort Ancient
Township limits billboard ads
Boone Co. eager for jail, justice building
Boone looks forward to new jail, justice center
Campaign group sues over chamber's anti-Resnick ads
Coin designers in flap with Mint
Deters runs hard for GOP nod
Interest groups spend big on lobbying
Labor secretary relents, will run benefit program
Luken gets OK to buy West End townhouse
N. Ky. agency helps poor buy homes
New leader voted by teachers
OxyContin abuse task force meets
Police increase security for Derby festival
Report: Better teachers equal better students
Township asks levy renewal
Two bank holdups may be linked
White cop who shot black driver cleared
2-year-old boy's death called suspicious
Kentucky News Briefs
Tristate A.M. Report