Goetz defends $113 million bonus for state employees

NASHVILLE - State Finance Commissioner Dave Goetz said today the Bredesen administration is sticking by its proposal to use $113 million in available funds to provide one-time bonuses to state employees in the face of a Senate Republican plan to divert the funds to other areas.

Mr. Goetz said forced vacancies are running on average about 70 percent of authorized staffing levels across state government amid a three-year-old hiring freeze.

"We're asking our employees to do a whole lot more and they've not had a raise in that period of time," said Mr. Goetz, who noted recession-battered revenues may preclude additional raises for perhaps another four years. "We need to acknowledge that hard work and effort that they have made to keep this state functioning frankly much better than a lot of other states."

Republican Lt. Gov. Ron Ramsey, the Senate speaker, on Monday dismissed concerns previously raised by legislative Democratic leaders about eliminating the bonus, saying, "I think most of us realize that at a time when we're laying off state employees and there are some cutbacks, now is probably not the time to be providing bonuses."

Mr. Goetz's comments were made to reporters following the Democratic administration's explanation to Senate Finance Committee members of a major amendment to the 2010-2011 appropriations bill that he plans to present.

Senate Finance Committee Chairman Randy McNally, R-Oak Ridge, said Republicans will try to provide details of their budget plan later this afternoon.

The bonus would affect state employees, teacher and higher education workers.

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