Richardson cuts $68m from scholarship fund

Posted at: 11/09/2009 4:23 PM | Updated at: 11/09/2009 5:55 PM
By: Eyewitness News 4

Gov. Bill Richardson

Gov. Bill Richardson signed a bill Monday that will cut $68 million from a state scholarship fund.

The governor says he signed House Bill 3 reluctantly. Around $68 million out of the $84 million from the College Affordability Endowment Fund will be moved to the state’s main budget account to help fill a $650 million shortfall.

More than 2,300 students are currently receiving scholarships from the program, which was created in 2005.

The legislation signed Monday sweeps up money from various state funds and accounts to help fill a gap in this year's state budget.

Richardson vetoed about $6.5 million that lawmakers wanted to pick up, including funding for domestic violence and pre-kindergarten programs. The governor said his vetoes left nearly $110 million available to be swept up from state accounts.

Richardson did use his line item veto to save $1.7 million for pre-kindergarten programs, $500,000 for domestic violence programs and another half-million dollars for the state auditor.

The governor has until Thursday to sign other bills lawmakers sent him during last month’s special session which includes one that would cut most state agencies by 7 percent.

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