By Associated Press - Wednesday, June 7, 2017

MONTPELIER, Vt. (AP) - The administration of Republican Gov. Phil Scott is asking state government agencies and departments to come up with plans to reduce their budgets by 2 to 4 percent.

The Times Argus reports (https://bit.ly/2rB7rTu ) the move comes as revenues lag and the administration faces a $5 million reduction in labor costs as part of the 2018 fiscal budget passed by legislators.

Scott’s outgoing finance commissioner outlined the request in a May 30 memo to department and agency leaders. Seven Days first reported on the memo.

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Finance Commissioner Andrew Pallito indicated that the administration is expecting a downgrade in projected state revenues when the Emergency Board meets in July.

Scott vetoed the budget on Tuesday as part of his push to set up a statewide health plan for all school employees.

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Information from: The Times Argus, https://www.timesargus.com/

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