Governors: Looming cuts threaten economic gains

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Federal budget deficit

(AP Photo)

WASHINGTON (AP) – Exasperated governors say Washington’s protracted budget stalemate could seriously undermine the economy and stall gains made since the recession.

At the annual National Governors Association meeting, the governors are expressing their frustration as they try to gauge the fallout from impending federal spending cuts.

Both Democrat and Republican chief executives are pessimistic that both sides can find a way to avoid the massive, automatic spending cuts set to begin March 1. They point to the latest impasse as another crisis between the White House and Congress that hampers their ability to construct state spending plans and spooks local businesses from hiring.

Hawaii Gov. Neil Abercrombie says the federal spending cuts could lead to 19,000 workers being laid off at Pearl Harbor..

Vermont Gov. Peter Shumlin blames Republicans in Congress for playing game that put jobs and the recovery at risk.

Oklahoma’s Republican chief executive, Mary Fallin, says the partisan gridlock between Congress and the president will have “real repercussions” for families and the states.

Iowa Gov. Terry Branstad says he sees no leadership and just politics as usual in Washington.

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