Gov. Kaine sets the stage for painful cuts

When the economy turns nasty, Virginia doesn't usually escape with just one punch in the gut. The pummeling comes in three or four bursts, each more punishing than the last.

In keeping with that pattern, Gov. Tim Kaine on Monday somberly warned the Assembly's money committees to prepare for the third round of cuts in just over a year.

Last August, $300 million was pared, followed by $1.4 billion in February. While the governor offered no estimate on how much more will have to be carved out, the forecasts range from $800 million to more than $1 billion over the next two years as the $77-billion budget traces the downward slope of the state economy.

With more than 22,000 filings so far this year, Virginia has the 10th highest foreclosure rate in the country, according to RealtyTrac Inc. State job growth fell below 1 percent last year for the first time since 2003. Sales tax collections fell 4 percent in July as high energy costs eroded consumer buying power.

Kaine warned that there's not enough money coming in to maintain all of the commitments to schools, health care programs and law enforcement. Despite the serious task ahead, the temptation exists for state leaders to get caught up in political distractions. With Kaine's name being bandied about as a vice presidential contender, some Republicans are eager to take the shine off his national credentials. A passel of gubernatorial candidates is already jockeying for advantage in next year's elections, and hurt feelings linger from this summer's failed transportation special session. The serious economic conditions oblige Kaine and lawmakers to shelve the politics while they go about the business of downsizing public services.

Virginia has won accolades for its prudent financial management from Governing magazine, Forbes.com and other organizations. Those honors recognize the ability of state leaders to set aside differences and work together in times of crisis. The latest test of that bipartisan cooperation presents itself.

Some Republican legislators are chafing at Kaine's timetable, which calls for adjusting revenue projections by October. They understandably want to spread reductions over a longer period to reduce the pain.

But Kaine's decision to first obtain a better financial forecast - due out next month - makes more sense. Given the punishing nature of the next round of cuts, prudence requires a better picture of the economy.

Disagreements over such matters of process should not obscure the greater goal, to balance the budget while minimizing disruptions to policing, teaching, health care and other basic services. The most difficult decisions in the current economic downturn lie ahead. State leaders should tackle the job with the same sense of common purpose that has served Virginia well in the past.