Both parties in the House have gone into caucus to talk about state employee pay cuts and the state budget. Republicans also plan to talk about transportation; their caucus is meeting behind closed doors, while the Democrats are meeting openly. House Minority Leader John Rusche, D-Lewiston, told his caucus, "The going at-ease was called by the Republicans, because there is a discussion ongoing about language on employee compensation." Prior to going into caucus, Rep. Shirley Ringo, D-Moscow, said, "A lot of our state employees aren't that well-paid to start with. The more we cut the pay the less money they'll have to spend. ... I don't mind using the rainy-day fund or anything at this stage to try to protect those people as much as we can, and if anything, I think it might stimulate the economy so we come out of this sooner rather than later." She said she "felt very positive" with the governor's compromise proposal yesterday, which offered to reduce the statewide cut in personnel costs from 5 percent to 3 percent, while eliminating the requirement for an across-the-board pay cut.

There's concern among many budget-watchers that a 5 percent personnel cut will mean layoffs and shutdowns of state agencies, while a 3 percent cut might be enough less to avoid those moves. However, House GOP leaders have been holding out for the 5 percent. "That appropriation bill would've gone down on the floor yesterday," said House Assistant Majority Leader Scott Bedke, R-Oakley, who noted that many House members are deeply concerned above the moves. He said he expected the GOP caucus to last about an hour. "It'd be nice if there were a way that nobody got laid off," Bedke said, but he said that's unlikely.

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