Gov. Bentley announces plan to save $1 billion - WSFA.com: News Weather and Sports for Montgomery, AL.

State leaders will work to save $1 billion of taxpayer money.

"We are trying to show the people of Alabama that we are doing exactly what they have asked us to do and that is right-size government and make it more efficient" Governor Robert Bentley said during the announcement Thursday.

It's all part of a new program called, "Right Size Alabama Government." The governor said there will be more announcements in the future on savings realized by the initiative.

In announcing Right Size Alabama Government, the governor along with Lieutenant Gov. Kay Ivey, Speaker of the House Rep. Mike Hubbard, and Senate President Pro Tem Del Marsh announced the progress toward the $1 billion goal.

The state has already developed $674 million in future savings. The bulk of the savings came from reforms to the state's pension system. The Alabama State Legislature approved changes to the Retirement System of Alabama's biggest funds during the regular session. The state will pay less into the system for all new employees starting January 1, 2013.

Those changes combined with additional reforms that passed in 2011 combine for $345 million in savings.

Governor Robert Bentley also stressed how trimming the state's workforce is a key to savings.

"We know that when we talk about downsizing, or at least right-sizing our state employees and the numbers that we have, we're doing that to make sure there's efficiency" Gov. Bentley said.

He touted cutting 3,058 state government jobs since he took office in January 2011 which led to a projected savings of $181 million.

"Most of the jobs that left were from retirement and from attrition" Gov. Bentley said when asked how the jobs were eliminated. "There are a few jobs of people who have lost their jobs because of the downturn in the economy."

According to the Retirement Systems of Alabama, 1,730 workers in state agencies retired between January 2011 and June 2012.

1,328 workers have been laid off since the governor took office.

The governor reiterated that he appreciates all of the work state employees do on a daily basis and insisted that the cuts were the will of the people when they elected him and the current Republican controlled state legislature into office.

"They gave us a clear mandate" Gov. Bentley said. "They wanted us to be good steward of the people's money."

Gov. Bentley also countered those job losses by saying how he's announced more than 23,000 future jobs.

The governor said future savings will come, though he didn't specify any proposals that lawmakers will consider for the next Regular Session in February 2013.

He said the recent changes to state employees' benefit plans were substantial and a big help for cost-savings, but wouldn't rule out additional changes next year.

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