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Thursday, July 28, 2011 - 11:14am

Governor Deal Watching Washington

As lawmakers in Washington continue to negotiate over the federal budget, Governor Nathan Deal has ordered his staff to come up with a plan in the event of deep spending cuts. Many federal dollars are at stake for Georgia.

Governor Deal spent Thursday in Macon speaking to economic development officials from ten Middle Georgia counties. He says they need to work as a region to draw new business.

He says if Washington lawmakers cannot work together it will cause immediate and serious problems for the state.

“64 to 65-percent of the Medicaid cost is the federal share and the state comes up with the balance of that. That is the largest single program that is a cooperative program that federal revenue is so important to keep it going.”

If the federal debt ceiling is not raised unemployment checks could also stop. Close to a third of the state’s budget comes from the federal government. Deal says he is not worried about Georgia losing its Triple AAA bond rating.