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DHS announces budget reductions

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OKLAHOMA CITY (AP) -- The Oklahoma Department of Human Services is cutting its budget and offering voluntary buyouts to its employees in response to the state's deepening budget problems.

State finance officials have declared a revenue failure for the fiscal year that ends June 30, triggering 3 percent budget cuts for the current year. DHS will lose almost $19 million in state-appropriated dollars and a total of $28 million due to the loss of federal matching funds.

In addition, DHS leaders are projecting a $40 million shortfall next year due to a projected shortfall in the state budget for the fiscal year that begins July 1. As a result, the agency is offering voluntary buyouts to all employees, but agency managers will select the number and type of positions that can be eliminated.