Program to Eliminate the Gap (PEG)

Overview

Governor Paterson has created a new initiative called the Program to Eliminate the Gap (PEG). Through PEG, he can issue spending reduction targets for individual state agencies whenever he deems them necessary to address either potential current-year shortfalls or out-year gaps.

After Governor Paterson has called for a PEG, commissioners will then have one month to develop plans to achieve their targets. Once these plans are approved by the Governor and the Division of the Budget (DOB), summaries will be posted on DOB’s website. Progress implementation updates will be added to the site quarterly for each agency, increasing the transparency and accountability of the PEG process.

A PEG Oversight Board consisting of Secretary to the Governor Charles J. O’Byrne, Director of the Budget Laura Anglin, and Director of State Operations Paul Francis has also been created to monitor agency savings plans. If required reductions are not achieved, the Oversight Board may take corrective actions such as a instituting a hard hiring freeze at non-compliant agencies or withholding budgeted funding.

2008-09 Enacted Budget 3.35 Percent Reduction Plans

The 3.35 percent agency spending reductions plans called for in the 2008-09 Enacted Budget will serve as a pilot for the online component of the program. Plans will be uploaded to this website as they are approved. All of these plans are expected to be in place by no later than June 30, with the first quarterly update expected in October. Check back to this website for further updates.