New state budget would cut $800m

Removing that benefit, provided through the state's MassHealth program, would save the state $164 million but would leave 600,000 residents without vital dental care, including exams, cleanings, and root canals.

Patrick's revised budget proposal does not include money from a sales tax hike that House and Senate lawmakers have approved with veto-proof margins, prolonging the conflict with the Legislature over whether to raise broad-based taxes to plug some of the revenue shortfalls.

The governor has maintained that he would veto the proposal unless lawmakers first approve changes to the states' ethics, pension, and transportation laws.

Patrick also included in his new proposal expected funds from several other targeted tax plans, such as increasing taxes on soda and candy, that have been largely ignored by the Legislature.

The new plan preserves current levels of local education aid, but recommends a further reduction of $80 million in other local aid.

In addition, the budget does not include any funding for the Quinn Bill, a controversial program that protects bonuses for police officers who hold college degrees.

The House also initially eliminated funding but later voted to restore approximately $25 million, about half of what is being spent on the program this year. The Senate approved $10 million for the program.

House Speaker Robert A. DeLeo and Senate President Therese Murray declined to comment late yesterday afternoon on Patrick's revised proposal, which was filed about two weeks later than required.

There has been increasing tension with Patrick recently, particularly over the governor's threat to veto the Legislature's plan to raise the state's sales tax from 5 to 6.25 percent.

A committee of House and Senate lawmakers are planning today to start going over differences in their plans. They hope to send the proposal to Patrick's desk in a few weeks. The fiscal year begins July 1.

Yesterday, Patrick also proposed increasing state employee insurance contributions by 5 percentage points, which would save the state $26 million more than originally proposed, but would increase healthcare costs for state employees.

State revenues have plummeted in recent months, and the revenue estimates the governor and House lawmakers originally built their budgets on have since been revised.

Patrick, who submitted his original budget proposal in January, was relying on an estimate that the state government would receive $19.5 billion next year. The House, Senate, and governor agreed last month to lower that estimate to $18 billion.

Patrick's new proposal for a $26.9 billion budget is more than $1 billion less than his January proposal.

"I remain committed to protecting key programs like education and healthcare and will continue to responsibly manage the state's finances so that Massachusetts emerges from this downturn stronger than before," Patrick said in a statement.

Matt Viser can be reached at maviser@globe.com.