The governor’s office has pulled the plug on a state program that generated millions of dollars in funding for businesses in Billings and other communities since its creation in the early 1990s.  

Gov. Brian Schweitzer’s spokeswoman, Sarah Elliott, said the $380,000 saved from cutting the program would be used to shore up the state’s general budget. 

The program, which employed four people as regional development officers throughout the state, helped companies plan and finance projects to create jobs.  Living in the regions they worked, the development officers strove to serve as a point of contact with the state Department of Commerce in Helena — and the state and federal resources funneled through it. 

“The RDOs were the ones who could work with the counties and the Sidneys of the world, and I don’t know what they’re going to do without them,” said Linda Beck, director of business outreach and recruitment with Big Sky Economic Development Authority.

In a release, the governor’s office said concerns about declining state revenues spurred the recent decision, which will take effect at the end of December.

“Just like Montana families have to make difficult decisions about finances in these times, so does state government,” said Schweitzer in the release. “We will continue to be accountable for every dollar.  This is not the first austerity measure that I have implemented, and there will be more.”

Montana Department of Commerce spokeswoman Marissa Kozel said the agency would work with partners to en-sure economic resources continue to be available to communities across the state.  

In addition to aiding businesses, the program’s officers also provided training to local development authorities and the state’s Resource Conservation and Development areas.       

“The RDOs were, I thought, a great group of people to work with in the outer areas that have no contact with Helena,” Beck said.  “A lot of the resources that are available people don’t even know about.”

Al Jones, who was the last south-central regional development officer, said that he helped businesses in the area complete about $600 million in projects. 

“We could put 200 hours, 500 hours, 1,000 hours, into looking at a project over several years,” Jones said.  “They never could have done that with an external consultant who would need to be paid.” 

Jones resigned as a regional development officer in July 2008, after more than eight years in the position.  His position was never filled, reducing the number of regions with development officers to four: western, southwestern, eastern and north-central Montana. 

During his time as a development officer, Jones helped many area businesses and development authorities with a number of major projects.  Some of those include:

? Western Sugar Refinery: Jones worked many hours finding funding sources to help a beet-growers cooperative buy the refinery from Tate & Lyle. 

? Hardin Power Plant: Along with others, Jones suggested converting the old Holly Sugar refinery in Hardin into a power plant.  He spent about 1,000 hours on the project, helping with the permitting process and the creation of a new tax-increment financing district.      

? Red Lodge Mountain: Jones said he helped find a buyer for Red Lodge Mountain when it was facing budget problems. 

? Judith Gap Wind Farm: As regional development officer, Jones helped plan the wind farm’s infrastructure and find a work force.