June 17, 2009, 4:17 pm
In a statement released this afternoon, Governor Rendell acknowledged he believes a broad-based tax increase is necessary, in conjunction with additional cuts, to make up the state’s budget deficit. He outlined his plan as follows:
First, unfortunately we must suspend the business tax cuts that were planned for this year known as the phase out of the Capital Stock and Franchise Tax. Since taking office, I have cut business taxes by $1.7 billion. But business must shoulder some of the burden. I am not – I repeat – I am not raising taxes on businesses. I am proposing that — in this recession — we delay further business tax cuts.
Next, I am proposing to raise our state income tax, the nation’s second lowest, from its current rate of 3.07 percent to 3.57 percent. Even with this increase, Pennsylvania will have the third lowest personal income tax rate in the nation.
And I propose that when we enact these tax changes, we write the laws to guarantee that the phase-out of the business taxes begins again in 2012 and that we roll back the state income tax increase to
Continue reading Rendell: "We simply cannot cut enough to balance the budget."
June 17, 2009, 1:54 pm
PA has a special website for information on the Federal Stimulus Funds. Check it out – www.recovery.pa.gov.
June 17, 2009, 11:24 am
The House Judiciary Subcommittee on Courts met to consider HB 1648. The bill was unanimously re-referred to the full standing committee. Check the Capitol Toolbox later for the full story.
June 17, 2009, 11:16 am
The committee voted unanimously to report certain executive nominations. Check the PLS Capitol Toolbox later today for the full story.
June 17, 2009, 10:45 am
The committee unanimously reported out Rep. Bryan Barbin’s (D-Cambria) legislation, HB 1713, which would prohibit the sale or closure of any State Veterans home, center or school. Check the Capitol Toolbox later today for the full story.
June 17, 2009, 10:29 am
The committee met today to discuss its previous report, titled “Pennsylvania’s Film Production Tax Credit and Industry Analysis.” Cheryl Baxter, the Senior Vice President of Economics Research Associates (ERA), and Wes LeBlanc, a Senior Associate of ERA, testified before the committee first. Baxter described film production as a “major economic export,” and added that a tax credit will result in a net economic gain for the Commonwealth. According to Baxter, the film industry is important because it has a “multiplier impact.” That is, the effect of a tax credit would raise employment, create business opportunities, and result in a positive net revenue across the entire state. Mickey Rowley, the Deputy Secretary for Tourism, testified that he agreed with ERA’s entire report and their findings. Finally Jane Saul, Director of the Pennsylvania Film Office, warned the committee that if the tax credit disappears or is significantly lower, the state will lose “$500 million in revenue, about 4,000 jobs, and unemployment costs will rise by $6 million.” Check the Capitol Toolbox later for the complete story.
June 17, 2009, 10:27 am
Representative Kenyatta Johnson (D-Philadelphia) held a press conference today under the Rotunda of the Capitol Building to urge the governor and legislature to support funding for the Patient Injury Reporting and Intervention System (PIRIS). Rep. Johnson was joined by several of his peers, members of the Philadelphia medical community and survivors of gun violence. Rep. Johnson said that the PIRIS program has helped over 3oo gun violence victims and their families reclaim and better their lives and also aims to get to the root causes of perpetual gun violence by collecting relevant data. Check the Capitol Tool Box later for more information.
June 17, 2009, 10:12 am
The House Game and Fisheries Committee met today to vote on two bills and one amendment. Representative Deberah Kula’s (D-Fayette) bill, HB1523 lowers the legal blood alcohol content while hunting and fishing from .10% to .08%. The amendment for that bill, A01797 lowers the amount of time for a blood sample to be taken from three hours to two hours. The amendment was adopted and the bill was unanimously reported as amended. HB 519, authored by Rep. Mathew Baker (R-Tioga) amends the state constitution to provide the right to hunt, fish, and harvest game and was unanimously reported as committed. Check the Capitol Tool Box later for more information.
June 17, 2009, 9:52 am
House Commerce held a public hearing this morning on the state of business development and economic stimulus in the recession. Various business and economic development associations offered testimony to the committee, including the Local Development Districts Association, the Industrial Resource Center Association, and the Small Business Development Centers. Check the Capitol Toolbox later for the full story.
