The Capitol chatter over Governor Ed Rendell and House Democratic leadership supporting an increase in the Personal Income Tax is nothing more than rumor and opinion, Rep. Jesse White (D-Washington) told PLS Tuesday.
House Democratic leadership, despite what they might have signaled to the media, has not told its members to expect a tax hike in the face of $3.2 billion revenue shortfall, he said.
“You hear whispers in the hall from everybody, but until it’s something that’s out there in the open†I’m not going to consider it, the lawmaker said.
Gov. Rendell said last week raising the PIT should be considered, and House Appropriations Chairman Dwight Evans (D-Philadelphia) went as far on Thursday to tell The Tribune-Review such a broad-based tax increase will be necessary.
Any tax hike will likely find little support in the Republican-controlled Senate, which has approved a $27.3 billion budget that doesn’t include any new taxes or fees. The governor has said he will reduce his original $29 billion proposal by between $400 million and $500 million, although those details have not been unveiled.
Rep. White said most of his rank-and-file Democratic colleagues aren’t excited about a tax increase if leadership should ask for one.
“I can say, from our caucus point of view, that’s not something we’re pushing for,†he remarked. “I can say that.â€
He added that proposing an increase seems pointless anyway until leadership can identify 26 senators who support it. Otherwise, Rep. White said, it won’t reach the governor’s desk anyway.
“Look, if you want to talk about this, let’s talk about it from the point of view from showing me 26 senators who will vote ‘yes,’†he said. “But until then … why are we even talking about it?â€
Republican senators, who control 60 percent of the 50-member legislative body, have said repeatedly they won’t support a broad-based tax increase.
Rep. White said he hasn’t decided if he’ll support a tax increase, although he did say lawmakers need to first consider reductions to government.
“I’m not opposed to cuts,†he said. “In this economy, that’s the first place you gotta look.â€
But the Senate’s $27.3 billion budget proposal makes too many “fundamental cuts,†the lawmaker said, cuts that will hurt programs he and his caucus think are important.
Even if Democrats spent only $27.3 billion, they would likely distribute it differently, he said.
He criticized Senate Republicans for what he called their hypocrisy over the spending bill. They have told interest groups that they support giving money to their programs even though the budget bill they voted for guts their funding, the lawmaker said.
“I’ve been then turning around and having some very frank and candid conversations with a lot of these groups,†Rep. White said, “and said, ‘Look … a lot of people are telling you what you want to here, but as we get closer to crunch time you have to find out who is really with you.’â€
The state’s deadline for approving a budget is June 30.

