RENDELL CHALLENGES REPUBLICANS TO BALANCE BUDGET WITHOUT TAX INCREASE
According to an article in the Pittsburgh Post Gazette, The Rendell administration says it’s tired of seeing Republican lawmakers standing on the sidelines and throwing grenades at the governor’s proposal for a 2009-10 state budget. So Democrats are “challenging” Republicans to come up with a balanced budget alternative of their own “and we’ll take a look at it,” Steve Crawford, Gov. Ed Rendell’s chief of staff, said Thursday.”If they think they can balance a budget without new taxes, let them show it to us,” he told reporters. “So far, the governor is the only one who has produced a balanced budget.” Crawford said that Senate Bill 850 — a $27.3 billion budget plan which the Republican-controlled Senate approved May 6 on a party-line vote — is now $1.5 billion out of balance because of a continuing dropoff in state tax revenues. Republicans have said they won’t even consider hiking the income tax or other taxes, saying that’s the wrong thing to do in a recession. Crawford said then it’s up to Republicans to show how a budget can be balanced using only spending reductions. Erik Arneson, an aide to Senate GOP Leader Dominic Pileggi, issued his own challenge. “If the governor and House Democratic leaders will agree to the principles in Senate Bill 850, we believe we could work out the final details to bring it into balance very quickly,” he said. Click here to read the Pittsburgh Post Gazette article.
FEW STATES HAVE USED BROAD-BASED INCREASE TO SOLVE BUDGET WOES
According to an article in the Patriot News, Most states have taken steps to raise new revenue, but the majority have confined the damage to relatively small expansions of sales taxes on goods or services; higher taxes on tobacco, alcohol or gasoline; or increases in fees such as motor vehicle registrations, fishing licenses and park admissions. According to data compiled by the nonpartisan Washington, D.C.-based Tax Foundation, only 10 of the 41 states that have enacted fiscal 2010 budgets resorted to a broad-based tax increase. Seven — California, Delaware, Hawaii, New Jersey, New York, Oregon and Wisconsin — have raised personal income taxes, mostly on higher-income households. Four — California again, Massachusetts, Minnesota and Nevada — raised sales tax rates. That means 31 other states closed budget gaps through some combination of spending cuts, use of reserves, federal stimulus money and specifically targeted taxes. “Most states have been relying on spending cuts and other moves,” said Joe Henchman, the director of state projects for the Tax Foundation. In those where income taxes have been raised, “it’s not been an everybody-share-the-pain type of an increase. It’s been ‘let’s go after these people at the top.’” In Pennsylvania, a proposed 16 percent personal income tax hike is at the center of a budget stalemate. Click here to read the Patriot News article.
LAWMAKERS ORDERED TO TESTIFY FOR BONUSGATE TRIAL
According to an article in the Patriot News, Dozens of Pennsylvania lawmakers and staffers have received subpoenas in the public corruption trial centered on whether taxpayer money was used for campaign purposes. The Pittsburgh Tribune-Review reported Friday that at least 39 subpoenas from defense lawyers were served in Capitol offices, possibly to force testimony at pretrial hearings next week in support of defense arguments that Attorney General Tom Corbett’s prosecutors have engaged in selective prosecution. Former House Democratic Whip Mike Veon and 11 others connected to the House Democratic caucus were charged last summer with using government employees and resources for electioneering. Prosecutors said staffers were paid bonuses out of taxpayer money for working on campaign. Three staffers have agreed to plead guilty in connection with the Capitol bonus scandal. Among those to receive subpoenas for Tuesday’s pretrial hearing in Dauphin County Court were current House Majority Leader Todd Eachus, D- Luzerne, and his predecessor as the Democrats’ floor leader, Majority Whip William DeWeese, D-Greene. Click here to read the Patriot News article.
STUDY SHOWS MOST OF PA STIMULUS MONEY GOING TOWARD REPAIR PROJECTS
According to an article in the Patriot News, Smart Growth America has pegged Pennsylvania as a leader in using federal stimulus money for repair projects. The Washington, D.C.-based group is a coalition of national, state and local organizations that works toward improving the planning and building of communities. It recently released a report titled “The States and the Stimulus: Are they using it to create jobs and 21st century transportation?” Pennsylvania is devoting 91 percent of its federal stimulus funds — the state received more than $1 billion — to fixing infrastructure, the report said. That amounts to $929 million for resurfacing highways, bridge rehabilitation and road maintenance. The remaining funds will go toward expanding road capacity and non-motorized projects, including those for bicycles and pedestrians. “This report shows that in Pennsylvania, we are facing our transportation challenges head-on,” said Judy Schwank, president of 10,000 Friends of Pennsylvania, a land-use policy group. Click here to read the Patriot News article.
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Off the Floor, Room 140 Main Capitol
Agenda to be announced
Senate Rules and Executive Nominations
Off the Floor, Rules Committee Conference Room
To consider certain executive nominations, and to consider: SB 33 Pileggi Amends PA Election Code re Voting Standards Bd
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07/10/09: C-Clips and Press Pass
07/20/09: Research and Reports
07/29/09: Agencies and Associations
08/12/09: Bill Tracking
08/14/09: Research and Reports
08/24/09: Agencies and Associations
08/03/09: C-Clips and Press Pass
