Tuesday, February 4, 2020

Senate And House Republicans Offer Initial Reactions To Wolf’s FY 2020-21 Budget Proposal

House and Senate Republicans held a press conference after Gov. Wolf’s budget address on February 4 with these initial reactions.
Senate Republicans Concerned About Added Spending, Borrowing
Senate Republican leaders said they are encouraged that the proposal does not include broad-based tax increases.  However, they are concerned about $1.5 billion in additional spending and more than a billion dollars in new borrowing in the governor’s proposal. 
They believe Pennsylvanians deserve a state budget that is fiscally responsible and sustainable. 
-- Senate President Pro Tempore Joe Scarnati (R-Jefferson):  “Senate Republicans remain committed to a budget that respects taxpayers while helping continue to foster job growth and economic development across our Commonwealth. 
“Gov. Wolf’s massive cut to school safety funding while wanting to spend over $1.5 billion more this year is immensely concerning. Ensuring that students and teachers feel safe in their learning environments is a crucial part of helping children to learn and succeed.  
“I look forward to working with my colleagues to make sure the final 2020-2021 fiscal year budget addresses the needs of every area of our Commonwealth.”
-- Senate Majority Leader Jake Corman (R-Centre):  “What we are seeing here is a regurgitation of many of the Governor’s same old policy proposals. This budget contains more than a half-a-billion dollars in tax increases on employers and other things that play to his base of supporters. 
“We will start from the beginning and continue to unshackle employers from the unnecessary regulatory and tax burdens. As we go through this process, we will hold the governor to the policies that have led to record high wages and record low unemployment.”
-- Senate Appropriations Chair Pat Browne (R-Lehigh): “The Commonwealth has not been in this solid of a financial position in more than a decade. While this is certainly welcomed news, it is critical now, more than ever, that we remain fiscally disciplined and cautious when setting budget priorities and a FY 2020-21 spending number.  
“The Governor’s budget proposal contains large spending increases over the previous year of 4.5 percent, which is well over the rate of inflation and considerably higher than previously enacted budget spending increases. 
“That, coupled with a significant number of supplemental increases by the Governor, creates a risky financial profile for the future of the Commonwealth. 
“This has the potential, if revenues fail to reach expectations and supplemental increases continue into the future, of greatly increasing the long-term structural imbalance of the Commonwealth’s finances. 
“That is something the General Assembly, led by Senate Republicans, has worked extremely hard to reduce over the previous several years with conservative budgeting.”
House Republicans Call For Spending Slow Down
On February 4, House Republican leaders reacted to the Governor’s proposal to increase state spending by $2 billion for fiscal year 2020-21.
Speaker of the House Mike Turzai (R-Allegheny), Majority Leader Bryan Cutler (R-Lancaster), Majority Whip Kerry Benninghoff (R-Centre), Appropriations Committee Chairman Stan Saylor (R-York); Policy Committee Chairman Donna Oberlander (R-Clarion); Caucus Chairman Marcy Toepel (R-Montgomery); Caucus Administrator Kurt Masser (R-Columbia); and Caucus Secretary Mike Reese (R-Westmoreland) issued the following statement: 
“From high-achieving, safe schools, to growing jobs and providing opportunities for every Pennsylvanian to thrive in family-sustaining careers, we share many of the same goals Gov. Tom Wolf talked about today. 
“However, we believe that the best way to achieve these goals and turn them into a reality for all our citizens is not just with new government programs, more spending and additional debt. 
“These approaches to problem-solving oversimplify the core underlying issues driving the need for state government intervention and they ignore the significant investments that are already being made by taxpayers. 
“As an example, while our state has enjoyed revenue surpluses during one of the most robust economic times in recent memory, we continue to experience high levels of cost overruns in executive departments, which have resulted in unsustainable supplemental budgetary needs. 
“As a result, during the next few months, while we have meaningful debates and discussion over how to meet Pennsylvania’s challenges in the 2020-21 budget, House Republicans intend to seriously engage with our legislative partners and the governor on how we can better manage our resources, programs and investments. 
“Every Pennsylvanian sets a budget and must live within the means of that spending plan. It is time for state government to do the same. 
“By focusing on best management practices, reducing or eliminating programs that do not produce measurable results, allocating scarce resources properly, and exercising fiscal restraint, we can truly advance a common goal – government that not only works, but serves, respects and effectively manages.” 
The Senate and House hold agency-by-agency budget hearings February 18 to March 5.  Click Here for the schedule.
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