PathWays PA Policy Blog

Over the weekend, Pennsylvania legislators remained in session so they could work on the state budget, which is due June 30. The current budget vehicle has passed the House and is now in the Senate. That being said, Governor Wolf is prepared to veto the budget if it arrives on his desk in its current form, which would send negotiations into overtime. The proposed budget presents a sharp contrast to the Governor's budget, which relies on new revenue including a gas severance tax, an increased personal income tax and increased sales tax. The budget making its way through the Senate, by contrast, shows new revenue from privatizing state wine and liquor businesses and by moving some payments into FY17. Below are some of the line-items in the budget and how they compare between the Governor's and Legislature's proposals. You can learn more at  http://pennbpc.org  and http://www.pennlive.com/pennsylvania-budget . You can also see factsheets comparing the budgets by district ...

By now, many of you have heard that a spending number has been set in Harrisburg for the 2012-2013 budget.  What remains to be seen is how the $27.66 billion will be spent.  Here is what we've been hearing: Rumors are that public schools and state universities will be funded at the same level as they were last year . The Educational Improvement Tax Credit may double from $75 million to $150 million. Erik Arneson, a spokesperson for Senate Majority Leader Dominic Pileggi, said the budget will return some spending to K-12 and higher education, accountability block grant funding and county human services programs, as well as some additional funding for distressed school districts . As of now, General Assistance remains zeroed out in the state budget .  At this point, it is likely that if the program is not funded, most recipients will not learn of the funding cut until they get a letter in the mail in place of their July check. The Pennsylvania Budget and Policy Cent...

There is so much going on right now that we did not want to miss an opportunity to update you even on issues that are not budget related. Please see our recent blog posts on Ending Human Trafficking in Pennsylvania and the Paycheck Fairness Act . State Budget Update In early May, the Pennsylvania Senate approved a 2012-13 budget plan (SB 1466), spending about $500 million more than the Governor proposed. The House is expected to vote on SB 1466 the week of June 4th. Yesterday the House Appropriates Committee passed SB 1466 out of committee. There is a spend ceiling of $27.6 billion and House members are asked to keep any amendments revenue neutral. This has upset some members who are seeking amendments based on the findings of the Independent Fiscal Office that there is an additional $300 million the state has access to. While the Committee would not increase the spend number, it was mentioned that there may be an opportunity to add additional funding on the House floo...

State Update This week, the Pennsylvania Senate released its numbers on the state budget.  In their version, the Senate restores $500 million in funding, including restoring funding for Pennsylvania's colleges to its current levels. In addition to adding higher education funding, the Senate chose to increase funding in certain health and health-related departments such as Epilepsy, Tourette's Syndrome, Autism, and various MA related programs, While overall funding increased,  The Philadelphia Inquirer   reported that attempts "to put in another $250 million for social services, child-care services, and a temporary cash assistance program for poor and disabled adults failed."   According to the Pennsylvania Budget and Policy Center , the Senate budget increases spending while continuing a proposed tax cut and cutting a proposed cap on the sales tax vendor discount. In response to the budget proposal, Governor Corbett's spokesman Eric Shirk said...

THE LATEST BUDGET INFORMATION FROM HARRISBURG While no new budget legislation has emerged from Harrisburg in the past two weeks,  constituents across the state are keeping up the pressure against budget cuts.  Here are some of the clips we've found detailing the potential impact of the budget throughout Pennsylvania: " Proposed Budget Cuts Would Hit Home " - the proposed cuts to the Human Services Development Block Grant could mean the end of Compeer, a Lehigh Valley organization that recruits and trains volunteers to build friendships with adults receiving mental health services.  According to the article, local programs that provide help to families dealing with autism and prevents the placement of children in foster homes may also be cut. " Pennsylvania budget cuts, policy changes are ravaging services, disability advocates say " - Despite 16,000 people waiting for services, agencies in Cumberland and Perry Counties are concerned that they will again hav...

State In the past month, Pennsylvania collected higher than expected revenues , with $4.1 billion entering the General Fund in March 2012. This amount represents a 2.4% increase over projections. A small part of the additional revenue can be traced to Pennsylvania’s casinos, which posted record profits for the month, adding $126.5 million in tax revenue . Although the Secretary of Revenue is still reporting a $389 million dollar loss for the year, the increased funds could mean a lower than expected total loss. According to the Pennsylvania Budget and Policy Center, the Governor’s budget assumes a loss of $719 million, and the additional revenue could be used to ameliorate some of the cuts in the Governor’s budget. In looking at other ways to raise revenue, citizens, advocates, and lawmakers have been putting forth ideas for preventing this year’s budget cuts before they happen. In late March, the Better Choices for Pennsylvania Coalition held a press conference in Harrisburg a...

Budget Update PENNSYLVANIA BUDGET UPDATE Recently, the Pennsylvania Budget and Policy Center hosted their annual Budget Summit. This Summit provided an in depth look at the state and federal budget plans and how they are impacting communities through out the state. Numerous presentations were made at the Summit and PBPC has shared all of the information online. If you would like to access the materials used at the summit and view some of the presentations just visit: http://pennbpc.org/2012-pennsylvania-budget-summit . PHILADELPHIA’S BUDGET UPDATE Last week Mayor Nutter gave his budget address, which put spending this year slightly above last year’s ($3.6 billion compared to $3.5 billion). No major cuts are expected but that may change based on the state budget. The Mayor’s current plan does not include any major tax increases for Philadelphia, however, he did announce plans for a new property assessment system that will bring in an extra $90 million in revenue. Belo...

After three weeks of examining the state budget, organizations and coalitions across the state have had some time to weigh in.   County commissioners are among the many groups to have differing views on the budget, mostly centered around the Human Services Development Fund Block Grant, which will combine funding for 7 different programs into a single block grant .  The County Commissioners Association of Pennsylvania has endorsed this choice, as have Chester County Commissioners .  However, cuts made as part of the block grants seem worrying to some: according to the Patriot-News , Dauphin County Commissioner George Hartwick III is concerned with the cut in mental health services, saying “Literally, people could be turned out on the street. They could end up in prison or worse.”  The York Daily Record/Sunday News reports that commissioners are concerned that the governor’s budget proposal puts “county officials statewide in a position where they have to either mak...

Today, the Governor released his proposed budget for 2012-2013.   Governor Corbett described the budget as one that includes no tax increases but that does make cuts to higher education and public welfare programs. Several pieces of the Governor's budget stand out this year: Elimination of the General Assistance (GA) Program : The proposed budget ends the GA program , which serves individuals who do not qualify for TANF but have verifiable need such as those related to disabilities, domestic violence, caring for someone sick or disabled or participating in a drug or alcohol treatment program.  Most counties offer GA recipients $205 per month.  According to Public Welfare Secretary Gary Alexander, current GA recipients will be screened to see if they qualify for federal SSI or other programs. Community Legal Services has posted a statement on the decision to eliminate GA that gives more information about the program as well as the impact they think it will have on fa...

State Budget Update Pa. Senate Approves $27.2 Billion State Budget State legislative leaders and Governor Tom Corbett agreed on a 2011-12 state budget deal this week, and yesterday, the state Senate approved. The bill heads to the House of Representatives next. It would spend just $27.2 billion, down $962 million, or 3.4%, from the 2010-11 budget. Below is a highlight of funding levels as put together by the Pennsylvania Budget and Policy Center. F or full funding details see the chart put together by the Budget and Policy Center . Workforce Development   Despite the tough economy, many programs that help people prepare for and find good jobs are being cut. Industry Partnership funding, which at one point was completely cut out of the budget, will receive $1,613,000, a decrease of $32,000. Keeping Industry Partnerships funded is a victory for workforce development, but full funding for this important program is clearly preferable. Adult and Family Literacy funding...

FEDERAL BUDGET UPDATE MEDICAID THREATENED- YOU CAN HELP Spending cuts dominate the budget discussions in Washington and across the states. Most recently, the focus of this discussion has been Medicaid. There are several proposals on the table to create budget caps and/or block grants for Medicaid, which would fundamentally undermine and slash funding for the program. However, the majority (60% vs. 35%) of the American people oppose cuts to Medicaid, according to a new poll from the Kaiser Family Foundation . It is critical to protect this intergenerational program by telling your senators to oppose cuts to Medicaid, both in the form of spending caps or vouchers. Join concerned citizens across the country on Thursday, June 16 and contact your senators, by e-mail or phone. Call your Senators on Thursday by using the toll-free switchboard: 1-866-922-4970. E-mail your member of Congress . Thanks to our friends at LeadingAge, Families USA and NCOA for coordinating this day of action. If...