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State Budget Votes Near

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The state’s current budget was enacted with zero Democratic support last year.  This year may not be much different if Wednesday’s House Appropriations Committee meeting is any indication.  After two hours of debate, the committee advanced the $27.7-billion dollar spending plan along party lines.

The spend number may be almost 2% above this current budget, but most of the increases are due to mandatory costs like pension obligations and medical assistance.  “This budget contains no tax increases,” Appropriations Chairman Bill Adolph (R-Del.) repeated twice for emphasis.

While better-than-expected revenues in the spring allowed Republican budget negotiators to spend a half-billion more than what was first proposed in February, Adolph told the committee the state is still on pace to end the fiscal year nearly $200-million dollars in the red.

“This is a sustainable budget that meets the needs of Pennsylvania residents,” Adolph concluded.

The recently released spreadsheets show $100-million dollars restored to the Accountability Block Grants that fund full-day kindergarten programs across the state.  Add that to $50-million being set aside for distressed school districts and budget supporters say all school districts will receive at least the same amount of state funding they got this year.

State Rep. Joe Markosek

State Rep. Joe Markosek

That doesn’t satisfy House Democrats though.  “I would challenge anybody in this room to go to any school director in the Commonwealth, in the public school system, and ask them if they think they are getting more money for educational purposes,” says Democratic House Appropriations Chair Joe Markosek (D-Allegheny/Westmoreland).

Markosek also lamented a planned tax credit for “big business” at a time when county human services are facing 10% cuts.  That 10% cut, however, is half of what was proposed back in February.

Final House votes could come as early as Thursday, with Senate votes to follow.  The state’s new fiscal year starts on Sunday.  Details of other budget season priorities – like education reforms and the ethane tax credit – are still being finalized.

Gov’s Basic Ed. Budget Plans Already Being Debated

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Pennsylvania policymakers still aren’t on the same page when it comes to the current fiscal year’s public schools budget, let alone Governor Tom Corbett’s newly proposed education spending plan.  For instance, Governor Tom Corbett made it a point to stress that basic education funding was not cut in June. 

“When the Obama Administration handed states billions of dollars in stimulus monies, the previous administration reduced the state’s share in the Basic Education funding formula.  In its place, they put the stimulus funds.  Almost a billion dollars worth,” Corbett said during Tuesday’s budget address.  “That money is gone.  It’s not coming back.” 

As for his new spending plan, Corbett says there are no cuts to the basic education funding formula.  “In fact you will find a slight increase, just as we did last year,” Corbett said to a partisan applause from lawmakers gathered in joint session.  

Corbett’s new education budget does have a new look however, as the Basic Education Funding, Pupil Transportation, Nonpublic and Charter Transportation and Social Security line items have all been lumped into a $6.5-billion dollar block grant.  

Bill Adolph

Bill Adolph addresses the media following the governor's annual budget address.

“We’ve heard for years that local school districts needed more flexibility,” says House Republican Appropriations Chair Bill Adolph (R-Delaware).  “I think what the governor has laid out today… will give the school districts this type of flexibility.  Sometimes they may not need all of that money in transportation, and can put it into the classroom.”  

But House Democratic Appropriations Chair Joe Markosek (D-Westmoreland) is wary of the block grant approach, and he’s identified $124-million dollars in cuts to education programs.  “I think most school directors would tell you they will have less money to spend, in spite of what the governor has said,” Markosek tells us.  

He’s referring primarily to the elimination of something called the Accountability Block Grant, which received $100-million dollars in the current fiscal year.  It’s a program that primarily helps to fund full-day kindergarten classes across the commonwealth.  

While Governor Tom Corbett’s new approach to education is being interpreted in different ways, there’s not debating the challenges created by a different education line item.  The state’s contribution to the Public School Employees’ Retirement System is slotted for a $315-million dollar (53%) increase in FY2013.