Legislators offer comments on Gov. Shapiro’s proposed budget

WILKES-BARRE — Sen. Lisa Baker on Tuesday said Gov. Josh Shapiro has offered an ambitious state budget with a 7% increase in spending and while any plan draws mixed reviews, Baker said this one will warrant even greater analysis than usual because of the long-range implications of his proposals.

“The overall challenge is how to institute large reforms without crushing taxpayers today or putting too big a mortgage on tomorrow,” said Baker, R-Lehman Township. “Any multi-year commitment to sizable spending increases launched this year increases the prospect for pressure on taxes or program reductions in coming years.”

The Associated Press reported that Shapiro’s second budget proposes significant increases to education and economic development and would regulate adult use marijuana, while leaning heavily on Pennsylvania’s flush reserves to underwrite his vision.

“The Democrat on Tuesday unveiled his budget for the 2024-25 fiscal year, which begins on July 1, in front of a joint session of the House and Senate in the ornate Capitol Rotunda,” the AP report stated. “Referring to his inaugural spending plan as a ‘down payment’ on his vision for Pennsylvania, Shapiro called on lawmakers to enact his projected $48.3 billion budget to inject more cash into underfunded public schools and attract major industrial and high-tech projects to invigorate a slow-growing economy.”

Shapiro said, “I know that’s a bold vision, and some will reflexively be opposed, saying, ‘We can’t afford that,’ but I would argue we can’t afford not to invest right now.”

Baker said putting more money into the Rainy Day Fund this year only to drain it in subsequent years for non-emergency spending seems an odd and contradictory way to proceed.

“Increasing funding for mass transit is always a difficult ask because of the backlog of infrastructure improvements statewide,” Baker said. “Transportation improvement packages are generally built around every mode of transportation, and there will be pressure in that direction this year as well. If more sales tax revenue is dedicated to mass transit, the money is being diverted from other purposes, and that promises to be a matter of contention.”

With the demographic and financing challenges facing higher education, Baker said there is a need to restructure the operation of publicly funded state universities and community colleges.

“The governor has opened the door to a serious conversation about how these institutions compete for students and strengthen their program offerings, but the details are lacking — it is unclear what the impacts will be for Luzerne County Community College,” Baker said.

Flynn: Budget ‘Step in right direction’

Sen. Marty Flynn, D-Scranton, said Gov. Shapiro’s budget proposal is a step in the right direction for Pennsylvania.

“By utilizing surplus revenue and avoiding tax increases, the governor ensures financial responsibility while addressing critical issues like education, childcare, housing, and public safety,” Flynn said. “The proposed investments in education, workforce development, and infrastructure promise to create opportunities for all Pennsylvanians.”

Flynn said the budget reflects a commitment to innovation and progress, laying the groundwork for long-term growth and prosperity in the Commonwealth.

Kaufer: Budget is a beginning point

Rep. Aaron Kaufer, R-Kingston, said the governor’s budget announcement is a beginning point for negotiations.

“And there will be a great deal of give-and-take before arriving at a completed budget,” Kaufer said. “I look forward to diving deeper into these initiatives to ensure that these programs will best serve the interests of the hardworking taxpayers of Northeastern Pennsylvania as they struggle to pay their bills.

“Similarly, we need to ensure that we are living within our means at the state level while still making critical investments in our Commonwealth.”

Pashinski: A concise, detailed presentation

Rep. Eddie Day Pashinski, D-Wilkes-Barre said Gov, Shapiro highlighted all areas that needed to be addressed in the commonwealth.

Over the past year, Pashinski said Gov. Shapiro traveled throughout Pennsylvania and spoke to teachers, union workers, government officials, businesspeople and citizens from communities of all sizes.

“Through these conversations, Gov. Shapiro designed a budget to address the needs of the people of Pennsylvania,” Pashinski said. “This budget also makes capital investments into every aspect of those concerns.”

Pashinski said the governor wants to make sure Pennsylvania invests in its people to develop their talents, businesses and education to surpass any competition.

“He is making a significant investment in public education, based upon the court’s decision and the Basic Education Commission’s assessment of our inadequate funding system,” Pashinski said. “Additionally, he is investing in increasing wages for nurses, teachers and home healthcare workers.”

Pashinski added that Shapiro laid out an excellent plan to attract businesses to Pennsylvania.

“He’s reducing the tuition costs for students attending state higher education and our community colleges,” Pashinski said. “He is addressing the cost of childcare and trying to do everything he can to provide additional income to those who need it.”

Cabell: Proposal ‘unsustainable and irresponsible’

Rep. Mike Cabell, R-Butler Township, said the governor is asking for $2.5 billion in new spending, which Cabell said is “simply unsustainable and irresponsible” due to the uncertainty of the Commonwealth’s future finances.

“The issue for me is the structural deficit would continue with this budget proposal due to the massive spending increase he’s proposing,” Cabell said. “When my family or any other family is creating a budget and is unclear about the future, usually you like to tighten your belt a little bit.”

Cabell said his concern is that by 2028 there will be looming tax increases to pay for a lot of the programs that are being expanded or created in this budget.

“As a member of the House Appropriations Committee, I look forward to reviewing the governor’s proposal and negotiating a spending plan that makes more sense for Pennsylvania and its citizens.,” Cabell said.

Cabell noted that the governor’s address is just the beginning of the annual state budget process. The House Appropriations Committee will conduct a series of hearings starting Tuesday, Feb. 20, to examine the details of the governor’s plan and how state departments and agencies are spending their funding. The General Assembly and governor face a June 30 deadline to finalize the budget.

Haddock: Complex and visionary budget for Pa.

Rep. Jim Haddock, D-Pittston Twp., said Gov. Shapiro’s biggest investment for Pennsylvania started with public education with a 1.1 billion dollar infusion into public schools.

“This is a large investment to meet the court decision that Pa. must meet our constitutional obligation to property fund public education after years of under-funding public educations,” Haddock said. “This is one line item I can support. Another area I can support is funding for public safety. Two areas that caught my attention was more cadet classes for State Police to meet the need of more state and the other was to double grants to our local fire departments and ambulance services. This extra funding has been long overdue.”

Haddock said Gov. Shapiro also addresses the need to take on big pharma and cut the cost of prescription drug prices by cutting the profit of pharmacy benefits managers.

“The Governor rolled out a hard look at the Pennsylvania higher education system,” Haddock said. “The Governor’s plan is visionary and is very progressive for the restructuring of the system and the funding to higher education. This is very interesting and I am eager to look into his plan and study it much more.”

Ryncavage expects passage to be delayed again

Rep. Alec Ryncavage, R-Plymouth, said he appreciates the governor’s enthusiasm to make Pennsylvania more competitive — but.

“My concern is how he plans to balance this increased spending without draining the Rainy Day fund or opening up the door to tax increases,” Ryncavage said. “Some of the revenue projections he credited are simply unrealistic.”

Ryncavage said key issues like education and Medicaid funding, along with the proposed higher education funding changes, need close scrutiny.

“Gov. Shapiro’s proposal to limit the Legislature’s input from a two-thirds vote to a simple majority vote, when putting tax dollars into for-profit colleges and universities, lacks transparency and accountability,” Ryncavage said. “What was not addressed was the governor’s plan or ability to cut through the partisan gridlock being played in the House and get the House back to work. Remember, the Republicans do not control the calendar.”

Ryncavage said the start of the budget process begins just 37 days into the year, and this was the House of Representative’s first Session day of 2024.

“As a full-time legislature there still hasn’t been any voting sessions and no legislation has been debated,” Ryncavage said. “We dealt with partisan gridlock last year and ‘mostly finished’ the 2023 budget this past December — six months late.”

Under a Republican majority in prior sessions, during the months of January and February, Ryncavage said the House had 10 voting session days in 2021 and nine voting session days in 2022. He said under a Democrat majority, there were only two voting session days in January and February of 2023 and now none this year.

“I fear that another delayed budget could be on the horizon,” Ryncavage said

Watro: Much work on the budget lies ahead

Rep. Dane Watro, R-Kline Township, said the governor’s address is always the start of the annual budget process and he looks forward to working with his House colleagues in crafting a spending plan that moves Pennsylvania forward without placing a heavier burden on taxpayers.

“Although I have some concern about the amount of new spending the governor is proposing, I am hopeful we can take a bipartisan approach in the months ahead in developing a reasonable and responsible state budget,” Watro said.

The House Appropriations Committee will conduct a series of hearings starting Tuesday, Feb. 20, to examine the details of the governor’s plan and how state departments and agencies are spending their funding.

The General Assembly and governor face a June 30 deadline to finalize the budget.

Culver concerned about deficit spending

State Sen. Lynda Schlegel Culver, R-Northumberland County, said she is concerned about the deficit spending approach in the state budget proposal.

“Excessive spending in one budget year can plant the seeds for tax increases and harmful program cuts in future budgets,” Culver said. “The level of spending contained in this proposal is unsustainable in the long term and threatens the financial security of our commonwealth.

Culver said she is committed to working with her colleagues in the General Assembly to deliver a balanced, on-time, responsible state budget that funds the core functions of government without further burdening taxpayers.

“My colleagues in the General Assembly and I will review the proposal and look for areas where we can cut costs and improve efficiency in order to maximize the effectiveness of taxpayer dollars,” Culver said. “I think there are areas where we can find common ground with the governor and others where we may have to agree to disagree. I am eager to participate in the Senate Appropriations Committee budget hearings to review the proposal and dig into the details. The governor’s proposal is an opening offer in a negotiation process that will take place during the next several months.”