Libertarians blast PA spending habits

The Libertarian Party of Pennsylvania is calling on Harrisburg to tighten its spending belt in light of the growing General Fund deficit.

From a release issued by the party:

Last week, the acting Secretary of Revenue Stephen H. Stetler reported that, during February, Pennsylvania collected $1.5 billion, $196.8 million (11.6 percent) less than anticipated. The $196.8 million deficit was more than double the $79 million deficit that Gov. Rendell projected for February just two months ago. Fiscal year-to-date General Fund collections are now $1.3 billion, or 7.9 percent, below estimate.

In his December mid-year budget briefing, Governor Rendell projected that the fiscal year shortfall could reach $1.6 billion. Two months later, a budget shortfall of $2.3 billion, 30% higher, appears more likely.

Per LPPa Media Relations Chair, Doug Leard, "Gov. Rendell's spending habits have created a budget crisis in Pennsylvania. I hope Pennsylvanians across the Commonwealth will call on the governor and the legislature to join us during this economic downturn and severely tighten their spending belts."

This year's shortfall exceeds the entire twelve-month shortfalls for fiscal years 1990-91 and 2002-03. These shortfalls resulted in the two largest tax increases in Pennsylvania history.

"The shame is that the deficit could easily have been avoided," added Leard. "Harrisburg has been on a spending spree since Gov. Rendell took office."

The numbers bear this out. Between fiscal years 2002-03 and 2008-09, total state spending has increased 35.8% ($16.2 billion), more than twice inflation (17.4%).

Michael Robertson, LPPa Chair, concluded "Spending in the commonwealth must be brought under control. Unless spending is reduced, the legislature will likely increase tax rates despite federal assistance, further inhibiting economic activity in an already dismal business climate. We cannot eliminate problems caused by debt by continuing to spend beyond our means."

The Libertarian Party is the third largest political party in Pennsylvania and the United States. More than 200,000 people across the country are registered Libertarians, and Libertarians serve in hundreds of elected offices. Visit www.LP.org or www.LPPA.org for more information.

Originally posted at TONY PHYRILLAS