Wednesday, May 06, 2009
Business group backs PA Senate budget
The Pennsylvania Manufacturers' Association applauds the Republican-controlled state Senate for adopting a $27.3 billion balanced budget.
The Senate vote was 30-20, with all Republicans backing the budget and every Democrat rejecting it.
While the current General Fund budget is $3 billion in the red, Gov. Ed Rendell has proposed a budget for 2009-2010 that is least $1.4 billion in the hole – even under the governor's most economic assumptions, according to the association.
"On behalf of the employers who generate the largest portion of Pennsylvania's economy, we applaud the sober, responsible, and principled action of the state Senate," PMA Executive Director David N. Taylor said in a written statement. "By approving a sustainable, balanced budget for 2009-2010 and thereafter, the Senate has demonstrated leadership of the highest order. Rather than raising taxes, mortgaging the future with higher debt, or allowing an even greater budgetary crisis in the future, thirty senators today chose to face economic reality, for which Pennsylvania’s taxpayers are profoundly grateful."
The business group believes elected officials need to tighten their belts.
"At a time when households and employers are cutting back, it makes sense for state government to also exercise thrift," Taylor said, "even when some of the reductions come from programs that are intended to help business. Closing the budget gap with higher taxes on the productive sector would further damage Pennsylvania's underperforming economy. These pro-growth senators deserve great credit for working to thwart a budget outcome like the one in 1991, which crippled Pennsylvania's competitiveness for a generation."
The PMA singled out Lt. Governor Joe Scarnati, Senate Majority Leader Dominic Pileggi, and Appropriations Chairman Jake Corman for their "indispensable leadership in this budget process."
"Joe Scarnati's early commitment to a no-tax-increase budget set the Majority caucus on a principled path from the outset," Taylor said. "Sen. Pileggi has unified the caucus behind the common-sense approach of accepting short-term spending cuts rather than sacrificing long-term growth by raising taxes. And in his first budget as Appropriations Chairman, Sen. Corman's painstaking committee work and compelling floor debate prove that he belongs in the top ranks of leadership."
The Senate vote was 30-20, with all Republicans backing the budget and every Democrat rejecting it.
While the current General Fund budget is $3 billion in the red, Gov. Ed Rendell has proposed a budget for 2009-2010 that is least $1.4 billion in the hole – even under the governor's most economic assumptions, according to the association.
"On behalf of the employers who generate the largest portion of Pennsylvania's economy, we applaud the sober, responsible, and principled action of the state Senate," PMA Executive Director David N. Taylor said in a written statement. "By approving a sustainable, balanced budget for 2009-2010 and thereafter, the Senate has demonstrated leadership of the highest order. Rather than raising taxes, mortgaging the future with higher debt, or allowing an even greater budgetary crisis in the future, thirty senators today chose to face economic reality, for which Pennsylvania’s taxpayers are profoundly grateful."
The business group believes elected officials need to tighten their belts.
"At a time when households and employers are cutting back, it makes sense for state government to also exercise thrift," Taylor said, "even when some of the reductions come from programs that are intended to help business. Closing the budget gap with higher taxes on the productive sector would further damage Pennsylvania's underperforming economy. These pro-growth senators deserve great credit for working to thwart a budget outcome like the one in 1991, which crippled Pennsylvania's competitiveness for a generation."
The PMA singled out Lt. Governor Joe Scarnati, Senate Majority Leader Dominic Pileggi, and Appropriations Chairman Jake Corman for their "indispensable leadership in this budget process."
"Joe Scarnati's early commitment to a no-tax-increase budget set the Majority caucus on a principled path from the outset," Taylor said. "Sen. Pileggi has unified the caucus behind the common-sense approach of accepting short-term spending cuts rather than sacrificing long-term growth by raising taxes. And in his first budget as Appropriations Chairman, Sen. Corman's painstaking committee work and compelling floor debate prove that he belongs in the top ranks of leadership."