June 23rd, 2008

Legislative leaders met with the Governor’s office this past weekend and continue to meet this week on the budget.  While certain legislators, like House Majority Leader Rep. Bill DeWeese (D-Greene), are saying the budget will be passed before July 4th, others aren’t so optimistic. 

Although, the negotiations may go a bit more smoothly than previously thought now that it’s fairly clear the highly controversial PA ABC health insurance plan, and a proposed PA Turnpike lease will have to wait until fall.

Last week, the Senate Republicans made a strong statement that they were not going to stand for a 4.2% spending increase from last year –by passing their own budget bill on party lines.  Leadership stated that the $27.9 billion plan was merely a starting point for more talks.  One of the most controversial portions of this plan was the $118 million cut in Rendell’s proposed education funding.

Estimated revenue numbers for June are to be made available by the Governor’s office on Monday, this will provide the starting point for serious budget negotiations. 

Along with the general appropriation bill and non-preferred appropriation bills, enabling legislation will need to be passed.  Enabling legislation makes changes in state law that are required to enact the budget.  For example, to enact DPW’s budget, a bill amending the Public Welfare Code must be passed to make the necessary changes in the Department’s programs to meet the appropriations in the budget bill.  Other enabling legislation that needs to be passed are bills amending the School Code, Tax Code and Fiscal Code. 

Giving state-workers a sigh of relief,  Rendell backed down a bit on his furlough position last week.  He stated that if a deal is close to being drawn up, he will probably allow state-workers to continue working after the June 3oth deadline.

General Appropriations Bills – Now, there are two! 

HB 2380 (Rep. D. Evans), the House general appropriations bill - remains in the House, but is on the House Voting Schedule to be considered Monday, June 23.  There are currently over 135 amendments posted to the bill.   House is expected to consider this bill next week.  The bill as it currently stands spends $28.5 billion, or a 4.8 percent increase in the budget from the current fiscal year, the Governor’s proposal is $28.3 billion, or 4.2 percent. 

SB 1389 (Sponsor Withdrawn)- this was the Senate supplemental appropriations bill for the current fiscal year that was amended by the Senate with its version of a 2008-09 state budget.   The bill passed the Senate by party line vote. 

Non-Preferred Appropriations Bills - Non-preferred bills are in House Appropriations Committee, but are on the House Voting Schedule to be considered on third consideration and final passage on Monday, June 23.