State House Republicans leaders walked away from budget negotiations yesterday as leaders from both chambers were discussing how to close the $800 million left of the gap needed to fully fund the budget.
According to the Associated Press, House leaders left during a discussion of raising taxes to help close the gap.
State House Speaker Mike Turzai (R-Allegheny) said that a tax increase would not be able to pass the House.
“I can assure you there are very few, if any, tax votes in the House on either the Republican or the Democratic side,” Turzai said.
House leaders instead offered a package that raised the money to close the gap without raising taxes.
The Patriot News reports that the House’s package uses expanded gambling, including video gaming machines at bars and taverns, increased alcohol privatization, and more borrowing.
The House’s plan does not likely have a good chance of passing the Senate, who have said they do not have the votes to pass a video gaming bill.
State Senate Majority Leader Jake Corman (R-Centre) said that the Senate sees the need for recurring revenue, but does not see video gaming or increased liquor privatization as long term solutions.
“But we’ve got to deal with it. And it’s our responsibility as legislators to deal with it. So if borrowing is going to be part of it, then we need to have a sound financial picture moving forward as well,” he said.
28 Responses
Pipe line construction is well on the way in Berks County. Production will reach the point that enormous amounts of natural gas will be sold in Europe and elsewhere after the lines are completed. Those buyers will pay huge amounts of taxes on that gas. Pennsylvanian’s already are paying extraction taxes for gas coming into PA. Add the tax so that all residents of the Commonwealth of Pennsylvania will benefit. But, how does that old quote go, something like, ” An honest politician is one who once bought, stays bought”?
PA natural gas production is huge and no danger of it running to higher tax climate. Also industry needs to pay for pollution effects if it continues to resist methane capture from wells, pipelines, compressors, etc. SO raise its taxes.
Not for nothin’, but this bloated bunch of walking carcasses masquerading as a full time legislature has $325,243,000 set aside in the budget just for its own care and feeding. How about cutting back their size and fictitious work schedule? That ought to be worth a couple hundred million.
Damn straight!
I agree with the Lizard. They are all on the gravy train. If they were so concerned about the budget then they ought to first look to themselves.
I agree with kz…!!!
“Borrow” means letting our children pay, with interest, the taxes to support the spending we eagerly accept. It is un-Republican, probably unconstitutional (“balanced budget”) and disgusting. So is gambling. House Republicans need to step up and tax shale gas, or else cut spending to make the budget actually be in balance.
Let’s increase taxes on guns and ammunition, pickup trucks, chewing tobacco, WWE Pay Per View events, MAGA Hats and bumperstickers, farm tools, ETC. Let’s also cut spending on road projects and building projects and Medicaid and welfare in the T.
And also educational spending in the T.
Delco, thanks for the levity-LOL
I agree Delco Observer. Let’s tax alcohol too. Between the feds and the state we probably fork over quite a bit of money paying for the disabilities of these people.
They already tax alcohol. It’s cheaper in MD.,I did agree with you til that comment. It’s simple too many offices, department’s etc.which in turn means too many state employee’s. And well. ..that’s why the state doesn’t have money. Im not saying all state employee’s aren’t needed, but their is quite a few we could do without.
Tax us…tax us…I want to pay more income tax, sales tax…please tax me…tax on my groceries would be great…please tax me or cut the spending you asses….
Are the members of the House still only paying 1% toward the best health care available?
Why they are “entitled”!! NOT!!!
Solution:
There are 121 GOP House Reps and 34 GOP Senate for a total of 155.
EACH of them just needs to pony up $5.2 million per year or $14,000 per day or about 283 hand-jobs a day (142 per hand if they can double-up customers).
OR they could just tax fracking.
800 million a year from the natural gas industry? Is that like a 6 or 7 percent increase on the impact fee? On top of the taxes they pay like any other company. I can see another 2 percent, but getting 800 million is unrealistic.
Nothing is also unrealistic. especially for all the gas that will be sold over seas, after the pipelines are completed.
Self righteous indignation-
The impact fee is bupkis. Extraction fee is needed. Works in the other states just fine. Proposed is 5% should be 10%.
explain your thought on impact fee
V-
The impact fee is much less that what the oil/gas companies are paying in other states with impact/extraction fees.
They are getting away with murder (or rather theft of resources) because the own enough state legislators through pretty direct quid-pro-quo bribery/donations to vote against reasonable fees.
It is not much less, DD. Everyone makes the comparison of apples to oranges. Comparable in other states they are paying less in corporate taxes and they pay a percentage for the extraction. In PA they pay a very high corporate tax plus a very small impact fee. It is slightly less what they pay in most places now, when you take it together cumulatively. But that doesnt mean imposing an additional 10 percent would be appropriate. an additional 3 percent would be reasonable but high. 10 percent and your bleeding them out of PA – which I am guessing you don’t care and dont want them here to begin with. But other people do.
Yes, thank you. Further the impact fee is great because it keeps money in the areas that are actually affected by the drilling. A severance tax would simply be shipped to Harrisburg and the subsequently to Philly. Forget that!
If they were extracting the oil/gas and selling all they could to Pennsylvanians at cheap prices, then sold the excess on the open market, that would be good for Pennsylvanians and our budgets. But, they are profiteering off of a legislature that is bought and paid for.
Why don’t they just CUT SPENDING? Government has to live within its means!
*record skips*
Why dont they just CUT SPENDING–Why dont they just CUT SPEND—Why dont they just CUT SP–
Oh wait I almost forgot….they also need to cut WASTE, FRAUD, and ABUSE!!!
Chris-
Well, let’s start by cutting roads, schools, and other services you and your community use first.
DD – my posts were facetious.