Puerto Rico, Democracy and Disaster

There is a reason why this country is ignoring the disaster that has afflicted our citizens in Puerto Rico. It’s exactly what happens when people have no control over their government. There is no way this would be happening to any state with the population of Puerto Rico because our government would have to respond to people who voted for president, two senators, and members of the house. Either make Puerto Rico a state or let it become independent. (And that choice is up to the citizens of Puerto Rico.) The current status is morally indefensible. Continue reading

MEMO: Analysis of the PA Senate Redistricting Commission Plan and the Folmer Amendment

This memo outlines how the Folmer proposal is worse than the process we have now in four important respects. The redistricting process created by Senator Mike Folmer‰’s version of SB 22 passed by the Senate State Government Committee last week does initially look like a move toward nonpartisan redistricting, and for that reason some reform groups have said it is a step forward. But while we at the Pennsylvania Budget and Policy Center support the goal of a nonpartisan system of drawing Congressional and state legislative districts lines, the process that would be put in place by the Folmer plan is so far from desirable that we urge the full Senate to reject it and start over. Continue reading

Tax cuts for wealthy won’t bring prosperity to PA

Originally published in Public Opinion, March 21, 2018 In the aftermath of the Trump-GOP tax cut enacted at the end of the last year, some legislators and advocates are calling for Pennsylvania to also cut tax rates for both individuals and corporations in the hopes of spurring economic growth and job creation.   It is hard to think of a worse idea for our political community, not only because it is unfair, but because it has been tried and failed again and again.   Pennsylvania has one of the most unequal tax systems in the country. Low-income Pennsylvanians pay 12% of their income in state and local taxes while middle-income Pennsylvanians pay 10%. But those with incomes in the top 5% pay only 6.8% of their income taxes while the top 1% pay only 4.2%. With a tax system this unfair, why should we emulate a federal tax cut that mostly reduces taxes for those at the top?   It wouldn’t be because cutting taxes for the rich… Continue reading

Governor’s 2018-19 Budget Overview

With Diana Polson and Stephen Herzenberg In 2018-19, Governor Wolf has presented another austere budget that, within the political limits of Harrisburg, makes progress on issues critical to Pennsylvanians. But because of those political limits- and through no fault of the governor- it does not make fast enough progress. This document presents an overview of the Governor’s proposed 2018-19 budget, and how we believe it continues to move Pennsylvania forward despite difficult circumstances. Continue reading

Rethinking Philadelphia Taxes to Fund Education

Last year, Mayor Jim Kenney boldly called for the School Reform Commission (SRC) to be disbanded and for control over our schools to be returned to the city. In doing so, he took on the responsibility to pay for schools at a time when growing deficits are expected over the next five years. We at PBPC have long argued that the education of Philadelphians shouldn’t be a responsibility of the city alone. Not just Philadelphia but the entire commonwealth suffers because the state share of education funding has fallen from almost 50% to less than 35% of total funding. But while we struggle to encourage Harrisburg to meet its responsibilities to the children of this state, Mayor Kenney is right to prepare the city to increase its spending on education. Indeed, we are so far from providing an adequate education to so many of our kids that even if state… Continue reading

A Temporary Setback on the Way to a Just America

The Trump-GOP tax cut bill passed the House on a party-line vote with twelve Republicans voting against it this afternoon. It  is likely to pass the Senate tonight. This process reminds us that history does not move in a straight line. There are moments, like this one, in which America takes a step away from its promise of equality and justice for all. A combination of ideological zealotry, partisan extremism, and financial power has given us legislation that will cut taxes for the richest Americans while ultimately raising taxes and insurance premiums for working people and the middle-class and taking health insurance away from 13 million people. Wall Street will benefit, but the rest of us will be harmed by higher taxes, insurance premiums, deficits, and interest rates, and, if the Republicans have their way, deep cuts to the social safety net. This legislation will ultimately rank in the same… Continue reading

It redistributes from working people and the middle class to the rich. And that’s just wrong.

Originally published at KRC-PBPC. With all the controversy over the details of the tax cut bill that is moving towards a final vote in the House and Senate this week it is easy to forget about the basic features of the bill. As they did during the debate over repeal of the Affordable Care Act, the Republicans put forward noxious proposals—to radically reduce the state and local tax deduction, to tax graduate student stipends, to eliminate the deduction for teachers who use their own funds in classrooms, and to eliminate the deduction for extremely high medical expenses among others—and then removed them from the final proposal. But we shouldn’t be gratified that these horrible elements of the bill are gone when the basic framework of the bill, which has remained constant in every version considered by the House and Senate, remains so awful. The legislation is basically a huge and… Continue reading

On the Passage of the US Senate GOP Tax Bill

Marc Stier, director of the Pennsylvania Budget and Policy Center, released the following statement on the passage of the U.S. Senate GOP tax bill: “Budgets are, it is frequently said, moral documents. If that is true, and we believe it is, then the tax plan adopted by the Senate today represents an extreme moral failure on the part of the Republican Party. At a time when incomes are becoming ever more unequal, the Republican tax plan will ultimately make the rich richer and the poor and middle class poorer. It will benefit corporations at the expense of families. And, because of the repeal of the individual mandate, it will cost 13 million people nationwide — and 500,000 in Pennsylvania — health insurance leading to 1000 to 2000 premature deaths in our state alone. Continue reading

The GOP Tax Bill: An Assault on Economic Equality and Democracy

Budgets, it is frequently said, are an embodiment of our moral ideals and commitments. If so, the tax plan adopted by the Senate on Friday represents an extreme moral failure on the part of the senators from the Republican Party who voted for it. At a time when incomes are becoming ever more unequal, the Republican tax plan will ultimately make the rich richer and the poor and middle class poorer. Not only will working people and the middle class suffer, but so will our whole country. And not only that: one has to wonder what kind of democracy America has, when our government acts in such utter disregard of a majority of the country and the common good. Many of the features of this bill that work to help the rich and harm everyone else are now well known. So let’s quickly review them with links to the hard… Continue reading