Category: Policy briefs

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Economic Messaging for Progressives

  By Philosophy, Policy briefs

PBPC has long focused not just on what policies to adopt but how we can build support for them. The policy papers we wrote for our We The People–PA campaign and our Roadmap to a New Pennsylvania, as well as the narrative for the campaign, focus on messaging as well as policy. In this piece, we weave together some of that work as well as the poll-tested messaging that is coming from the Race/Class Narrative and the Winning Jobs Narrative efforts, while adapting it for the Pennsylvania context. At the end, we provide some links to polling data to support each theme we highlight here     Continue reading

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Keeping Property Taxes Lower in Philly Is the Right Idea

  By PA Budget and Policy Center, PBPC Blog posts, Philadelphia, Philadelphia Taxes, Policy briefs, Property Taxes, Taxation

Philadelphia is currently debating what to do with the additional revenues generated by the increase in property assessments. One side wants to use those additional revenues to moderate the growth in property taxes by raising the Homestead Exemption amount and expanding the Longtime Owner Occupants Program or “LOOP” (a tax relief program for low- and moderate-income homeowners whose property assessments, increase by 50% or more over the prior year). The other side wants to use the additional revenues to cut business and wage taxes. Our view at the PA Budget and Policy Center is that moderating the growth in property taxes is the right choice. That path will make our tax system fairer and is a better way to spur population and job growth than lowering business and wage taxes. The experiences of Boston and San Francisco, as well as Philadelphia’s experience with property tax abatement, shows us that Philadelphia’s… Continue reading

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Pennsylvania’s Financial Outlook Just Got Better…Again

  By Budget, PA Budget and Policy Center, Pennsylvania Budget, Policy briefs

by Diana Polson and Marc Stier Pennsylvania’s financial outlook for 2022/23 just got better… again! In April 2022, state revenues came in even higher than expected. In March 2022, total revenues were 8.5% higher than they were expected to be at this time of the year, and by the end of April 2022 they rose to 12.4% higher. Our previous estimate, after the Pennsylvania Department of Revenue’s March report, was that Pennsylvania will have a surplus of between $11.2 billion and $12 billion by the end of June 2022. But, as table 2 shows, after April’s rosy financial picture, our updated projection is $13 billion to $15.3 billion. Table 1 Fiscal year collections to date for 2021-22 are now $4.5 billion, or 12.4%, above estimates. If in the last two months of this fiscal year, revenues come in according to the estimates of last June, the state budget surplus will… Continue reading

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Use ARP Funds to Help With High Gas Prices

  By Economic Development, Inflation, PA Budget and Policy Center, PA Economy, Policy briefs

Pennsylvania’s families and economy are currently dealing with rising prices that are the result of the supply chain issues created by an unexpectedly quick economic recovery and the rise in gas prices created by Russia’s war on Ukraine. As we have shown, the state will have an accumulated surplus of $10.2 billion at the end of the current fiscal year. It’s time to use that money to deal with the current difficulties Pennsylvanians are facing—including the rise in gas prices—which in turn threaten to slow our economic recovery. Republicans in Harrisburg have recently called for cutting Pennsylvania’s gas tax to soften the blow of higher gas prices. But a temporary cut in the gas tax is the wrong policy for four reasons. First, when gas taxes go down, wealthy oil companies don’t reduce prices at the pump at the same rate, if at all. Instead, oil companies take their time… Continue reading

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Statement: The Democratic Education Funding Plan

  By K-12 Education in PA, PA Budget and Policy Center, Policy briefs

By Marc Stier and Eugene Henninger-Voss Senator Vince Hughes, Democratic chair of the Senate Appropriations Committee, Sen. Lindsey Williams, Democratic chair of the Senate Ed Committee; Sen. Tim Kearney, member of the Senate Education Committee, and Democratic vice-chair of the Senate Appropriations Committee, Rep. Matt Bradford. Democratic chair of the House Appropriations Committee and Rep. Michael Schlossberg, House Democratic Caucus Administrator today put forward a bold proposal for new funding for Pennsylvania’s 500 school districts. Pennsylvania Budget and Policy Center strongly supports this proposal. It goes far towards eliminating the inequitable, inadequate funding that keeps 89% of the school districts in the state from meeting their responsibilities to our children. For years, we have pointed to Pennsylvania’s failure to provide adequate and equitably distributed funding to our school districts. The pandemic has made that failure even more evident. And the federal provision of ARP funds, as well as budget surpluses… Continue reading

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Fair Districts 2; Gerrymandering 0

  By Legislative Districts, PA Budget and Policy Center, Policy briefs

The Pennsylvania Legislative Reapportionment Commission released new district maps for the Pennsylvania House and Senate today. As we predicted, the maps look very different from the current ones because they aim to adjust for dramatic population changes over the last ten years and to remedy two decades of Republican gerrymandering. Because they do so, both maps are fairer and more representative of the people of Pennsylvania than the old ones. At this moment, we do not have detailed information about the Senate redistricting plan so we cannot comment on it in depth. We do have data on the House redistricting plan, however. The three standard metrics of redistricting we used in our earlier piece show that the plan has a slight Republican tilt compared to the heavy Republican tilt of the maps in 2012 and 2002. Between the current map and the new one, the Republican advantage according to the… Continue reading

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HB 1800: A Partisan Attack on the Voters of PA

  By Elections and Voting, PA Budget and Policy Center, PBPC Blog posts, Policy briefs

Today, the House State Government Committee, chaired by Representative Seth Grove, will hold a hearing on HB 1800, a bill that is a partisan attack on the right to vote in Pennsylvania. It is not actually designed to—nor will it become—law. It exists so that Representative Grove and other right-wing Republicans can continue to support Donald Trump’s Big Lie about fraud in the 2020 election while calling for changes in elections laws that would make voting more difficult. This hearing takes place at a time when Pennsylvania Republicans can’t seem to make up their minds about whether they want to engage in a bipartisan process to solve genuine problems with the administration of our elections or whether they want to placate Donald Trump and his supporters. Last week the Republican senator David Argall joined with Democratic senator Sharif Street to lead a Senate State Government Committee hearing on SB 878,… Continue reading

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Small Businesses and Workers Still Need Help

  By Economic Development, PA Economy, Policy briefs, Small / Local Business

By Maisum Murtaza, Claire Kovach, Stephen Herzenberg and Marc Stier state budget enacted in late June has two glaring and interrelated missing pieces: it provides little support for the small businesses and for the working people of Pennsylvania who are still suffering from the impact of the pandemic. Small businesses are still hurting. Fifteen months after the beginning of the pandemic, small business revenue in Pennsylvania is still down 28% relative to pre-COVID levels. It has continued to decline in the last two months. As of June 21st, the number of open small businesses in Pennsylvania was down compared to the start of 2020 by about 37%. The last two months have seen a decline of roughly 10 percentage points. Workers are still hurting, too. As of May 2021, Pennsylvania is still more than 400,000 jobs short of the level in February 2020 The unemployment rate has remained around 7%… Continue reading

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The Trouble with TABOR

  By PA Budget and Policy Center, Pennsylvania, Pennsylvania Budget, Policy briefs

UPDATED April 12: The Republican leadership of the House of Representative is poised to bring a dangerous  constitutional amendment, the so-called Taxpayer Bill of Rights (TABOR), HB71 tomorrow, April 13, 2022. This amendment, which has been championed in states all over the country by the right-wing American Legislative Exchange Council, would limit the growth in PA General Fund spending to the previous year’s level adjusted for the sum of (1) the average percentage change in the U.S. Consumer Price Index for all urban consumers (CPI-U) over the preceding three calendar years plus (2) the average of the percentage change in the resident population for the preceding three calendar years. Adopting this constitutional amendment would be a terrible mistake for many reasons. General Fund spending has not been growing faster than TABOR rates. First, even if one believes that the growth in state spending should be restrained, it is unnecessary. Over… Continue reading