Use ARP Funds to Help With High Gas Prices

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

Pennsylvania’s Financial Outlook Just Got Better Again—It’s Time to Help Pennsylvania Families

Pennsylvania’s financial outlook for 2022/23 just got better. In March 2022, state revenues came in higher than expected as they have in nearly every month this fiscal year. Several months ago, we calculated that the state would have an estimated surplus of $10.7 billion at the end of 2021/22. Our revised estimate, after the Pennsylvania Department of Revenue’s March report, is that Pennsylvania will have a surplus of between $11.2 billion and $12 billion by the end of June 2022. Fiscal year collections to date for 2021-22 total $2.7 billion, or 8.5% above estimates. If in the last quarter of this fiscal year, revenues come in according to the estimates of last June, the state budget surplus will be $2.7 billion greater than projected at the start of the fiscal year. If, however, revenues continue to come in at the rate of 8.5% above projections (and April is a big… Continue reading

The Big Lie Is the Problem, Not Nonprofit Funding of PA Elections

Senate Bill 982, introduced by Senators Baker and Phillips-Hill, looks like an innocuous bill to ban “third-party funding” of our elections—that is the grants that nonpartisan, nonprofit groups give county election officials to help run our elections. But in fact, it is a hypocritical attempt to carry out the Republican agenda of supporting the Big Lie about the 2020 election and making voting more difficult in our state. Start with the hypocrisy: the Republican Party is the party of privatization. They want to privatize our schools by giving corporations tax breaks to support private schools. They want to hollow out our public schools by creating charter schools funded by private enterprises. When we criticize those proposals on the grounds that private funding is not accountable to the public and does not flow equally to all children, they scoff. They are also the party that pushed to use private-public partnerships to… Continue reading

It’s Time to Reinstate the Philadelphia Wealth Tax

Wealth inequality in America, in Pennsylvania, and in our region has been growing strikingly since the late 1970s. And wealth inequality continues to increase during the pandemic. The dramatic rise in wealth inequality threatens economic growth, reduces the tax revenues needed to fund vital public institutions, and undermines our democracy. To counter wealth inequality and to raise the revenue needed to fund programs that support the well-being of working people in our city, we call for the reinstitution of a wealth tax of 4 mill or .4% of the value of intangible wealth in Philadelphia. We estimate that this tax would raise more than $200 million per year in revenues for the city, which would provide the funds necessary to create and / or expand programs that would enable us to break down the barriers of class, race, and gender that stand in the way of opportunity for so many… Continue reading

It’s Time to Help People, Not Oil Companies

Pennsylvania’s families and economy are currently being stressed by a rise in prices that’s the result of an unexpectedly quick economic recovery and the supply chain issues it created, the gas price spike created by Russia’s war on the Ukraine, and the determination on the part of multi-national corporations to take advantage of these conditions to maximize their profits. As we have shown elsewhere, the state will have an accumulated surplus of $10.2 billion at the end of the current fiscal year. The Republican-controlled General Assembly has left much ARP money unspent and added far more of it than necessary to the General Fund to balance the budget. It’s time to use that money to deal with the current difficulties faced by Pennsylvania families—including the rise in gas prices—which in turn threaten to slow our economic recovery. Continue reading

STATEMENT: Celebrating the 12th Anniversary of the ACA

Tomorrow, March 23, 2022, is the 12th anniversary of the enactment of the Affordable Care Act. This is a day worth celebrating because of the enormous advances it made in enabling Americans, including almost a million Pennsylvanians, to secure quality, affordable health insurance.   In just twelve years, the ACA has succeeded in cutting the number of uninsured Pennsylvanians in half. The percentage of Pennsylvanians under 65 who are uninsured has declined from 11.9% in 2010 to 6.6% in 2017. The decline has been particularly striking for Black Pennsylvanians between 18 and 64 for whom the percentage of uninsured has declined from 24% in 2010 to 11.4% in 2017 and Hispanic Pennsylvanians, for whom the rate has declined from 32.2% in 2010 to 18% in 2017. The rates at which Pennsylvanians were uninsured increased by a few tenths of a percentage point after 2017 due to Trump administration restrictions on the… Continue reading

STATEMENT: On PA Supreme Court’s Congressional Maps Decision

For Immediate Release February 23, 2022 Contact: Kirstin Snow Statement of PA Budget and Policy Center on PA Supreme Court Decision on Congressional Maps by Marc Stier There are two critical requirements of a congressional redistricting plan: it does not favor one party or another, and it allows shifts in voters’ choices to be reflected in who is elected to Congress. The Pennsylvania Supreme Court’s choice of a congressional map meets both standards. In a state with a small Democratic edge in registration, seven of the 17 districts lean Democratic, while six lean Republican. And four districts—1, 7, 8, and 17—are competitive. If voters in the state tilt toward the Democrats, Democrats are likely to hold a majority of the Pennsylvania seats in the U.S. House of Representatives. If the voters tilt Republican, Republicans are likely to do so. In addition to allowing shifts in political opinion to change the… Continue reading

The GOP Design

“When people show you who they are, believe them.” It’s time to believe what Pennsylvania Republicans have shown us they are. Begin with what they have shown us they don’t care about: Public health: They have opposed efforts to encourage—not mandate–people to wear masks and be vaccinated. They have not funded programs to make COVID tests available to all of us. Relief from the burdens of the pandemic: Despite having huge sums of our tax money in the bank, they have provided insufficient housing assistance that was distributed unfairly. They have provided too little relief to small businesses and blocked a proposal to help the restaurant industry. Unlike other states, Pennsylvania has not used ARP money to provide paid family and medical leave or support for those with low incomes. Wages: Pennsylvania’s minimum wage, which has been stuck at $7.25 for 14 years, keeps falling farther and farther behind neighboring… Continue reading

STATEMENT: On the PA Legislative Reapportionment Commission Maps

For Immediate Release February 4, 2022 Contact: Kirstin Snow, snow@pennbpc.org Statement of PA Budget and Policy Center on Legislative Reapportionment Commission Maps by Marc Stier Pennsylvanians will be more fairly represented because the Legislative Reapportionment Commission (LRC) took important steps to adopt maps that are fairer than any time in recent memory. These 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 extreme gerrymandering. Because they do so, both maps are fairer and more representative of the people of Pennsylvania than the old ones. The people should pick their representatives, not the other way around. As a result, we expect that we will get better policy and elected officials will be more responsive to their constituents than to special interests and extreme partisanship. We appreciate the many citizens who took part… Continue reading

Statement: The Democratic Education Funding Plan

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