Showing posts with label Gov. Tom Wolf. Show all posts
Showing posts with label Gov. Tom Wolf. Show all posts

Wednesday, July 29, 2015

Political Kabuki and Property Tax Reform

Photo by Evan Brandt

Gov. Tom Wolf, speaking at Phoenixville Area Middle School, stands between placards prepared by his staff espousing the benefits of his budget proposal, left, and the deficiencies of the Republican proposal, at right.



Yesterday was the second time I have covered an event featuring Pennsylvania's new governor, Tom Wolf, and I must say I continue to be impressed with his priorities.

Helping small older cities like Pottstown and his native York; funding public education at a level that gives us something less that the worst rating for the gap between rich and poor districts, and property tax reform.

He's also fairly personable and at ease with people, something his predecessor never seemed to master in the several times that I met him.

Here is some video from the beginning of his remarks:


But he is in for a tough fight on this budget.

The Republicans, who never resolved pensions, property taxes or state liquor store issues when they controlled the House, Senate and Governor's mansion for four years, now insist all those things must be dealt with in four weeks before a budget can be adopted.

I also just realized, pardon me, I'm slow, that at the same time the Republicans are slamming Wolf for a property tax proposal that hikes personal income and sales taxes this year for property tax relief next year -- their own proposal does the EXACT SAME THING.

If that isn't "political Kabuki," a phrase I heard for the first time yesterday and immediately adopted, then I don't know what is.

But there may be some light to inject into this.

After Wolf's press conference, I participated in a conference call with the Pennsylvania Budget and Policy Center about an analysis which suggests that there may be a path toward agreement on property tax reform, if both sides can do away with the posturing and theatrics.

You can read more about it in Sunday's Mercury .... once I write it.

In the meantime, here are the Tweets from today's event, Kabuki and all.

Monday, June 29, 2015

THIS is Why Everyone HATES Harrisburg

With sad predictability, the process of adopting a budget in Pennsylvania has devolved to the usual last-minute maneuvers, rushed half-baked proposals and political stunts that looks for all its chicanery like a cross between speed chess and Let’s Make a Deal.

The opening move, as it always is, belongs to the Governor when he proposed his budget in February.

That budget, if adopted unchanged, would have added $1 million to the coffers of Pottstown Public Schools.

Then comes the long staring contest in which, quite literally, nothing happens for months and months, all while business managers and school boards in Pennsylvania’s 500 school districts are scrying tea leaves trying to figure out where up to one-third of their budget revenues may end up.

Unlike his predecessor, Gov. Tom Wolf has made the most of the time, touring the Commonwealth with his wife and cabinet members, trying to drum up support for his budget and what it will do for public schools, the issue on which he won election.

On the other side of the divide, from February until the 11th hour, the Pennsylvania Legislature, the clown car branch of state government, did absolutely nothing.

Finally, noticing the ticking of the clock, they were spurred into action and responded to Wolf’s budget not by countering his proposals to work out a compromise, but by putting it up for a vote immediately where it was doomed to fail from day one.

Then, the games began.

During what passes for negotiation sessions in Harrisburg, Wolf’s chief negotiator, former DEP Secretary John Hangar, recognizing that the Republicans control both house of the Legislature,  went to the table with some concessions on Wolf’s proposal to tax natural gas drillers.

The GOP reaction, Hangar told the roomful of reporters to whom he rushed afterward, was to say “no.” Just No.

Surely, the $48.6 million those drillers have spent on lobbying those legislators – money that could have been spent on taxes to fund our schools -- had no impact on the legislators’ intractable position.

(By the way, we are the only state in the nation that does not tax Marcellus shale natural gas drillers who are, with depressing regularity, polluting the groundwater of the people unlucky enough to live nearby.)

Now, with just four days until the end of the fiscal year, the Republicans in the House and Senate release a budget which, they say, increases funding for education without raising taxes.

What they don’t say is that it is a 1.8 percent increase from the previous year; the fourth year in which millions had been drained from public school funding. Their budget does not restore those cuts, it simply makes them smaller.

Not included in the $100 million increase for basic education funding, are any increases for job training and education; teacher or professional development; adult and family literacy; career and technical education or early intervention for kids with learning difficulties.

There is a 50 percent increases in their budget for pension payments ($573,320,000)and $6.4 million for community colleges.

Their budget also cuts $2 million for child support enforcement; $131.8 million for child Welfare; $87 million for child health insurance, a 74 percent cut (because kids never get sick).

The fact that in the most recent election, the state’s voters overwhelmingly said they wanted the guy who said he would tax gas drillers to provide more money to schools is irrelevant to the Legislature.

They want to teach Wolf a lesson, the same way they taught Gov. Corbett a lesson – a member of their party for God’s sake – “nothing happens without our say so.”

To them, largely immune from getting voted out of office by their own buffaloed constituents, this is all that matters

This weekend I came across a quote from James Madison that seems appropriate to inject here:
"Knowledge will forever govern ignorance: And a people who mean to be their own Governors, must arm themselves with the power which knowledge gives."
Substitute the word “education” for knowledge and you can see why it might be in the best interest of those in power to ensure the voters don’t have too much of it.

And when you consider that the Republican budget cuts $67,000 for voter registration and education, a 14.6 percent drop, it becomes clearer.

The fact that a cut that small represents 14 percent of voter registration efforts is itself a sad commentary on the value we put on educating people to vote.

Maybe that’s because voters might be upset if they knew that although the Republican budget plan cuts $4 million from budget for the governor’s office; it increases the General Assembly’s budget by 22.5 percent or a whopping $51.4 million.

The $31.3 million it adds to the Senate’s budget alone is an increase of nearly 50 percent, all this for a branch of government whose pile of spending money is already so huge that it could probably close half the state’s budget deficit by itself.

What this means, of course, is that Wolf will veto it, which will leave us at the start of the fiscal year with both branches of government having rejected the others’ budget plan.

This will likely be followed by another weeks-long, or months-long staring contest, with each branch accusing the other of everything from fiscal malfeasance to starving children.

Make no mistake, this will cost us money. 

That’s because while this needless drama plays out, school districts will have to borrow money to cover the deficit created by the failure of our state’s leaders to fulfill their single most important responsibility – passing a Goddamn budget.

In case you were wondering Legislature (not that you care), but this is why everyone hates Harrisburg.



Wednesday, May 27, 2015

Pottsgrove Inches Toward Zero

The Pottsgrove School Board, which devoted its entire meeting Tuesday night to budget discussion, appeared to inch closer to not raising taxes in the coming school year.

After adopted a proposed final $64.3 million budget two weeks ago that would raises taxes by 2.4 percent, but which board member insisted "means nothing," they got down to brass tacks Tuesday.

The upshot of the meeting was that by guesstimating that:

A) the additional $800,000 or more the district would receive under Gov. Tom Wolf's proposed budget would, by a more conservative estimate, come closer to $200,000 by the time it exits the Republican-controlled General Assembly;

B) that taking another $200,000 from the nearly $400,000 the district received in delayed state reimbursement for the Ringing Rocks Elementary School construction project and,

C) Taking full advantage of the $400,000-plus in savings from  an unprecedented 11 teacher retirements and another savings of equal measure from a second good year in health care claims;

The board could whittle the 2.4 percent property tax hike down to .5 percent.

Board member Rick Rabintowitz led the charge for finding another $200,000 in line-by-line budget savings that could get the tax hike down to zero.

He also argued that there were enough major state initiatives in play -- property tax reform, pension reform, charter school funding reform -- that  a zero tax hike budget could be achieved without putting the district on a slippery slope of pilfering its reserve funds for short-term gain.

No vote was taken, but the path toward a lowered tax hike -- particularly given Business Manager David Nester's tentative endorsement of the path -- seems likely to veteran school board and budget observers.

Here are the Tweets from last night's meeting.

Friday, May 15, 2015

Pottstown Schools Budget Proposes Zero Tax Hike

Last year, the Pottstown school administration asked for a budget that raised property taxes by 2.9 percent with the caveat that the following year, they would produce a budget that didn't raise taxes at all.

Thursday night, they delivered.

During the meeting of the school board's finance committee, Business Manager Linda Adams unveiled the proposed $57,136,928 proposed budget for the 2015-2016 school year.

Despite a 2.16 percent increase in expenditures, the proposal does not raise taxes.

It relies to a large extent on Democratic Governor Tom Wolf's proposed budget, which would increase state revenues to the district by $1,343,212.

However, recognizing that Wolf's budget is unlikely to get through a Republican-controlled General Assembly unscathed, Adams said the district has a contingency plan to make up the roughly $800,000 in unrealized revenue it anticipates might be lost under a worse-case scenario state budget adoption.

Between the higher potential for property tax reform, the anticipated reported of a revised school funding formula, and Wolf's election largely on public school funding issues, Adams told the finance committee "I think we're pretty well set."

Here are the Tweets from the committee meeting: