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June 23, 2008

SENATE APPROVES TAX STIMULUS PACKAGE

The Senate approved a sweeping four-bill stimulus package on June 16 that would provide nearly $96 million in tax relief in the upcoming fiscal year for lower-income working Pennsylvanians, small businesses looking to expand, as well as major employers and job creators.

Senate Finance Committee Chairman Pat Browne (R-Lehigh) said: "The package approved by the Senate today is the result of intensive study and review of a number of proposals with the goal of finding the optimum combination to provide tax relief where it is most needed and best be able to stimulate Pennsylvania's economy."

The bills were sent to the House of Representatives. For details of the package, please see In the Spotlight, below.

 Sen. Browne
 Sen. Corman
 Sen. Eichelberger
 Sen. Regola
Sen. Scarnati
 Sen. Vance
 Sen. Wonderling

SENATE PASSES 2008-09 BUDGET BILL

The Senate on Wednesday approved Senate Bill 1389, a budget proposal for Fiscal Year 2008-09. The measure calls for $27.9 billion in general fund spending, which is an increase of $749.2 million (2.76 percent) over the current budget. The proposal is $415.8 million lower than what the governor requested for FY 2008-09.

Overall, Senate Bill 1389 cuts $457.2 million from specific line items in the budget proposal unveiled by the governor in February.

The Senate Republican proposal adds $41.4 million in spending not requested by the governor, primarily through a 1-percent cost of living adjustment for community Mental Health/Mental Retardation providers ($33.4 million). The remaining $8 million is for restorations of cuts proposed by the governor. Senate Bill 1389 was sent to the House of Representatives for its consideration.

Senate Appropriations Committee Chairman Gib Armstrong (R-Lancaster) said: "This is not a year where we can afford to satisfy spending requests, make commitments to new programs and expensive program expansions, or rely on gimmicks to push tough decisions into next year."

For more on the budget process, please see Fast Facts, below.
 Senate Majority Leader Dominic Pileggi
 Sen. Armstrong

SENATE PASSES BILL TO AID IN CLEAN-UP OF WASTE TIRE PILES

The Senate approved legislation Wednesday to aid municipalities in cleaning up waste tire piles that are a danger to the environment and public safety.

Senate Bill 1050, sponsored by Sen. Lisa Baker (R-Luzerne), would reauthorize an annual transfer of $3 million from the state's Recycling Fund to the Used Tire Pile Remediation Restricted Account. The bill does not divert funds from county recycling programs.

Funding for tire cleanups expired in 2001 despite there being at least 39 piles throughout the commonwealth with at least 10,000 tires each, some with hundreds of thousands. More than 85 percent of the stockpiled scrap tires in the United States are located in just seven states, including Pennsylvania. The bill was sent to the House of Representatives for consideration.
 Sen. Baker
Sen. Mary Jo White       

FINANCE COMMITTEE APPROVES 100 PERCENT TAX RELIEF BILL

The Senate Finance Committee, chaired by Sen. Pat Browne (R-Lehigh), approved legislation Wednesday that would allow for a 100-percent homestead exemption.

Senate Bill 404 is a proposed constitutional amendment that would lift the current cap on the homestead exemption that may be granted by county and local taxing jurisdictions. Currently, homestead exemptions can be no more than 50 percent of the median assessed value of all residential properties.

Constitutional amendments must be approved during two consecutive sessions of the General Assembly and then approved during a statewide referendum of the voters.

"This bill is not a mandate, but rather is intended to provide flexibility to state, county and local taxing bodies by allowing them to provide homestead exemptions of up to 100 percent of each property's assessed value," said Senator Browne, the prime sponsor of the bill. "This gives taxing officials the opportunity to provide true and total relief to residential homeowners."

SENATE APPROVES BILLS ADDRESSING ADA CONCERNS

The Senate approved a package of bills Tuesday introduced by Sen. Bob Robbins (R-Mercer) to bring municipal law provisions governing pre-hiring examinations of emergency responders in cities, towns, townships, and boroughs into compliance with the federal Americans with Disabilities Act.

The ADA clearly prohibits requiring a medical examination of all applicants before an offer of employment.  However, the ADA does allow medical examinations and inquiries with certain conditions. The measures ensure that local governments can screen candidates for essential public safety jobs in ways that are in compliance with federal and state anti-discrimination laws.

Senate Bills 1363 thru 1368 deal with ADA Compliance: SB 1363 (Paid Firemen Civil Service Employee Law); SB 1364 (Local Police Officers Civil Service Employee Law); SB 1365 (Borough Code); SB 1366 (1st Class Township Code); SB 1367 (3rd Class City Code); and, SB 1368 (Firemen, Civil Service in 3rd Class Cities Law).

SEN. ORIE CONTINUES EFFORTS TO ELIMINATE TAXPAYER SPENDING ON "CONSULTANTS"

Legislation to limit payment of taxpayer funds to consultants for speculation by state officials on proposals to sell state-owned real property or assets was announced Wednesday by Sen. Jane Orie (R-Allegheny).

The measure would require approval of the General Assembly before expending revenues to research or pursue sales or long-term leases of state property or assets. The bill would require legislative approval if the asset has a value over $200 million or the proposed lease is for a term of more than 10 years. To insure truly independent research, the bill would also provide that no consultant who performs an evaluation of a proposed sale or lease could be granted a financial stake in that sale or lease.