May 15, 2015

Weekly Wrap:

This week, each chamber fired its opening salvo in the budget debate, giving us a preview as to what’s likely to be up for discussion come June. In the Senate, it was three quick days of debate on S.B. 1 (Corman, R-Centre), a comprehensive pension overhaul bill. The bill, which would rein in the ever-growing costs of the commonwealth’s two state-run pension systems—SERS and PSERS—passed the Senate on Wednesday by a party-line vote of 28-19. It is the first step in what will likely be a lengthy debate on retirement benefits offered to state and school employees. Meanwhile, the House passed H.B. 504 (Gabler, R-Clearfield), a seemingly benign Tax Reform Code bill that was originally intended to address tax on timbering operations but was amended to include language introduced by Rep. Stan Saylor (R-York) to decrease property taxes statewide by increasing the sales tax and the personal income tax. The bill passed the House 105-86 with bipartisan support. The passage of these bills has cemented these issues as budget priorities; however, each bill is likely to undergo a few machinations before final enactment.

For more on S.B. 1, go to: http://www.legis.state.pa.us/cfdocs/billInfo/billInfo.cfm?sYear=2015&sInd=0&body=S&type=B&bn=0001

For more on H.B. 504, go to: http://www.legis.state.pa.us/cfdocs/billInfo/billInfo.cfm?sYear=2015&sInd=0&body=H&type=B&bn=0504

We also saw some activity on appropriations bills this week. House Democratic Appropriations Chairman Joe Markosek (D-Allegheny) and Senate Democratic Appropriations Chairman Vince Hughes (D-Philadelphia) each introduced a general fund appropriations bill that reflects Gov. Tom Wolf’s 2015-2016 spending proposal, as well as supporting appropriations bills for self-funded agencies and the state-related universities. However, it was Appropriations Chairman Bill Adolph’s (R-Delaware) bill that saw the most action. H.B. 1192 was reported from the Appropriations Committee and given first consideration in the House on Wednesday. The bill, which is substantially similar to the 2014-2015 appropriations bill, was described by Adolph as a “placeholder” to move the budget process forward. Expect this bill to morph into a different spending plan by the time all is said and done. The deadline for enactment of a balanced state budget is June 30, but it’s too soon to predict whether or not that deadline will be met.

It wasn’t all budget all the time this week though. There was plenty of action on Gov. Wolf’s cabinet nominations. The Senate standing committees held confirmation hearings to consider the nominations of Kathy Manderino as Secretary of Labor and Industry, Teresa Osborne as Secretary of Aging, Pedro Cortes as Secretary of the Commonwealth, Russell Redding as Secretary of Agriculture,  Cindy Dunn as Secretary of DCNR and Robin Wiessmann as Secretary of Banking. Also, some of the nominees crossed the finish line and have been confirmed by the full Senate: we congratulate Leslie Richards (Transportation), Dennis Davin (DCED), Curt Topper (DGS), Maj. Gen. James Joseph (DMVA), Gary Tennis (DDAP), Russell Redding (Agriculture) Kathy Manderino (Labor & Industry), Dr. Karen Murphy (Health) and Teresa Osborne (Aging) who are now fully confirmed members of the Gov. Wolf’s cabinet.

A Look Ahead:

There will be no session the week of May 18 or the week of May 25. Don’t forget to vote on Tuesday, May 19,municipal primary election day. May 25 is Memorial Day, and state offices will be closed. The legislature will return to Harrisburg for session on June 1, with session days scheduled for every week in June.

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