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March 12, 2003
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Erickson Calls Passage of Budget a Good Start
Harrisburg -- The state Senate today approved Gov. Ed Rendell's $21
billion budget proposal and sent the spending plan back to him for his
signature and enactment into law, according to Sen. Ted Erickson (R-26).
"This is a good budget; a bare bones spending proposal that reflects
the difficult economic times while allowing the state to implement
programs and continue operating," said Erickson. "Now, we can focus on
economic development and property tax reform."
The senator stressed that the General Assembly's approval of House
Bill 648 is not the end of the process. Gov. Rendell is expected to
announce a series of further proposals during a joint session of the
General Assembly on March 25 and the Senate Appropriations Committee –
on which Erickson serves -- will hold a series of budget hearings within
a few weeks.
"This lays the foundation, and now the General Assembly will work
with the governor in building upon it," said Erickson.
The senator noted that Pennsylvania is faring much better than many
other states. The state shortfall as a percent of state budget is
approximately 3 percent. At least 28 other states are in a worse
situation. In the current fiscal year, Oregon is facing an 18.2 percent
shortfall, Colorado 13.7 percent and Nevada 10 percent. Projected into
the next fiscal year, California has an estimated shortfall exceeding 33
percent -- one-third -- of its total budget. Many states are raising
taxes and cutting core services to make up the shortfall.
"It would have been worse if we had not been fiscally conservative
the last few years," said Erickson. "Pennsylvania is in a position that
many other states envy. We can weather the tough economy while creating
jobs and implementing property tax reform."
CONTACT: Chuck McDonald (717) 787-1350
