Following the unveiling of the governor’s 2010-11 spending proposal, Rep. Dick Stevenson (R-Mercer/Butler) today urged caution with the level of spending and uncertainty of millions of dollars in federal funding that is contained in the $29 billion plan, $1.2 billion more than the current budget.

“For seven years, the spending by this administration has outpaced his previous predecessors by billions, especially during times of economic downturn,” Stevenson said. “The 2002-03 budget spent just $20 billion, and this new budget is proposed at nearly $30 billion, a 33 percent increase in just eight years of his tenure. The governor said he has cut to the bone in terms of programs and services, but he continues to use alternative revenue sources to satisfy his appetite for spending, rather than trimming the fat and forcing state government to live within its means.”

The budget proposal is set at $29 billion, with $26.3 billion in state revenue and almost $3 billion in federal stimulus funds. Nearly $800 million of that is assumed and unconfirmed.

“This money ultimately will have federal strings attached, and even though this funding does not come from our income or sales taxes, it still comes from the taxpayer,” said Stevenson, a member of the House Appropriations Committee. “Most of this budget is spent on four critical items: education, corrections, welfare and debt service. I have been highly critical of the governor’s use of bonds during his administration and now we see the impact through debt service taking up a larger chunk of state resources.”

The lawmaker also has doubts about a plan to lower but expand the state’s 6 percent sales tax. Although food, clothing and prescription drugs would not be taxed, dozens of exemptions would be lifted that would impact hard-working families and job creators. The revenue would be reserved in a lockbox that cannot be touched until July 2011 in order to help the state meet pension obligations and address the end of federal stimulus funds.

“This budget proposal yet again shows that the governor is counting on the federal government, rather than the resources he has at hand, to come to our aid,” Stevenson said. “We can assemble a responsible budget for our residents and job creators, and it is yet far too early to tell if this spending proposal is the right one. I will be using the opportunity of budget hearings during the next few weeks to determine how our residents will be impacted.”

Rep. Dick Stevenson
8th District
Pennsylvania House of Representatives
(724) 458-4911

(717) 783-6438

Contact: Jennifer Algoe Keaton

jkeaton@pahousegop.com

(717) 705-2094

Member site:  DickStevenson.com

Caucus site:  PAHouseGOP.com