House Passes $29 Billion Rendell Budget Proposal; Chairman Adolph Opposes Plan Citing Unaffordable Spending
Adolph pleased the process is moving forward; concerned with the direction
The state House today approved Governor Rendell’s $29 billion budget proposal for the 2010-11 fiscal year (HB 2279) by a vote of 107-89 despite pressing concerns from Rep. William F. Adolph Jr. (R-Delaware). Reiterating the same points of contention he expressed the day the budget was introduced – excessive spending, unreliable revenues and future financial challenges – Adolph voted against the plan and again called for fiscal responsibility in the coming year’s budget.
“While I am pleased to see us debating the budget this early in the process, I believe the spending plan that was passed today is taking us in the wrong direction,” Adolph said. “This budget spends far more than we can afford, and it sets us up for some major financial problems in the near future.”
As proposed, the governor’s budget would spend $29 billion, which would increase state spending by more than $1.2 billion over the current fiscal year. This growth would come at a time when the state is facing a projected $525 million revenue shortfall.
Adding to Adolph’s concerns is the fact the spending plan is dependent upon $850 million in federal stimulus funds that have not yet been approved by Congress.
“We are facing a very uncertain and volatile economic future, and we need to craft a budget that reflects that reality,” Adolph said. “Like every family and business in Pennsylvania, we should be building a budget on the money we have – not money we may or may not get sometime in the future.”
Compounding the state’s existing economic concerns is the fact that Pennsylvania will face several dramatic funding challenges in the coming fiscal years.
None of these challenges are more profound than the pending loss of existing stimulus funds and the looming spike in the state’s pension obligations. Together, these two factors will contribute to a multi-billion dollar funding hole in the budget beginning in 2011-12.
Increases in spending such as those proposed in the budget that passed the House today will only compound Pennsylvania’s future challenges and further contribute to its financial liabilities.
“Given our current fiscal standing and all that lies ahead, it is imperative we begin with this budget to control spending, meet our obligations and prepare for the future,” Adolph said. “Doing so will require some tough decisions, but taking steps to address this now will help mitigate funding concerns down the road.
“I am just hopeful everyone takes note of what we are up against and makes the right decisions to help revive our economy and put Pennsylvania back on track.”
With today’s action, the budget bill (HB 2279) will now move to the state Senate for its review. The state is required to pass a budget by June 30 for the coming fiscal year. That deadline has not been met since the Rendell Administration took office in 2003.
“All differences aside on this spending plan, I am still pleased to see progress being made, and I look forward to working with the governor and the other three legislative caucuses to develop a final spending plan on time,” Adolph said.
Rep. William F. Adolph, Jr.
165th District
Pennsylvania House of Representatives
(610) 544-9878
(717) 787-1248
Member Site: WilliamAdolph.com
Contact: Todd Brysiak
House Appropriations Committee
(717) 787-1711
Caucus Site: PAHouseGOP.com