Solutions to Budget and Pension Problems Must be Grounded in Reality
4/5/2010

It is clear that we must confront a two-headed monster consisting of bad budgeting and a looming pension crisis.

 

The question arises, who will speak on behalf of taxpayers?  When it comes to state spending and public pensions in particular, the Legislature and Gov. Ed Rendell have continued to “kick the can” a bit further down the road year after year.  It’s been expedient to blame the current situation on past administrations or individuals.  While we held our breath and hoped the market would improve enough to erase the unpleasant responsibility required of our positions, the speeding fiscal crisis continued unrelenting toward its inevitable destination.  There is no more time to “kick the can” or point fingers.  The consequences of our insatiable state spending and unsustainable public employee pension agreement are at our doorstep and they must be addressed.

 

For the last seven years state government has increased spending at an unprecedented rate often to pay for the expansion of existing programs or the creation of new ones.  Over the same period of time, citizens and businesses have watched their personal aspirations become subservient to the voracious appetite of government.  More importantly, they have watched their own economic vitality be transformed into a daily nightmare of insolvency, financial hardship and despair.

 

The numbers don’t lie and it is clear that we need to place political agendas and legacies behind and do what is correct to ensure the economic resurgence and vibrancy of the citizens we answer to.  Yes, we must honor the contract that was made on behalf of state employees and our teachers; I believe the statutes and the Supreme Court will see to that without any of us lifting a finger.  That having been said, our primary focus must be two-fold.  First, we must insulate the taxpayers who have borne the burden of capricious spending these last seven years.  Next, we must ensure conditions that promote a strong individual and business economic climate are restored.

 

Reigning in state spending this year is as easy as voting “no” to what has been proposed by a governor who seems out of touch with working people who pay the bills.  Moving to a defined contribution plan and reasonable matching percentages for public employees is certainly something we must consider in compiling proposed pension deficit solutions.  However, regardless of which items are selected to “fix” the problem, tax increases simply cannot be one of the considerations.  If we could find a way to increase spending more than $8 billion in the last seven years, the Legislature and the governor can also find ways to cut from new or expanded programs to make up the shortfall in pension funds.  Slashing inefficiencies and obliterating “nice to have items” must be the focus of balancing the budget as opposed to the never-ending government search for new or expanded funding sources.  If not, taxpayer revolts will be inevitable and justified.

 

Rep. Scott Perry

92nd District
Pennsylvania House of Representatives

(717) 783-8783
Contact:  Raymond Smith

rsmith@pahousegop.com

(717) 787-3407

Member Site:  RepPerry.com

Caucus Site: PAHouseGOP.com

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