Pennsylvania Senate Democrats outlined their budget priorities in Harrisburg yesterday. Senate Democratic leader Jay Costa was joined by Senator John Blake (PA-22nd), Senator John Yudichak (PA-14th), and other Democratic Senators.
“We need a budget that moves Pennsylvania forward, not one that puts us in reverse,” Costa said. “We need to focus our energy on job creation, restoring education funding, providing sufficient dollars for safety net programs and improving transportation infrastructure.”
Democrats will need to reach across the aisle and enlist the help of their Republican colleagues to pass legislation. The current Pennsylvania Senate breakdown is 30 Republicans to 20 Democrats.
Costa said Pennsylvania has regressed under Republican Governor Tom Corbett, who has produced no jobs plan while unemployment has stagnated. At the same time, the governor has driven education funding back to 2006 levels and funded higher education support at a level not seen since 1995, under former Republican Governor Tom Ridge.
“The Senate Democratic caucus represents over 5 million people across Pennsylvania and the ideas we represent and the opinions we have in representing our electorate are important with respect to the state budget,” Blake said. “If the Corbett Administration and this legislature remain passive, Pennsylvania will lose ground. We must focus scarce state resources to provide proper incentives for job growth and leverage private investment so we can accelerate economic recovery in this state”.
Yudichak, who is the lead Democratic negotiator on Marcellus Shale, said. “We need to make strategic investments and create jobs and we can do that by adopting a responsible shale drilling plan that generates money for rebuilding roads and other infrastructure while we protect the environment and our communities with tough regulations.”
Blake also introduced legislation today to initiate one facet of the Senate Democratic plan related to tax fairness. Blake’s legislation would close the so-called “Delaware Loophole” which is a flaw in the Pennsylvania tax code that allows large and sophisticated multi-state corporations to reduce their Pennsylvania corporate net income tax liabilities by transferring profits to subsidiary companies in Delaware. Blake’s bill would begin a five-year phased closing of this tax loophole; implement mandatory combined reporting; and reduce the PA Corporate Net Income tax from 9.99 to 6.99 percent over five years.
Costa said Senate Democrats have identified nearly $1 billion in new revenues from smart policy changes, efficiencies and a responsible shale tax that can be used to pay for their agenda.
“Senate Democrats produced a comprehensive jobs plan called PA Works Now but we’ve heard nothing on jobs from the governor,” Costa said. “We are ready to move on transportation if he would lead and let us know how he plans to address that crisis.”
Blake’s 22nd district is primarily based in Lackawanna County. Yudichak’s district is primarly based in Luzerne and Carbon Counties.
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