Adjust Text Size
February 19, 2009

 Senator Mike Waugh
E-News Update

In this Edition:

• Welcome
• Recap of the Governor's Budget Address
• Budget Hearing Highlights
• Online Access to Budget Hearings
• Next Week's Schedule

Hello Friends!

Welcome to this special edition of my E-News Update.  On Thursday the Senate Appropriations Committee, of which I am a member, wrapped up its first week of Budget Hearings.  In all, the Committee conducted eleven hearings over the course of four days.  These hearings are an opportunity for members to question department secretaries and agency directors about their proposed budgets for the 2009-2010 fiscal year.  Please continue reading for a brief recap of the hearings, as well as ways you can access further information and watch next week’s hearings live!

Recap of the Governor's Proposed Budget

As I mentioned in my previous e-news update, Governor Ed Rendell presented his 2009-2010 Budget Address to a joint legislative session on February 4th. His proposal totals $28.9 billion, which represents a $1.26 billion (4.5%) increase in spending over the current year’s budget while making significant cuts to many important programs.

Considering we are facing a $2.3 billion revenue shortfall by the end of the fiscal year on June 30th, it is of concern to see the Governor proposing an increase in state spending.  February revenues are expected to be $180 million under estimate, on top of Pennsylvania's $1.1 billion year-to-date shortfall in revenue at the end of January.

On the other hand, the Governor's proposal to cut 101 line items and reduce 346 others is also of concern.  While we need to decrease spending to balance this budget and run the state within its fiscal means, the Governor has proposed doing so on in a manner that impacts some department and program budgets more than others.  For example, the Department of Agriculture is facing a reduction of 23 of its 27 line items, with 11 of the 23 being cut entirely.

Fortunately, the budget hearings are allowing us to vet all of these concerns with each Department in order for us to balance a fiscally responsible state budget by June 30th.

Budget Hearing Highlights

Throughout the eleven hearings that were held this week, my colleagues and I had the opportunity to ask some difficult questions of each department in order to garner necessary information.  It is our goal to understand the work they have done over the past year, to ensure they have properly utilized the funds appropriated to them, and to understand how they plan to continue their work in the next year with the funds requested under the Governor's proposal. 

Agriculture

One of my main concerns with the Governor's budget, as I mentioned above, is the Department of Agriculture, and I made my disappointment very clear during Wednesday's budget hearing.  Considering we tout agriculture as the state's #1 industry, I believe we need to treat it as such by providing a fair level of funding to the Department.  Despite the need to cut spending across the board, I am hopeful we will be able to restore a number of the line items that have either been reduced or cut.

Read a press release on my questioning of Secretary Wolff

View or listen to my questioning during the hearing:

- Clip 1      - Clip 2        - Clip 3       

Gaming Control Board

Thursday's hearing of the Pennsylvania Gaming Control Board proved to be quite contentious. Many members expressed their disappointment with the Board's performance with respect to the awarding of licenses and contracts, and a great deal of attention was paid to the Governor’s proposal to legalize video poker machines in bars and restaurants across Pennsylvania.  There is concern that this proposal could result in Pennsylvania having to repay the $50 million license fee to each casino licensee if gambling is expanded through the legalization of video poker machines.  Generally speaking, this is a requirement under the PA Gaming Law passed in 2004.  However, the specifics of this issue are still in question and will be addressed if and when the Governor's proposal is considered.

Department of General Services(DGS)

There has been a great deal of talk surrounding the size, cost, and oversight of the state vehicle fleet, and Department of General Services Secretary James Creedon answered questions on this issue during Tuesday's budget hearing.  He assured members that steps are being taken to implement changes that are already improving the management of the state fleet.  Although there is currently a freeze on new vehicle purchases, the procurement of new vehicles has now been centralized under DGS, where previously each department oversaw the purchase of their own vehicles.  DGS has also raised the "turn-in" point for vehicles from 65,000 to 100,000 miles, and this spring they intend to rewrite vehicle management directives, so all state agencies are aware of and are following one uniform policy. Residents are also able to purchase used state vehicles through live and online auctions.  Click here to learn more.

Also, I know many individuals are thinking green and trying to be more energy efficient in their daily lives.  Secretary Creedon shared with the Appropriations Committee that the state is no different.  In the Capitol for example, energy efficient light bulbs are gradually replacing traditional incandescent bulbs as they burn out.  The Secretary explained that this method proved to be less expensive and more efficient than replacing all bulbs at the same time.

Department of Environmental Protection (DEP)

Acting Secretary John Hanger also touched on energy efficiency during Wednesday's DEP hearing by announcing the availability of energy efficiency assistance programs for both homeowners and small businesses.  Homeowners can take advantage of the Keystone Home Energy Loan Program (HELP), which provides loans and rebates for energy efficiency home improvements, and small businesses can apply through May 1st for the Small Business Energy Efficiency Grant Program.

View or listen to my questioning during the hearing:   

Above were only a few highlights from the hearings.  Below is a list of the rest of the departments and state agencies that appeared before the Committee, and I've provided links to each of their websites if you’d like to learn more about the role they play in our state government:

Department of Labor & Industry

Office of Open Records

Office of the Budget/Department of Revenue

View or listen to my questioning during the hearing:   

Department of Corrections

PA Commission on Crime and Delinquency

Treasury Department

Office of Administration/Governor's Office

Online Access to Budget Hearing Information

For those of you seeking further information regarding each of the Senate Budget Hearings click here!  You will find summaries, full-length videos, short audio and video clips, and photos from each of the Senate Budget Hearings. 

Next Week's Schedule

Be sure to tune-in to the hearings next week by watching them live online!

The schedule is as follows:

Monday, March 2nd

10am – Department of Public Welfare

1pm – Department of Public Welfare*

Tuesday, March 3rd

10am –Department of Education

1pm – Department of Education*

3:15pm – PA State Police

Wednesday, March 4th

10am – Department of Conservation and Natural Resources

1pm – Department of Aging

2:30pm – Department of Transportation

Thursday, March 5th

10am – SERS/PSERS (State and PA School Employees Retirement Systems)

1pm – Department of Community and Economic Development

*NOTE: Due to the size of the budgets for both the Department of Public Welfare and the Department of Education two hearing times have been scheduled to provide members with sufficient time to address the many issues surrounding each of these departments’ budgets.

About the E-News Update

Please feel free to forward this e-newsletter to anyone you think may be interested in it. If you would prefer not to receive any further emails such as this, simply reply with the word "unsubscribe" in the subject line, and your e-mail address will be removed from the list.

My offices are here to serve you:
Don't forget to check my website at www.senatorwaugh.com from time to time for updates on legislation, local events and happenings in Harrisburg.  There is a link to email me if you have questions, suggestions or need additional information.  Otherwise, you may contact my district or Harrisburg offices at:

DISTRICT:
218 N. George Street
York, PA 17401
(717) 846-2828 (York)
(717) 382-9940 (Fawn Grove)

920 York Street
Hanover, PA 17331
(717) 637-7311

CAPITOL:
9 East Wing
Senate Box 203028
Harrisburg, PA 17120-3028
(717) 787-3817

TTY: 1-800-364-1581