Budget Bill Goes Back to House

The state Senate has voted to return an amended budget bill to the state house.

The vote was 31-19, with Democratic Senator Lisa Boscola voting with the Republicans to pass the bill along.

The amended version of House Bill 1416 reinstates higher education and PHEAA funding to the General Fund and reduces overall spending by almost $2 billion from the version approved by the House on Friday, according to Senate Appropriations Committee Chairman Jake Corman.

“House Bill 1416 is now a balanced, responsible budget that does not require a broad-based tax increase,” Corman said. “House Bill 1416, as we received it from the House, was unacceptable. Their proposal to slice higher education and PHEAA out of the General Fund was a blatant, backhanded attempt to push through the Governor’s proposed PIT increase.”

As approved by the House, House Bill 1416 called for overall spending of $29.1 billion and did not account for the $1.3 billion in revenue necessary to cover a proposed special fund for State System of Higher Education (SSHE) universities, community colleges and PHEAA.

“Right off the bat, state spending in the House proposal was $400 million higher than what even the Governor requested. That is simply not fiscally prudent or responsible considering the current economic climate,” Senator Corman said. “In a thinly-veiled ploy to cover that spending increase, the House ripped that $1.3 billion from higher education for use in other areas of the General Fund. This tactic, holding higher education funding and student aid hostage to push a PIT increase, is callous and unacceptable.”

Following about four hours of debate this evening, Senate Majority Leader Dominic Pileggi said Democrats gave a "long litany" of horrible things that would happen if spending is reduced – from state parks closing to hospitals being shut down.

He said people watching on PCN "might think we reduced spending dramatically, drastically, draconically."

"We reduced spending 3.6 percent," Pileggi said. "Three point six percent. The world is not going to end in Pennsylvania because we reduced spending 3.6 percent."

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