House Democrats roll out tax cut plan

by Damon Boughamer
Public Radio Capitol News, serving Pennsylvania

Harrisburg, Penna. (PRCN, 27 April 2006) – State House Democrats have set their corner of the stage for budget talks by rolling out a business tax cut plan.

House Democrats would slightly accelerate the phase-out of the capital stock and franchise tax; increase the research and development tax credit limit; and phase in greater emphasis on sales in reporting corporate income.

They would also lift the cap on net operating losses, often carried forward by high-tech startups, to $3 million. While Representative David Levdansky – the caucus’ numbers man – said that might mean the most for businesses, it was the smallest of the four cuts Democrats were pushing, confessed leaders Mike Veon and Bill DeWeese.

A reporter asked whether the caucus considered taking the cap to $4 million, $5 million or $6 million. Veon's one-word reply: "No." DeWeese followed up, saying that the subject of net operating losses "has been under discussion with the administration, and this is realistic."

The press conference came just a few days before the election break, giving lawmakers and Governor Rendell something to mull over before negotiations begin in earnest in late May.

Gettysburg, Philadelphia could see slots changes

by Damon Boughamer
Public Radio Capitol News, serving Pennsylvania

Harrisburg, Penna. (PRCN, 16 March 2006) -- The Gettysburg countryside and Philadelphia were singled out by the state House as it passed changes to the gaming law:

Gettysburg, because the House unanimously approved an amendment banning slots parlors from Adams County, where one has been proposed.
Philadelphia, because lawmakers singled out the city as corrupt – too corrupt to site casinos, anyway. Only Philadelphia would be stripped of local zoning authority.

This did not sit well with many Democrats, including House Minority Leader Bill DeWeese.

"I don’t think it will stand judicial overview," DeWeese said. "This was already hurled back at us once. The jurists said that the local entities, the local municipalities, would be involved in the zoning effort."

The bill faces an uncertain future when it is returned to the Senate, which revised the gaming law in several ways but not in these ways.

Committee moves gay marriage amendment

by Damon Boughamer
Public Radio Capitol News, serving Pennsylvania

Harrisburg, Penna. (PRCN, 16 March 2006) -- A proposed state constitutional amendment banning gay marriage cleared a Pennsylvania House committee today.

Dozens of lawmakers, aides and observers packed into a hearing room that was too small. The crowd extended out the door.

Sponsor Scott Boyd – a Lancaster County Republican – said there was no need for public hearings.

"A constitutional amendment requires, in Pennsylvania, a voter referendum," Boyd said. "What broader public hearing can you have than a voter referendum, where each individual – not just selected interest groups – has the ability to go and vote on this issue?"

Democrat Louise Bishop of Philadelphia said this is not what Pennsylvanians want.

"My constituents – including the religious community – want me to vote no. It’s explosive. From Lancaster to Allentown to Philadelphia County, I have had e-mails, and 90 percent of them want a ‘no’ vote," Bishop said.

This amendment could be timed to the 2008 presidential election.

A motion to table the bill failed on a tie vote, with two Republicans – Dave Steil and Katharine Watson of Bucks County – joining every Democrat in an effort to block its advance.

Groups: not everyone wants to ban gay marriage

by Damon Boughamer
Public Radio Capitol News, serving Pennsylvania

Harrisburg, Penna. (PRCN, 13 March 2006) -- Opponents of a gay marriage ban – rallying at the state Capitol – said there’s no room for discrimination in the state constitution.

Gay marriage is already disallowed in Pennsylvania, but there’s a push to reinforce the message with a constitutional amendment.

Interest group leaders and several lawmakers – all Democrats – said it would do nothing to protect traditional relationships, as sponsors claim.

Representative Mike Veon of Beaver County is the House Minority Whip and the only lawmaker in leadership who appeared.

"House Bill 2381 is a small piece of legislation," Veon said. "That small piece of legislation is filled with very small ideas."

The Reverend Paul Fullmer of Lebanon Valley College added historical perspective.

"People of faith, we rightly look back with great pride to good work that our congregations undertook in the abolition of segregation and the abolition of slavery. Yet if we speak in support of an amendment like House Bill 2381, we support the very discrimination that we find so reprehensible in generations of the past," Rev. Fullmer said.

The amendment could be presented to voters in 2007 or 2008.

State plans energy workshops

by Damon Boughamer
Public Radio Capitol News, serving Pennsylvania

Harrisburg, Penna. (PRCN, 13 March 2006) -- A mild winter has helped to reduce the burden higher energy prices placed on Pennsylvanians over the past few months.

But the state and federal government are still offering some advice to businesses trying to plan for the year ahead.

They’ll deliver the advice at workshops around the state in April and May.

Officials will outline strategies for conserving energy and saving money.

Managers whose companies operate on July-to-June fiscal-year calendars are beginning work now on 2006-2007 budgets, so the timing could be useful.

State Department of Environmental Protection spokesman Charlie Young says last year was the first year for these sessions, and response was good.

"This is very much aimed right at the business community. It’s for small- and medium-sized businesses. We’re also encouraging local government officials to attend," Young says. "It’s going to be an emphasis on easily implemented, highly effective energy management measures."

Free advance registration is required for the events – in Norristown and Bethlehem in April and in Harrisburg, Pittsburgh and Ridgway, Elk County in May.

Food stamp limit kicks in April 1

by Damon Boughamer
Public Radio Capitol News, serving Pennsylvania

Harrisburg, Penna. (PRCN, 8 March 2006) -- Food pantries in Pennsylvania are being told to brace for a wave of new clients at the end of the month.

It’s because the state Department of Public Welfare will enforce a limit to food stamp benefits for certain adults of three months every three years.

During 2004 and 2005, the state had no time limit for this category of Pennsylvanians, defined as able-bodied adults, aged 18 to 50, without dependents.

But the agency started a new clock January First, and those who received assistance in January, February and March will be cut off April First.

Barry Friesen with the Pennsylvania Hunger Action Center says those who stand to lose benefits do have another option.

"If they can get into a work-and-training program through their county welfare department, they certainly should try to do that. People who are in an employment training program – this rule does not apply to them," Friesen said.

People living in high-unemployment areas are exempt from the cutoff. This includes Philadelphia, but not Allegheny County or Pittsburgh.

Prison budget grows again

by Damon Boughamer
Public Radio Capitol News, serving Pennsylvania

Harrisburg, Penna. (PRCN, 8 March 2006) -- The man who runs Pennsylvania’s prisons asked lawmakers this past week to grant his department the budget increase proposed by Governor Rendell.

Corrections Secretary Jeffrey Beard said a 49-million-dollar increase on prison spending is needed to keep up with personnel and care costs.

And he said lawmakers should be concerned about the growing inmate population.

"Last year, we grew by three percent for a total of an additional 1,481 inmates," Beard said. "This is an average growth rate of about 123 a month. Female population grew by even more. The current population of the Pennsylvania Department of Corrections is just over 42,500 inmates, and we’re at 110percent of capacity."

The cost to house an inmate in the Pennsylvania prison system now stands at 31-thousand dollars a year.

Beard said the department is doing what it can to control costs.

That has included closing the state prison at Waynesburg, mothballing the Pittsburgh facility and shifting those prisoners to other locations.