PennLive: Pennsylvania’s state budget talks, at loooonnnnng last, enter home stretch
By Charles Thompson
The six-month Pennsylvania state budget impasse – after months of political gridlock – is showing significant signs of breaking up.
That’s probably going to mean a tax increase for Pennsylvanians. (Negotiators from all sides are expected to meet this weekend to settle on a final mix of taxes and other income sources designed to raise $650 to $700 million in the current fiscal year; growing to more than $1 billion on a full-year basis.)
It will mean the single-biggest raw dollar increase in aid to public schools that this state has ever seen, plus significant boosts to aid for higher education.
And it’s possible that it may make some cultural history by bringing along a plan that, for the first time since creation of the state-owned liquor stores, would allow an adult to buy a bottle of wine at a supermarket or restaurant.
Now comes the hard part.
Budget negotiators from Gov. Tom Wolf’s administration and the Legislature’s Republican majorities have to closet themselves over the next few days to iron the last remaining hurdles that will turn this framework into a final deal.
And then, they have to sell the components of said deal to members in the state Senate and House, where the majority Republican caucus as recently as Tuesday took what may have been a last, final symbolic stand against increases in one of the state’s broad-based taxes.
One thing’s clear: collectively, the players – and everyone waiting on them – are a lot closer to a finalized, $30.8 billion spending plan then at any other time this year, and that’s created a palpable sense of anticipation.
“It’s pretty locked down, I think,” Dave Thomas, chief counsel to Senate Majority Leader Jake Corman, R-Centre County, said Thursday night.
That seemed remarkable in itself coming just two days after the House Republican caucus bolted from the so-called framework agreement announced on Nov. 10 and passed, with only GOP votes, a $30.3 billion plan that would require less in new taxes.
Rank-and-file Republicans said then they were angered at having to consider the possibility of raising taxes when they were settling than they had initially wanted in the areas of public pension and liquor reforms.
But after failing to pick up any Democratic votes in the House, and failing to budge the Senate Republican majority from the larger deal, House GOP leaders came back to the framework table Wednesday night.
Final votes could be cast at some point next week.
Here’s an assessment at the some of the remaining issues that must be ironed out (or avoided) before Wolf can sign his first budget.
The taxes:
Expect a free-wheeling discussion this weekend over the final mix of taxes to balance the budget. Leaders reached Friday all balked at giving their personal preferences.
“I think all four caucuses and the administration need to be part of that discussion and we need to come to a conclusion on that before any of the bills start flying,” said House Majority Leader Dave Reed, R-Indiana County.
But sources close to the talks said Friday a number of options have been floated in the last week, including potential increases in either the state’s 6 percent and 3.07 percent personal income tax rates.
Wolf already proposed an income tax increase, coupled with a new tax on Marcellus Shale natural gas production, that was voted down in the House earlier this fall.
If that kind of broad-based tax is the play, it’s a once-a-decade type move that could be a very tough sell in the Legislature, particularly the state House where all 203 seats are up for election in 2016.
About the only thing that seems certain right now is some type of increase in Pennsylvania’s cigarette taxes.
Reed did say Thursday that GOP leaders will still attempt to negotiate for lower spending in the budget, but Wolf warned this week that he considers the current proposed spending level fundamental to the agreement.
“The budget that we all agreed to is $30.8 billion,” Wolf said, after a public appearance in Harrisburg.
Read the full article here.
AP: Pa. budget stalemate cost approaches critical mass
The collapse of a second agreement between Gov. Tom Wolf and top lawmakers threatens to extend the state government budget stalemate deeper into December, its sixth month. Here is the impact to date:
Layoffs: In October, a United Way of Pennsylvania survey of 282 organizations reported almost 700 employees had been furloughed, seen hours reduced or worked without pay. More than 500 others lost employee benefits, the United Way said. This week, the Easter Seals chapter for central and western Pennsylvania laid off 22 people and the rest of the staff – some 300 people – will take salary reductions of up to 30 percent.
School district borrowing: School district borrowing has hit $900 million, according to state Auditor General Eugene DePasquale. Philadelphia alone has borrowed $525 million, while other major districts taking out loans include Allentown, Erie and Scranton.
Pre-kindergarten programs: Today, a Pittsburgh early childhood center that educates 100 children under Pennsylvania’s state-subsidized pre-kindergarten program will close its doors, according to the Pre-K for PA coalition. Through the start of December, 15 had closed, according to the state Department of Education, affecting 538 children from low-income families enrolled in the programs.
Domestic violence shelters: Many shelters for victims of domestic violence have closed to new arrivals after hitting capacity or laying off staff to save money, according to Peg Dierkers of the Pennsylvania Coalition Against Domestic Violence. State assistance to help domestic violence victims afford a new place to live is cut off, making it harder for shelters to open beds, Dierkers says.
Schools might close: With hopes fading for a budget resolution this week, talk among some school boards is turning again to closing down – several districts briefly considered it in September or October – as they face the prospect of taking out new loans to stay open. Some school boards, including Greenville’s and Burgettstown Area in western Pennsylvania, are considering keeping schools closed after the holidays.
Read the full article here.
York Dispatch: High-quality pre-K skips most York County kids
By Jessica Schladebeck
Alijrik Owens pulled an egg from a small cardboard carton and expertly cracked it before dropping it into a pan and moving onto the next egg; she was preparing a breakfast of scrambled eggs and pancakes for her family, she said.
Her eggs, however were actually plastic, the pancakes rubbery and the hot chocolate the 4-year-old student prepared was made piping hot not by the stove she pulled it from, but by her imagination. The “family” she was cooking for was a collection of dolls and classmates who had decided to join in on the game of house.
A few steps away from Alijrik’s kitchen in the Hannah Penn pre-K classroom, Da’Vion Nelson was enthusiastically molding a blue Play-Doh monster while bragging about the cake he had at his birthday party last week.
“It was strawberry,” he said, cutting his creation in half. “Strawberry cake and strawberry frosting, that’s my favorite.”
Students were spread out in different stations across Rolanda SanMartin’s pre-K classroom for afternoon work time where they were able to choose the activity they wanted to start — whether it be at the puzzle station, the blocks station or even a station with fake snow — and were able to move to another, only after they had cleaned up.
The class of 19 starts the day at 8:30 a.m. when they arrive at Hannah Penn for breakfast, and throughout the day enjoy several activities like small group, read-aloud time, reflection and work time until it’s time to leave at 2:30.
“I love being a pre-K teacher,” said SanMartin, who has 10 years of experience. “I just hope we get the funding from the state that we need.”
Numbers: Students like Alijrik and Da’Vion are among the minority of young learners who have access to a high quality pre-K program.
According to data collected by Pre-K for PA, an organization dedicated to expanding access to early education programs across the state, 84 percent of York County 3- and 4-year-olds — 9,169 out of nearly 11,000 potential young learners — do not have access to high-quality pre-K. Of those without access, nearly 60 percent live in families below 300 percent poverty.
“York (County) is one of the higher need areas,” said Kate Phillips, a spokeswoman for Pre-K for PA. “Their numbers of need are significantly higher than those of the state.”
Across the commonwealth, 69 percent of children do not have access to early education programs. The state for 2014 was ranked 30th in the country in providing access to 4-year-olds and 14th for 3-year-olds, both of which mark a drop in ratkngs from years prior.
Advocates for the expansion of early childhood education are hoping for a $120 million investment in pre-K programs — the amount of funding Gov. Tom Wolf had originally hoped to allocate — which would allow for an additional 14,000 slots.
Recent budget negotiations have halved that investment, with Wolf, according to a recent press release, urging legislators to approve his full request.
Phillips said it will take a total of $400 million in state investments to increase access to children at greatest risk of academic failure.
“We are certainly hoping that the legislature sees our issue as one of the top priorities,” said Jodi Askins, executive director of the PA Association for the Education of Young Children. “There’s also a certain time factor when you’re considering the funding of these programs. There are kids that miss out every single year; it’s not like we can say, ‘We’ll get you next year when we see the funding,’ because those years of their lives are over.”
Investment: Advocates suggest that Pennsylvania is at a competitive disadvantage because it is being outpaced by other states when it comes to expanding high-quality pre-K programs.
“I think of all the things we spend money on, this is actually an investment that pays off,” said Josh Carney, an advocate and the owner and president of York-based Carney Engineering. “It’s the right thing to do, it’s the smart thing to do.”
According to an impact economic study performed by Ready Nation/America’s Edge, every dollar invested in early education will generate $1.79 in immediate return and up to $17 in the long term “in savings and benefits through the economic ripple effect of reducing costs to our schools and society, including significant criminal justice savings …”
If Pennsylvania were to fund high-quality pre-K for all 3- and 4-year-olds, the investment would initially generate about $800 million in additional goods and services and create almost 28,000 new jobs, according to the same study.
“For me, education has been the key to getting where I am,” Carney said. “There’s a lot of kids sitting around in tough circumstances and pre-K really is the right way to get people on their feet. I mean, those are my future stars, my designers and engineers. Every kid that falls through the system is a lost opportunity.”
SanMartin’s class recently had a police officer, a mechanic and other local workers visit her students.
“They learned that to get the job the want they have to go to school,” she said. “It’s never too early to start that type of learning.”
Read the full article here.
AP: More Pre-K Programs Closing Amid Pennsylvania Budget Battle
By Associated Press December 2, 2015
HARRISBURG, Pa. (AP) – With budget talks dragging on in the Pennsylvania capitol, more early childhood centers certified under Pennsylvania’s state-subsidized pre-kindergarten program are closing without state aid.
The Pennsylvania Department of Education said Wednesday that 15 Pre-K Counts programs have closed. It says 538 children were enrolled in the programs.
This year’s prolonged budget impasse has entered its sixth month, forcing school districts, counties and social and human services organizations to shutter services, lay off employees, put off bills or go into debt to survive.
Children from low-income families qualify for Pre-K Counts, which serves nearly 14,000 children. Other Pre-K Counts providers are laying off staff or asking them to work for free.
Read more here.
Lancaster Online: State Budget Impasse: How are Pennsylvania’s Littlest Learners Being Affected?
By Kara Newhouse November 23, 2015
By the Numbers
Pennsylvania Pre-K Counts and the Head Start Supplemental Assistance Program allow preschools to open spots for children from low-income families. Funding for both programs has been on hold during the state budget impasse.
Pennsylvania Pre-K Counts
Children served in Lancaster County: 352
2014-15 funding to Lancaster County: $2.5 million
2014-15 total state funding: $97 million
Wolf’s 2015-16 proposal: $197 million
Head Start Supplemental Assistance Program
Children served in Lancaster County: 15
2014-15 funding to Lancaster County: $146,000
2014-15 total state funding: $39 million
Wolf’s 2015-16 proposal: $59 million
As owner of Little People Daycare School in Columbia, Sam Bhattacharya is responsible for the paychecks of 16 employees.
But in recent months, he’s missed a few — his own.
Bhattacharya has skipped paying himself and also taken loans to keep the center open during the state budget impasse, according to school director Laura Hess.
If lawmakers don’t pass a budget by January, Little People Daycare School will have to eliminate 20 full-day pre-kindergarten spots, Hess said.
The center is one of many across the state and within Lancaster County that are trying to stretch limited dollars as state funding for early-childhood education is held up by the budget stalemate.
Pennsylvania’s budget has been delayed more than four months.
Funds on hold
One of the main early-learning programs affected by the budget impasse is Pennsylvania Pre-K Counts, the state’s free pre-kindergarten program for low-income families. Last year, the program got $97 million, with $2.5 million going to Lancaster County.
At Little People Daycare School, 20 of the 75 enrolled children are supported by Pre-K Counts funding. Those are the ones who would be dropped if a budget doesn’t come through by January.
Pre-K Counts classes in Lancaster city are in a slightly better position. The School District of Lancaster receives Pre-K Counts funding for 233 children and works with five partner organizations to provide those classes. The district has been floating funds from elsewhere in its budget to keep pre-kindergarten classrooms open during the impasse, according to a district official.
That’s helped pay staff, said Lucy Stauffer, director of children and family services for Lancaster Recreation Commission, which is one of the district’s partners. The Rec Commission has 40 Pre-K Counts slots in its early childhood centers.
Though they’re receiving the district funds, the program is still feeling the squeeze. Stauffer said the budget impasse also has held up Keystone Stars grants — a state funding source that’s used for stocking classrooms.
That has prevented Stauffer from purchasing supplies “beyond the bare minimum.”
She has replenished cleaning products and safety items, as well as markers and crayons. But science and math materials that cost a little extra?
Those had to wait.
So did gardening equipment.
“We’re going to miss out on being able to plant for the fall the stuff that will come up in spring,” Stauffer said.
Read the full article here.
