Citing the need to set fiscally
responsible limits on state government spending, a group of
Republican Senators today announced their support for the
Taxpayer Protection Act bill and constitutional amendment.
Senator Bob Regola,
R-Westmoreland and prime sponsor of the Taxpayer Protection
Act bill and constitutional amendment, said his proposal
would limit state spending to the average inflation rate
plus the average percentage change in state population over
the three preceding years.
“In my experiences working with
my family’s small business, I have found that it is
essential to control spending and stay within financial
constraints. Government must operate under those types of
constraints as well,” Senator Regola said. “We have a
responsibility to the people of Pennsylvania to ensure that
state spending is prudent.”
While the legislation sets
clear limits on spending, it also provides some exceptions
for certain extraordinary circumstances.
“It is crafted to recognize
that not even the best financial planners can predict the
future with certainty,” Senator Regola said. “We need to be
firm in our resolve to limit spending; but at the same time,
we must be pragmatic and provide a safety net that would
allow some flexibility during times of emergencies.”
Senator Mike Folmer, R-Lebanon
and a co-sponsor of the measure, said the Taxpayer
Protection Act is a common sense reform measure that sets
realistic standards for state spending.
“If we’re going to change how
government operates, we need to get spending under control.
The government has to live within a budget just like a
family has to live within a budget,” Senator Folmer said.
In addition to the spending
limits in the Taxpayer Protection Act, the proposal also
sets realistic restrictions on the use of any unanticipated
revenues received by the Commonwealth.
Specifically, 75 percent of any
revenues exceeding the spending limits imposed by the bill
would be returned to the taxpayers. The remaining 25 percent
would go directly into the Rainy Day Fund to help the
Commonwealth cope with unanticipated revenue shortfalls.
Senate President Pro Tempore
Joe Scarnati, R-Jefferson, said the cost of excessive state
spending is ultimately borne by working Pennsylvanians.
“The Taxpayer Protection Act
will help rein in excessive government spending and enable
working Pennsylvanians to keep more of their hard-earned
money,” Senator Scarnati said. “It is imperative that we
cut spending and act in a more fiscally conservative
manner.”
The legislators stressed that
reasonable limits on spending are needed to improve
Pennsylvania’s economic and job growth.
While state spending has
increased by nearly 28 percent over the past four years,
Pennsylvania is consistently near the bottom of the rankings
for job growth, personal income growth, and population
growth during the same period.
“State residents have made it
clear that they are tired of runaway spending and they want
fiscal restraint,” said Senator Jake Corman, R-Centre. “As
chairman of the Senate Policy Committee, I look forward to
holding public hearings on this issue and gaining input on
how we can make state government more efficient and
accountable.”
The Taxpayer Protection Act
bill could be enacted this year, while the constitutional
amendment must be approved by the Legislature in two
successive sessions and be approved by the voters as well.
Contact: Tom Hower
(717) 787-6063
