There’s end in sight to Pa. budget standoff

Welcome to Pennsylvania, home of split-personality voters – and divided government. Now we’re about to find out how much this dysfunctional voting pattern is going to cost. Tired of four years of austere budgets and cuts in education funding under former Republican Gov. Tom Corbett – and despite his protests that it was the absence of federal stimulus funds, and not his policies, that were to blame – voters showed the Republican the door.

Democrat Tom Wolf attacked Corbett early and often on education funding. He made clear his intention to seek new revenue to restore the nasty education cuts, as well as putting the state back on an even financial footing.

Foremost among those proposals was Wolf’s clarion call, backed by some Republicans, to enact a new tax on the state’s Marcellus Shale natural gas operations. It’s another area he clobbered his predecessor – who passed up such calls in favor of an “impact fee” that raised less revenue – over the head with again and again during the campaign.

Voters sent Corbett packing and stood with the York County businessman, knowing full well his tax proposals.

So putting together a state budget, including those tax proposals, would be no problem, right? Uh, not exactly. That’s because at the same time they were making history by failing for the first time in memory to back an incumbent Pennsylvania governor, they also were casting votes for members of both ruling bodies in the state Legislature, where Republicans held majorities in both the House and Senate.

Certainly Pennsylvania voters, so enchanted with Wolf as he tooled around in that cute little Jeep, would also pull the lever for lots of Democrats who would back his tax plans, right?

Again, that’s not exactly the way it worked out.

Republicans actually increased their majorities in both the House and Senate.

Back in March, Wolf made good on all those campaign promises. He rolled out a budget with historic tax increases, not only seeking that new levy on natural gas, but also increases in the sales and income taxes.

Republicans almost fell over laughing. They pronounced the plan dead on arrival.

Fiscal matters in the commonwealth have been dead ever since. Republicans at first simply ignored the governor’s fiscal blueprint and passed their own spending plan, on time and without any new taxes. Wolf promptly vetoed it. Republicans tried to outfox the governor by approving budget items line by line. That effort failed. A stopgap measure to at least free some funds for strapped schools and social service agencies also met with a quick veto from the big, bad Wolf.

It’s been five months. This week, the bill for Pennsylvania’s divided government came due. Wolf and Republican leaders announced the “broad framework” for a budget deal.

It looks like everyone is getting something — Wolf will get more money for education, in the vicinity of $350 million, less than the $400 million originally he proposed; Republicans will get money to attack the state’s fiscally ailing public employee pension plans. Some $500 million will be diverted from the state’s slot machine gambling revenue to ease that situation.

And guess what the natural gas industry gets? A pass. It will not see a new extraction tax, but will continue to pay that impact fee. Pennsylvania will remain the only gas-producing state without such a levy, albeit with a much higher general tax structure than some of those other states.

So much for Wolf’s campaign rhetoric.

And Joe Citizen? What does he get? The bill. All of that new education funding will come in the way of a hefty increase in the state sales tax.

Yes, there is the promise of property tax relief. That is what the increase in the sales tax is supposed to deliver. The levy will go from 6 percent to 7.25 percent, a 21 percent increase that is expected to raise $2 billion.

But while citizens are waiting to shed some of the property tax albatross around their neck, they will be reminded of this budget deal every time they walk to the cash register. Buying just about everything in Pennsylvania will get more expensive.

That will prove especially problematic in the lower end of Delaware County, where citizens routinely already flock across the border to shop in Delaware, which takes so much pleasure in reminding us it is the “home of tax-free shopping.” This budget will only increase those trips across the border.

Five months after state law mandated they have a spending plan in place, Gov. Wolf actually had the temerity to say that this “broad framework” could result in a budget by Thanksgiving. Better hurry, folks. We’d hate to see you miss out on the opportunity to sock it to all those Pennsylvania holiday shoppers.

‘Tis the season? In Harrisburg, where divided government now rules, it always is.