Wolf budget more of the same

MORE SPENDING, BUT NO FISCAL REFORM

STATE DESTINED FOR ECONOMIC DECLINE

While states across the country eye reforms to make their states more competitive, Pennsylvania is stuck in the policies of the past. This is a critical time for the state to make efforts to attract new business to the state and attempt to keep any expansion of current business in the state. It is obvious that under current leadership the state is sticking with the Detroit economic plan. This simple plan is to increase taxes to increase government spending. Then as business leaves and population declines just raise taxes some more. This is just a lazy and short sighted policy that is destined to lead to economic decline.

The Governor has proposed increasing spending by near $1 billion dollars. There are no proposals to make Pennsylvania attractive to anyone. The governor hopes to pay for the spending increase by levying a tax on natural gas. Problem is, there is very little gas being produced at this time and if  taxed may delay production for years.

The gas industry has paid near $1 billion dollars in impact fees and have improved infrastructure in many counties in the state. Residents have earned lease money and royalties which has been taxed by the state. At present the gas industry is in neutral in Pennsylvania and is expanding their operations in more attractive states. 

Most of the new spending is targeted into education. Good education is always important, but without fiscal reform, Pennsylvania may be educating its youth for jobs in other states.