House’s $2B no-new-taxes revenue plan could be thorny
HARRISBURG (AP) — The question of where to find $2 billion will dominate the upcoming weekend session of the Pennsylvania House of Representatives as Democratic Gov. Tom Wolf and the Republican-controlled Legislature stumble through a three-week stalemate.
House Speaker Mike Turzai, R-Allegheny, wants House members to support a no-new-taxes plan to balance a $32 billion spending package, most of which Wolf let become law last week.
Turzai’s plan would authorize the state to borrow about $1.5 billion and siphon hundreds of millions of more dollars from off-budget programs to patch up state finances shredded by Pennsylvania’s biggest shortfall since the recession.
It is not clear whether it will pass the House or, for that matter, the Senate. Wolf has acceded to some level of borrowing, if it comes with a $700 million to $800 million tax package he views as necessary to avoid a downgrade to a credit rating battered by Pennsylvania’s long-term deficit.