Legislative aides are beginning to hammer out the details of a state budget, now that top lawmakers and the governor have agreed on the general shape of the plan.
The sprawling, tentative package includes a 1.25 percent hike in the state sales tax, a reduction in state retirement benefits for future hires and some kind of change to the state liquor stores.
The deal promises to be unwieldy.
Already, school advocates say one of the discussed changes would be “devastating” to school districts (there is talk of restricting districts’ ability to raise property taxes). Conservatives are calling the budget framework a “shell game” (it would siphon money away from property tax relief and use it to pay pension costs). Philadelphia Democrats say the proposed sales tax increase makes the entire package intolerably regressive – the hike would bump their city’s sales tax from 8 to 9.25 percent, and without a new tax on the Marcellus Shale natural gas industry to soften the blow.
“As I understand it, the passage of a budget is contingent upon a lot of these other bills passing,” said Rep. Matt Baker (R-Tioga). “And if one bill breaks down, it could adversely impact passage of the budget.”
Top lawmakers and the governor have said they’ll try to finish the spending plan and its related deals by Thanksgiving.
Some say that timeline is far too optimistic.
Drew Crompton, spokesman and chief counsel to Senate President Pro Tempore Joe Scarnati, said he’s not sure how long lawmakers might be grappling with issues tied to the tentative budget agreement.
“Even if there’s a framework -- which clearly there is -- it will take weeks to finalize details,” Crompton said Tuesday. “I can’t even answer the question if I thought all of the issues were resolved -- let alone the fact that we know that there’s pieces of the pie that haven’t been carved up yet.”
