Ed Rendell on Budget & Economy

Democratic PA Governor

Will not raise any taxes

This budget doesn’t propose any increases in the personal income tax, sales tax, or any other tax, or propose increasing taxes on our corporate community. This budget doesn’t include any new revenues from gaming, including slot machines at racetracks in Pennsylvania. It includes revenues from a new assessment on nursing home facilities, as has been suggested by representatives of the industry, adding an additional $145 million to sustain funding for the Commonwealth’s long-term care program. Source: Budget Address to Pennsylvania General Assembly , Mar 4, 2003

Cut spending across the board

I’ll cut the cost of running the government by 10% across the board. We anticipate not filling 1,536 existing vacancies and continuing our ongoing efforts to reduce waste and manage more efficiently and effectively. I’m requesting that the Legislature & the 3 elected independent offices do their fair share by holding funding to current year levels, with no increases for FY03-04. This budget eliminates a series of health care programs and implements a five percent reduction in most social service grants. Source: Budget Address to Pennsylvania General Assembly , Mar 4, 2003

Spending cuts inflict real hardship but are necessary

This is the grim reality of our budget crisis. These spending cuts inflict real hardship, eliminating valuable programs and cutting needed services. This budget provides for no investments in Pennsylvania’s future. But it is balanced. And, as Governor, I have an obligation to act. The deficit that we confront today is the price we pay for putting off the day of reckoning until now. If we put it off any longer, the consequences will be even worse. I don’t like this budget, not one little bit. Source: Budget Address to Pennsylvania General Assembly , Mar 4, 2003

Find savings of $1 billion by cutting wasteful spending

We’re moving ahead on a whole range of initiatives to reduce the cost of government across the board. Our goal is to over time find savings of $1 billion, all by cutting wasteful spending and improving efficiencies. We’re already making great progress, identifying $255 million in cost savings and revenue enhancements in this budget. We’re pursuing initiatives to purchase government supplies & materials more efficiently to reduce our warehouse costs - which alone could save more than $250 million a year Source: Budget Address to Pennsylvania General Assembly , Mar 4, 2003

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Page last updated: Nov 21, 2011