Accountability and transparency concerns cited
Harrisburg – April 28, 2014 – Senate Democratic Leader Jay Costa (D-Allegheny) and House Democratic Leader Frank Dermody (D-Allegheny) said that there should be no votes on bills after Election Day in November.
In order to formally ask that there be no votes in a lame-duck session, Costa said today he has sent a letter to the Senate’s president pro tempore and the speaker of the House of Representatives urging them to announce that neither body will hold post-election session days.
In his letter to Senate President Pro Tempore Joe Scarnati and Speaker of the House of Representatives Samuel Smith, Costa acknowledges that while post-election sessions may be necessary at some point in the future, “in the interests of member accountability to the citizens of each district and transparency of the process, I do not believe we should be holding post-election sessions this year (.)”
Dermody said both leaders are concerned that the problems Gov. Tom Corbett has encountered in getting his agenda adopted could lead to a wave of bills that the General Assembly could confront post-election.
“Neither the governor, nor members of both parties in both chambers are immediately accountable to the citizens of their districts via the democratic process if votes are taken in a 2014 lame-duck session,” Dermody said. “The governor may try to use a lame-duck session to push aggressively for issues that found little support when he was directly accountable to the voters.”
“We need to be upfront and allow citizens to evaluate the full record of the General Assembly and the governor at the ballot box, not after votes have been cast,” Costa commented after disclosing the details of his letter. “By November of this year, the legislature will have had nearly two full years to work through issues.”
Costa said that it was time that the General Assembly consider prohibiting lame-duck sessions. He pointed to legislation (SB 695) authored by Sen. Rob Teplitz (D-Dauphin) that would take steps toward such a prohibition.
The General Assembly adjourns sine die on November 30.
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Editor’s Note: Text of Costa’s letter follows
April 28, 2014
Hon. Joseph Scarnati, President Pro Tempore
Senate of Pennsylvania
292 Main Capitol Building
Harrisburg, PA 17120
Hon. Samuel H. Smith, Speaker
Pennsylvania House of Representatives
139 Main Capitol Building
Harrisburg, PA 17120
Dear President Scarnati and Speaker Smith:
As you well know, it is critical that members of the General Assembly be held accountable to the citizens of their districts for votes cast on the Senate and House floor. Therefore, post-General Election voting sessions, in which substantive legislative matters are considered, should be held only in emergency situations or in limited instances when there is a compelling need.
In the interests of member accountability to the citizens of each district, and transparency of the process, I do not believe we should be holding post-election sessions this year to move pieces of the governor’s policy agenda which failed to be considered prior to the General Election.
Therefore, I am requesting that you announce that the General Assembly will not be scheduling post-General Election session days this year. The final session days for both the Senate and House of Representatives should be held prior to the November election and the sine die adjournment on November 30, 2014. This ensures that the members of the General Assembly and the governor are held accountable for their votes and that their full record is available for scrutiny.
It is imperative that a decision regarding session is made and announced soon so that there can be proper planning by all members. In addition, it is important that the announcement be timely so that floor leaders in both the House and Senate can properly manage the legislative calendar.
Please advise me as soon as possible concerning my request to refrain from holding legislative session following this year’s General Election.
Sincerely,
Sen. Jay Costa
Democratic Leader
Harrisburg – April 24, 2014 – Senate Democratic Leader Jay Costa (D-Allegheny) issued the following statement on the death of former Sen. Ray Musto. Musto served in the Senate from 1982 to 2010 representing Luzerne, Carbon and Monroe Counties.
Musto began his career in public service when he won a special election in 1971 to fill his late father James Musto’s unexpired term in the state House of Representatives. He served in the House until 1980 when he was then elected to the United States Congress in a special election. In 1982, he was elected to the state Senate.
Costa’s statement is as follows:
“Our thoughts and prayers go out today to Senator Musto’s family and friends as we mourn his passing. Senator Musto was a champion of the environment, a legislative force and a friend who always had a kind word to help his colleagues during difficult times.
“Senator Musto was a lawmaker of depth, substance and compassion. He took time to learn issues and he used his experience and expertise to benefit the citizens of Luzerne County and Northeastern Pennsylvania.
“From legislation that established curbside recycling to Pennsylvania’s Growing Greener program and the landmark legislation to spur the development of abandoned industrial property, Senator Musto played a significant role in crafting environmental policy in his nearly 40 years in the legislature.
“During his long years of public service, he achieved a great deal for Northeastern Pennsylvania. His contributions will live on and his policy footprint will continue to guide future generations. Pennsylvania is a better place today because of Senator Ray Musto’s service.”
Musto served in the U.S. Army from 1951-53. He graduated in 1971 from King’s College in Wilkes-Barre and holds Doctorate of Letters degrees from Kings and Wilkes Colleges.
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New Federal Proposals Would Build on Senate Democrats PA Works Plan
Harrisburg – April 16, 2014 – President Barack Obama and Vice President Joe Biden are scheduled to appear at the Community College of Allegheny County (CCAC) West Hills Center to highlight a revised $500 million federal job-training program and trumpet new grants for industry apprenticeships.
State Senate Democratic Leader Sen. Jay Costa (D-Allegheny), who is not only a CCAC graduate but is a current board member and treasurer, said today that the initiatives the president and vice president will highlight dovetail nicely with a comprehensive job-training program that is included in the Senate Democrats’ PA Works Plan.
“President Obama and Vice President Biden are aggressively promoting initiatives that will help both business and workers adjust to changing economics and rapid shifts in markets,” Costa said. “There is plenty of action needed in retooling our job-training programs at both the federal and state levels.
“Senate Democrats have already produced a comprehensive package of legislation to address needs in the workforce development area and we are ready to work with President Obama and Vice President Biden to help more people through partnerships and apprenticeships.”
The goals of the PA Works job-training proposals are to coordinate job-training programs and create a one-stop system of workforce investments, enhance training programs for emerging industries and tailor workforce training to fit employer needs.
Senate Democrats have a menu of legislative proposals that is focused on repositioning job-training programs. Among the bills in the PA Works job-training package is an employer-driven Train-To-Work PA program (SB 223), tax credits for businesses that hire qualified interns (SB 230), summer youth employment program development (SB 208) and to permit vocational students to earn industry accreditation in accelerated programs.
News reports have indicated that the president and vice president are expected to discuss a $500 million grant program that uses revised criteria for federal Trade Adjustment Assistance and $100 million in new grants for apprenticeships.
According to news reports of discussions with administration officials about the new initiatives, the goal of the new federal grant programs is to create a collaborative environment between local academic institutions, businesses and industry groups.
Senate Democrats previously held a policy hearing and roundtable discussion on the role of education in job training at CCAC West Hills Center.
Costa said at that hearing that “any legislative effort to energize our economy and create jobs must include an aggressive workforce training plan. Job creation and training will continue to be the central core of the Senate Democrats’ agenda.”
The PA Works plan would leverage $2 billion in private investment to help put people to work, cut business taxes and help small businesses be more competitive, rebuild the state’s aging infrastructure, foster the growth of promising new clean and green energy industries and retool worker training programs.
The aim of both federal grant programs that are slated to be discussed by the president and vice president is to create a “collaborative ecosystem” among community colleges, universities, individual employers and industry associations, according to reports of discussions of the administration officials.
According to published reports, the new federal initiative will require that successful applicants for the grant dollars establish a direct connection between their applications and job placement.
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HARRISBURG, March 12, 2014 – State Senate Democrats today said they would save Pennsylvania taxpayers billions of dollars and solve the state’s pension problem if their proposal to further reform pension rules, refinance billions and help school districts avoid escalating payments is adopted.
Senate Democratic Leader Jay Costa (D-Allegheny); the Democratic chairman of the Senate Finance Committee, Sen. John Blake (D-Lackawanna), Senate Whip Anthony H. Williams (D-Philadelphia); the Democratic chairman of the Senate Appropriations Committee, Sen. Vince Hughes (D-Philadelphia); and Sen. Larry Farnese (D-Philadelphia) unveiled the caucus’ proposal during a briefing with Capitol news correspondents.
With the State Employees’ Retirement System and the Public School Employees’ Retirement System drowning in a sea of underfunding approaching $50 billion, the Senate Democratic proposal would refinance $9 billion of that, further reform the state pension law to stop charter schools from receiving double-dip state reimbursements, and lower the collars on state and school district payments to provide short-term budget relief while also making it easier to manage future cost increases.
“The pension reform plan we are suggesting is smart and innovative. It saves money and creates a plausible responsible fiscal roadmap for the future,” Sen. Costa said. “Refinancing $9 billion in existing unfunded liabilities would decrease long-term payments by $24 billion. Over the next five years, it would save school districts $600 million and the commonwealth $1 billion.”
The Democratic Senators said they are making this proposal because it would avoid the dangers posed by Gov. Tom Corbett’s pension proposal, such as:
- $2 billion in additional payments over the next four years, including $550 million more in the 2015-’16 state budget
- $5 billion more in unfunded pension liabilities, and
- The camouflaging of increased future costs that could add millions more to the pension crisis.
Sen. Blake repeated the Democratic Caucus’ mantra that time is of the essence for these critical changes to happen.
“If we continue to delay our responsibility to fulfill our fiduciary requirement and deliver what has been promised in retirement to thousands of educators and public employees, it will be taxpayers, their children, and their children’s children who will have to pay the bill,” Blake said. “We cannot allow that to happen.
“The Corbett administration has already refinanced billions in debt to make a bad situation better when it floated nearly $4 billion in bonds to restore Pennsylvania’s unemployment compensation reserves in 2012. We must do the same with pensions,” the Lackawanna County Democrat said.
Senate Democratic Appropriations Chairman Vince Hughes urged bipartisan support for the caucus’ proposal.
“People from across the political spectrum are, and have been, educators and state employees. They are depending on us to fix this growing problem and this is the solution we need,” Hughes said. “Republicans and Democrats in the General Assembly must work together to get this idea to the governor’s desk.”
Sen. Williams said he believes fiscally responsible lawmakers will especially like the proposal to eliminate the current practice that allows charter schools be reimbursed by the state for pension payments that are completely paid for by school districts.
“This has been a good deal for charter schools, but the set up is hurting school districts, taxpayers and students across the state,” Williams said. “Making this change will significantly reduce school district pension payments because it will eliminate the 50 percent reimbursement that charter schools now receive after districts pay the escalating pension bill.”
And, Sen. Farnese said it is important for the commonwealth to continue its defined benefits pension system because it requires financial professionals to manage contributions.
“Too many people who are approaching retirement don’t have the nest eggs to guarantee them the security and independence they need to do the things they dreamed of doing when they were working,” Farnese said. “Defined benefit pensions are still the most efficient way to save for retirement. Moving away from that system will only hurt the financial security of future generations.”
The National Bureau of Economic Research in Cambridge, Mass., issued a report in February indicating that half of the households where people are on the cusp of retirement (65 to 69 years old) have retirement accounts of $5,000 or less.
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Harrisburg – February 20, 2014 – Senate and House Democrats said today that Gov. Tom Corbett’s budget speech and follow up opinion pieces and interviews have painted a picture of Pennsylvania that is blurry, inaccurate and badly in need of correction.
Senate Democratic Leader Jay Costa (D-Allegheny), Sen. Vincent J. Hughes (D-Philadelphia) Democratic chair of the Senate Appropriations Committee and House Democratic Policy Chair Rep. Mike Sturla (D-Lancaster) were joined by other Senate and House Democrats to raise questions about assertions made by the governor and to unveil a new fact-check website.
“The governor’s claim that ‘Pennsylvania has turned a corner’ and is ‘now ready to hit full economic stride’ is a distortion that is in need of correction,” Costa said. “Under this governor, Pennsylvania has not turned the corner on job creation, education, health care or budget management. We just keep going down a one-way street the wrong way.
“I am concerned about the view from the governor’s office because it is not the same as what most Pennsylvania families are seeing.”
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Given the governor’s slanted view of the problems that face Pennsylvania, Democrats said that it was important that citizens can access objective information. That’s why they have produced a new website where the governor’s claims can be reviewed. The website can be found at www.checkthefactsgovcorbett.com.
“The governor has made job, deficit, health-care and education claims that are distorted,” Hughes said. “The citizens of Pennsylvania need an honest appraisal of the problems that we face and a roadmap that takes us in a new direction.”
“In his employment claims, Governor Corbett fails to mention the 20,000 education jobs lost, the health care jobs that would be created under Medicaid expansion, and that our college grads are fleeing PA for jobs created in our neighboring states all while our unemployment rate is consistently above the national rate.” Sturla said. “He continues to throw money at defending the Tea Party backed policies he’s championed.”
Specifically the Democrats questioned the governor’s assertion that 150,000 private-sector jobs were created. They said that he fails to acknowledge that Pennsylvania has a 180,000 jobs deficit relative to federal economic growth and we’ve moved from seventh to 48th in job creation since Corbett took office.
The Senate Democrats also disputed the governor’s claim that he has invested in education.
“Since the governor took office, he cut $1 billion from education, failed to increase the basic subsidy, treated less affluent districts poorly and ended a long-term funding equity plan that would have rectified funding disparities,” Costa said. “The governor’s new-found election year desire to invest in education cannot overcome the massive problems he caused for schools and taxpayers.”
Hughes said that Corbett has also failed to fully explain his unconscionable decision to by-pass Medicaid expansion and instead is rely on a problematic private insurance-based health care proposal.
The West Philadelphia lawmaker said that the governor’s failure to expand Medicaid “costs $400 million, prevents 500,000 Pennsylvanians from accessing health care and keeps 35,000 from job opportunities.”
Hughes also questioned the governor’s budget balancing saying that “the governor used one-time gimmicks, an inflated growth rate and policy tricks that add billions to the unfunded pension liability to make the $1.2 billion deficit disappear.”
Costa said that many states are examining ways of investing or returning budget surpluses this year and are still not dealing with fiscal despair.
“For the fourth year in a row, under this governor, we’ve had to struggle with revenues because we have not created an environment that is conducive to economic development and job creation,” Costa said. “Many of our surrounding states have invested wisely, grown their economies and regained their fiscal health, while we have been stuck in reverse and going the wrong direction.”
The Democrats said that the narrative that the governor has been pitching across the state since his budget address is an election-year ploy to cover a four-year record of failed economic, job, health and budget initiatives.
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Harrisburg, February 4, 2014 – Senate Democratic leaders today called Gov. Tom Corbett’s 2014-15 budget proposal election-year pandering and woefully lacking on multiple levels.
“The governor really needs to stop promising and start delivering for Pennsylvania.” Senate Democratic Leader Sen. Jay Costa (D-Allegheny) said today following the budget address. “Today’s budget presentation was election –year political pandering that doesn’t move Pennsylvania forward. It simply backfills and covers over problems that the governor created over the last three years.
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“While it is a step forward that the governor has started to focus on priorities such as education with his $241 million block grant, it is still not good enough because schools are still struggling to deal with the governor’s previous $1 billion cut in education.”
The governor presented his $29.4 billion General Fund spending plan before a joint session of the General Assembly.
In the speech, the governor outlined his plan which is a 3.3 percent increase over the current year spending. The budget is balanced through the use of more than $1.1 billion in one-time funding options and shifts.
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He called for a new education block grant that would be distributed by a funding formula based on student count, aid ratio, poverty and English proficiency.
Gov. Corbett’s plan also includes $429 million more for the Department of Public Welfare – although a lion’s share of this funding is due to a declining share of federal dollars for Medical Assistance — and an increase of $78 million for corrections. The governor also called for lowering the pension collars from 4.5 percent to 2.25 percent. This would reduce state pension payments by $170 million and school pension payments by $130 million.
Costa said that Corbett’s previous $1 billion in education cuts, failure to detail a job creation strategy, inability fix the holes created in the social safety net and his stubborn refusal to expand Medicaid are coming back to haunt him.
Senate Democrats said that the governor’s new found attention to key issues was insufficient given the lack of leadership over the last three years.
“Senate Democrats have offered a host of solutions including a new $300 million investment strategy for education, and the PA Works job-creation plan and we will support the governor if he expands Medicaid, hikes the minimum wage and puts real dollars into human services programs,” Costa said.
Costa said that it has taken the governor three years, repeated calls by Senate Democrats and a tough re-election fight to see that education needs more funding. He said that recognizing these problems and responsible solutions “shouldn’t have taken so long, been so difficult or include an unbalanced distribution formula.”
Senate Democratic Whip Sen. Anthony H. Williams (D-Philadelphia/Delaware) said the governor’s new proposals were too little, too late.
Williams said the troubling jobs deficit of 180,000, the bottom-ten ranking in job creation, and the state’s poor fiscal health, illustrate the glaring gap in the governor’s understanding of the needs of the citizens.
“Every surrounding state that has increased minimum wage has increased their jobs. New York state alone grew 10,000 jobs – and they increased the minimum wage,” Williams said. “They did it not in the government sector, but in the private economy.”
Williams said that while other surrounding states are dealing with budget surpluses, Pennsylvania is still dealing with deficits.
“The governor can’t blame the previous administration for his continued budget troubles,” Williams said. “The fiscal problems faced by the taxpayers of Pennsylvania are the result of failed Corbett administration policies, period. Both sides have talked repeatedly about extending their hands on key issues, and I’m ready to finally see the handshake that moves Pennsylvania forward.”
Sen. Vincent J. Hughes, (D-Philadelphia/Montgomery) who serves as the Senate Democratic Appropriations Committee chair, said today that Pennsylvania has a long road ahead to recover from the damage done by ill-conceived Corbett administration policies especially as they relate to schools, health care, safety-net investments and jobs.
“The governor still doesn’t get it. He has slashed business taxes by $1.2 billion, cut education dollars by $1 billion and simply refused to address key issues such as job creation, Medicaid expansion, human service funding and the minimum wage,” Hughes said. “The presentation today was an election year budget that demonstrates the governor’s inability to properly identify policy priorities.
“Pennsylvania would have been better served by this governor if he agreed to expand Medicaid to help a half-million Pennsylvanians, invest long-term in a balanced education funding plan, put more of an emphasis on programs that create jobs and help our most vulnerable,” Hughes said.
Hughes said that Senate Democrats have crafted solutions to budget issues and a savings plan of more than $1.1 billion that can be used to make key, long-term investments in schools, health care, human services and jobs. Democrats have also endorsed an increase in the minimum wage, Hughes said.
The Senate Appropriations Committee will hold budget hearings over the next several weeks to examine the budget proposal in detail.
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