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For Immediate Release
December 20, 2003

Senator White Supports Compromise to End Budget Impasse

Harrisburg – State Senator Mary Jo White (R-Venango) today voted to support a budget package that will release long-awaited funds to area school districts.

"No vote to increase the burden on taxpayers is easy," said White. "After nearly six months of impasse, I think we reached the best deal possible. This budget spends less – and taxes significantly less – than the budget proposed by Governor Rendell and passed by the House of Representatives."

In exchange for a modest increase in the personal income tax to 3.07%, Governor Rendell agreed to defer spending on new educational programs until next school year. The Senate-brokered deal reduces the Governor's plan for new spending from more than $550 million to $175 million, and gives school districts needed flexibility on how to spend the money. Governor Rendell originally proposed increasing the personal income tax to 3.75%. 

Senator White said she voted for this package for several reasons: it offers malpractice insurance relief to health care providers, provides a 3% basic and 4.5% special education subsidy increase, reimburses schools for borrowing costs incurred during the impasse, restores critical funds to drug, alcohol, human service and other programs and addresses the Commonwealth’s structural deficit. The package also releases funds to the state system and state-related universities.

"This is not an ideal budget. Few ever are. But I am proud of my caucus," said White. "We stood firm and negotiated in good faith to reach the best deal possible for taxpayers. Once we do so, we must come together to put this budget impasse behind us. Today’s vote fulfills that responsibility."

The House of Representatives is expected to consider the budget package early next week.

CONTACT:

Leigh Ramsey (717) 787-9684

 


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