FOR IMMEDIATE RELEASE
February 6, 2007
Contact:
David Atkinson
717-787-6535
 

Armstrong: Substantial Tax Hikes and Spending Increases Are Wrong for Taxpayers and the Economy

Governor Rendell's proposed state budget is the wrong prescription for the Pennsylvania economy and runs counter to public demands for fiscal restraint, according to Senate Appropriations Chairman Gib Armstrong.

"The Governor will be given the chance to explain his plan and defend his priorities, but this looks to be a controversial proposal and a tough sell," Armstrong said.

"Most people believe that state spending is too high already.  From what we have been hearing, Pennsylvania taxpayers were really hoping to see something resembling a hold-the-line-on-spending budget coming from the Governor.  Given that economic growth is not that strong, the Governor's budget costs too much and tries to do too much.  State officials should be looking for ways to control spending, instead of searching desperately for more money to pay for new programs and increased spending," he pointed out.

"With public opinion strongly against tax hikes of any kind for any reason, it is surprising to see a plan offered that contains seven tax hikes, adding up to $2.5 billion.  It is difficult to see a lot of legislative support for the extensive and expensive tax hikes the Governor is proposing," Armstrong noted.

"There is a chart in my office that shows the word 'NO' in fifty different languages.  We may have to use every variation before this budget process is over," he pointed out.

Although the proposed state budget might look like previous budgets, Armstrong indicated that he will inject a new wrinkle into the budget process.  "When we hold the Senate Appropriations' hearings at the end of the month, the questions asked of administration officials are going to focus more on ways to save money rather than on ways to spend money."