PA drowning in sea of red ink under Rendell

State Rep. Sam Rohrer, R-Berks, a frequent critic of massive state spending under Gov. Ed Rendell, says time is running out to re-open Pennsylvania's red-ink budget to avoid a potential tax increase next year.

With only three scheduled session days remaining before the Legislature takes another break to campaign for the November elections, Rohrer cited a recent Pennsylvania Revenue Department report that shows September revenue collections were $160 million lower than anticipated. It was the third straight month the state spent more than it took in and there are still nine months to go in the current fiscal year.

The red ink means the governor and Legislature must re-open the $28.3 billion General Fund budget for 2008-09, Rohrer says.

"When I called for a zero-growth budget throughout the entire budget negotiations, and again when I called for the immediate re-opening of the out-of-balance budget just a few weeks ago, I did so based on the grounds that the out-of-control spending would need to be checked," Rohrer said in a written statement. "The recent release of September revenue collection numbers has confirmed my arguments for no new taxes, no new spending and no new borrowing yet again."

Rohrer said the state budget signed by Gov. Rendell is "effectively unconstitutional" because it "deliberately ignored clear economic predictions about the level of revenue that would be available to the Commonwealth."

Rohrer said he is not surprised by the September numbers "and neither should any of my colleagues or the governor."

Rohrer also said that tapping into the state's Rainy Day Fund to address any future budget deficit is illegal because the budget crisis was anticipated by state officials.

"Under these circumstances, draining the Rainy Day Fund is not an option," Rohrer said. "This fund is clearly reserved for unanticipated emergencies. If the governor continues to spend recklessly, we will certainly have an ever larger fiscal emergency on our hands, but it certainly will not be unanticipated."

The Associated Press reports that Pennsylvania is now facing a budgetary shortfall of up to $1.3 billion. Some lawmakers project a $2.5 billion deficit by 2010, which also happens to be Rendell's last year in office.

State spending has increased by nearly $8 billion since Rendell became governor in 2003.

Rohrer said Rendell's recent call for a hiring freeze, ban on out-of-state travel and reduced spending by state agencies is not enough.

"Now it is beyond absolutely clear that Gov. Rendell's arbitrary cost cutting in several departments was inadequate and short-sighted," Rohrer said. "Now is definitely the time for drastic spending reductions, rather than more lame duck excuses which will only lead to further inaction."

Rohrer said the state must re-open the budget and allow for legislative and public input to create a fiscally responsible, balanced, zero-growth state budget.

"With ever-increasing fuel and food prices, not to mention Pennsylvania's unaddressed school property tax crisis, even considering raising taxes or borrowing against the tax dollars of future generations is absolutely unconscionable," Rohrer said.