Corbett has contributed to state budget mess
Have you seen the ludicrous ways the Corbett administration is considering balancing the 2014 budget?
Even the Mirror has had a few uncomplimentary things to say.
The first one is to defer the pending reduction in corporate taxes. These taxes should not have been cut in the first place. Check and see how much these corporations actually pay.
The laws are so full of loopholes that a good tax attorney can drive an 18-wheeler through them. Guess who employs these lawyers?
However, the Corbett administration will not consider closing the “Delaware loophole,” which lets companies doing business in Pennsylvania, but ostensibly registered in Delaware, omit paying Pennsylvania taxes.
Make sense yet?
There’s more: We’ve all heard about the funding problem with the state pension funds. Even though the problem was created by the state either underfunding or not funding either system, the Corbett administration is proposing to defer the commonwealth’s contribution yet again. Any business manager worth his job has been stockpiling money to pay these contributions. The Corbett administration doesn’t want to pay the state’s share, so the pension problem gets worse.
And don’t believe what you hear about defined contribution plans costing less than the current defined benefit programs.
West Virginia recently reverted to a defined benefit plan when it became obvious that its defined contribution plan was costing too much. West Virginia is not the only state that has reverted to the defined benefit plan.
The Corbett administration is hoping to acquire revenue from the new small games of chance and from the proposed keno games. If you are a gambler, just remember that these new games do not benefit senior citizens. They benefit the Legislature.
Finally, and most ludicrous, the Corbett administration is preparing to sell every household using electricity to the power generation companies for a one-time fee of $350 unless each household has already designated a power provider.
The transmission company that assigns the provider gets to keep $100. The other $250 goes to the commonwealth. Will this be another user fee? This is one-shot money. What are they going to come up with for 2015?
As one of the cabinet secretaries admitted, there’s no way to cut education or any of the people programs. They’ve already been cut.
The Legislature is still reeling from the taxpayers’ disgust with the cut to education in 2012.
Beth Ann Andrews