April 2, 2015

Senate GOP Seeks Answers On Fiscal Impacts Of State Worker Contract Talks

Three members of Senate Republican leadership sent a letter to Gov. Tom Wolf March 31 seeking his timely response to a letter previously sent by Sen. Mike Folmer (R-Lebanon) that sought information relating to the fiscal impact of coming collective bargaining negotiations and likely agreements with labor unions representing state employees.
The letter, signed by Senate President Pro Tempore Joe Scarnati (R-Jefferson), Majority Leader Jake Corman (R-Centre), and Appropriations Chairman Pat Browne (R-Lehigh), said the requests are not meant to interfere with negotiations, but to gain an understanding as to how the potential deals might impact the General Fund.
This article is based on reporting by PA Legislative Services.

Thursday NewsClips

Click Here  for Today's PA Environmental News

April 1, 2015

March State Revenue Collections Down Very Slightly From Estimates

Pennsylvania collected $4.3 billion in General Fund revenue in March, which was $9.5 million, or 0.2 percent, less than anticipated, Acting Secretary of Revenue Eileen McNulty reported Wednesday. Fiscal year-to-date General Fund collections total $21.7 billion, which is $368.1 million, or 1.7 percent, above estimate.
Sales tax receipts totaled $692.9 million for March, $19.1 million below estimate. Year-to-date sales tax collections total $7 billion, which is $42.6 million, or 0.6 percent, more than anticipated.
Personal income tax revenue in March was $972.8 million, $18.9 million above estimate. This brings year-to-date PIT collections to $8.1 billion, which is $36.7 million, or 0.5 percent, above estimate.
March corporation tax revenue of $2.4 billion was $16.6 million above estimate. Year-to-date corporation tax collections total $4 billion, which is $186.2 million, or 4.9 percent, above estimate.
Inheritance tax revenue for the month was $78.7 million, $17.5 million below estimate, bringing the year-to-date total to $739.4 million, which is $62.2 million, or 9.2 percent, above estimate.
Realty transfer tax revenue was $30.5 million for March, $2.7 million below estimate, bringing the fiscal-year total to $302.4 million, which is $26.2 million, or 8 percent, less than anticipated.
Other General Fund tax revenue, including cigarette, malt beverage, liquor and table games taxes, totaled $66.6 million for the month, $8.4 million above estimate and bringing the year-to-date total to $1 billion, which is $32.2 million, or 3.2 percent, above estimate.
Non-tax revenue totaled $59.6 million for the month, $14.2 million below estimate, bringing the year-to-date total to $559.8 million, which is $34.3 million, or 6.5 percent, above estimate.
In addition to the General Fund collections, the Motor License Fund received $232.3 million for the month, $22.9 million below estimate. Fiscal year-to-date collections for the fund – which include the commonly known gas and diesel taxes, as well as other license, fine and fee revenues – total $1.9 billion, which is $98.5 million, or 5.5 percent, above estimate.

House Committee Hears Electric, Natural Gas Industries Priorities For Coming Year

The House Consumer Affairs Committee Tuesday held an informational meeting to learn about electric and natural gas industry priorities for the coming year.
Terrance Fitzpatrick, President of the Energy Association of PA, said a number of policy issues need to be addressed, including: elimination of the Consolidated Tax Adjustment (CTA) in rate proceedings, retail competition enhancements, transfer of the Underground Utility Line Protection Law to the PUC, and gas line extensions.
Tony Cusati, from the Natural Gas Caucus of the Retail Energy Supply Association and offered his support of House Bill 57 (Godshall-R-Montgomery) to improve competition in the natural gas retail market.
Richard Hudson, from the Electric Caucus and the Retail Energy Supply Association, suggested comprehensive consumer education, all cost and risks related to default service should be reflected in default service rates, default service must be market reflective, utilities should be encouraged to cooperate with suppliers, and the impact of renewable energy policies must be considered.
Matt Sommer, President of Shipley Energy, thanked the Committee for its work on House Bill 57 (Godshall-R-Montgomery) which he said will simplify the process of switching to alternative suppliers and was optimistic that the Public Utility Commission’s ongoing Retail Market Investigation into the natural gas market will provide a venue to identify further steps that can be taken to enhance competition.  He said “more programs…should be enacted to encourage customers to elect alternative supply. The provider of last resort function should be just that, a last resort and structurally more should be done to encourage the easy transition to other supply options.”
Matt White, General Counsel, IGS Energy, said to improve Pennsylvania’s competitive markets, White suggested Pennsylvania engage and educate customers, remove barriers to customer engagement such as the default service model, allow customers to enroll with a supplier immediately and remotely, ensure competitive suppliers and default suppliers are subject to the same requirements, and empower the PUC to punish bad actors.
Rep. Robert Godshall (R-Montgomery), Majority Chair of the Committee, concluded the meeting by saying a lot more needs to be done to improve natural gas competition.
Rep. Peter Daley (D-Washington) serves as Minority Chair.

Senators Agree To Review Casino Owners’ Proposals For Changing Gaming Law

Sen. Kim Ward (R-Westmoreland) and Sen. Sean Wiley (D-Erie), the Majority and Minority Chairs of the Senate Community, Economic, and Recreational Development Committee, responded Tuesday to a letter sent by ten Pennsylvania casino owners requesting the General Assembly consider certain proposals to help the industry remain competitive.
In a March 17, 2015, letter, the owners of Pennsylvania’s six Category 1 casino license holders and four Category 2 casino license holders called on the legislature to enact proposals that would, among other things, eliminate minimum staffing requirements, allow for 24-hour alcohol service, expedite slot machine placement, and provide for reinvestment tax credits.
The letter did not include so-called “resort casinos,” Valley Forge and Nemacolin.
In responding to the letter Tuesday, Senators Ward and Wiley agreed to review the proposals put forth in the March 17 letter.
“[W]e will carefully review and consider the various points addressed by the signatories as we attempt to ascertain what actions, legislative or otherwise, are necessary and warranted,” the letter reads.
The senators also acknowledge while there has been a strongly-forged partnership between the casino industry and the Commonwealth to grow and develop the industry, more is needed to ensure the Commonwealth remains competitive.
"However, to ensure the continued success of the PA gaming industry, Pennsylvania must take the necessary steps to maintain a business environment that will protect and increase the attractiveness of PA casinos to gaming patrons in an increasingly competitive environment," they said.
NewsClip: PLS: Senators Agree To Review Casino Owners’ Proposals

Wednesday NewsClips

Click Here  for Today's PA Environmental News