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Commonwealth Foundation


Budget Facts 2009

From the Commonwealth Foundation


by Policy Brief
 

Budget Facts 2009
From the Commonwealth Foundation
June 2009

Spending Increases by Department

Pennsylvania faces a $3 billion tax revenue shortfall in the state's General Fund
Budget. Competing proposals from Gov. Ed Rendell and the Republican-led Senate
differ on raising taxes and reducing/reprioritizing spending. This is the first in
a series of fact sheets on the state budget.

SENATE BILL 850 MAINTAINS ABOVE-INFLATION INCREASES IN SPENDING OVER RENDELL TENURE

* Senate Bill 850 represents a 36.2% increase in spending since he took
office in 2003 (a 17.2% increase in inflation-adjusted spending)–despite
reducing Gov. Rendell's proposal by $1.7 billion.
o SB 850 represents an increase in spending over fiscal year
2002-03 by inflation and population growth, plus an additional $2.8
billion.

<<SEE TABLE>>

SENATE BILL 850 INCREASES SPENDING IN K-12 PUBLIC EDUCATION AND PUBLIC WELFARE

* K-12 Public Education and Public Welfare–the two largest budgetary items
in the General Fund Budget (representing 80% of all General Fund Budget
spending)–would receive increased state and federal funding in FY 2009-10 over
the current fiscal year
o K-12 Public Education would receive $360 million more in
2009-10 than in 2008-09–a 37.6% increase in spending since 2003 (18.5% in
inflation-adjusted spending).
o Public Welfare would receive $504 million more in 2009-10
than in 2008-09–a 62.6% increase in spending since 2003 (39.9% in
inflation-adjusted spending).

Additional Resources at www.CommonwealthFoundation.org

* General Fund Spending Chart
* Testimony: Now is the Time to Practice Fiscal Restraint
* Government on a Diet: Spending Tips 2009
* Will Tourism Collapse Without Taxpayer Subsidies?
* State Spending Binges
* PolicyBlog: Budget

More Budget Facts on www.CommonwealthFoundation.org

* Pennsylvania State Budget Overview
* State Education Spending

Visit www.CommonwealthFoundation.org for a printable version of Spending by Department.

For additional information on the State Budget and other issues, go to
www.CommonwealthFoundation.org, or call 717.671.1901.

# # #

The Commonwealth Foundation is an independent, non-profit public policy research and
educational institute based in Harrisburg, PA.

www.CommonwealthFoundation.org


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