County Association Makes Push For Funding During State Budget Impasses

By Peter Hall | Pennsylvania Capital-Star

Pennsylvania’s budget is due each year on June 30. But that doesn’t always mean it will get done on time. If lawmakers can’t agree on a spending plan, it can leave counties, school districts, and nonprofit organizations that provide services for the state in the lurch.

That’s what happened last year, when a spending plan wasn’t passed until mid-November. Lawmakers have missed the budget deadline six of the last ten years.

Now, Rep. Brian Rasel (R-Westmoreland), has offered a bill that would ensure local governments and organizations that provide services for the state can continue to receive state funding through an impasse.

The proposal earned the support of the County Commissioners Association of Pennsylvania, which represents officials in local governments that were among the hardest hit during previous standoffs.

“Over the last few years, we’ve had issues with getting a timely budget,” Rasel said. “I view it very simply that our citizens are not pawns in a political fight and deserve some consistency and some predictability.”

The bill would allow the state Treasury to continue to pay local governments and service providers during an impasse up to 85% of what they spent in the previous fiscal year. The payments would then be deducted from what they’re ultimately allotted once a budget bill is passed.

The measure has earned co-sponsors from both parties.

A spokesperson for Rep. Jordan Harris (D-Philadelphia), chair of the House Judiciary Committee, where the bill has been sent, did not respond to a question about whether he would bring it up for a vote.

“Last year’s budget impasse placed counties in an untenable position — forcing difficult decisions that impacted essential services and the residents who rely on them,” County Commissioners Association of Pennsylvania Executive Director Kyle Kopko said in a statement. “[House Bill] 2382 represents an important step toward providing stability and predictability in state funding during a budget impasse, which is vital for counties to effectively carry out their responsibilities.”

This year, the state House has already passed a budget identical to the one proposed by Gov. Josh Shapiro in February, though it is almost certain to undergo major changes during negotiations with the Republican-controlled Senate before it is sent to the governor’s desk.

Last year, a number of Pennsylvania counties took out loans, cut services or dipped into savings during the 135 day budget impasse. Providers of services affecting many of the most vulnerable Pennsylvanians, including children, the elderly and those with medical conditions or disabilities, were among the most affected.

Due to last year’s state budget impasse and a federal government shutdown, Bucks County government had to front millions in dollars to support services typically funded by the state and federal governments. It also provided advance payments to Bucks County Community College.

Treasurer Stacy Garrity offered loans with a 4.5% interest rate to many counties and service providers. The interest on the loans were ultimately forgiven when the budget was passed.

However, many lawmakers contended the Treasury did not have the authority to unilaterally give out such loans, and included language in the budget bill to ensure future treasurers could not take similar action without legislative approval.

In previous years, lawmakers have proposed other measures aimed at ensuring a budget can get done on time. A number would suspend lawmaker pay until a spending plan is passed. As it stands, lawmakers continue to receive paychecks during an impasse, though a handful have foregone them voluntarily.

Pennsylvania Capital-Star is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Pennsylvania Capital-Star maintains editorial independence. Contact Editor Tim Lambert for questions: info@penncapital-star.com.