2008 Budget Hearings
Highlights and Summaries

Wednesday, February 27, 2008
Tuesday, February 26, 2008
Monday, February 25, 2008

Hearings listed alphabetically here

Attorney General
PSERS
Gaming Control Board
State System of Higher Education

 


Attorney General - Attorney General  Budget Hearing - 1 hour 15 minutes

Senator Gordner

Senator John Gordner (R-27) comments on the success of the Do Not Call list, which significantly reduced telemarketing calls for consumers.
Senator Gordner AudioSenator Gordner Video

Summary

Senate Appropriations Committee members focused on reducing gang violence and preventing identity theft during a budget hearing with Attorney General Thomas Corbett.

Senate Law and Justice Committee Chairman Senator John Rafferty, 44th District, asked if there has been an increase in gang activity in the Commonwealth. Senator Pat Browne, 16th District, asked how the Governor’s proposed 2008-09 budget would impact the Route 222 Corridor Initiative to prevent gang violence. Senator Browne urged Attorney General Corbett to request additional funding if it would help to curb gang activity in the eastern and central parts of the state.

Senate Appropriations Committee Chairman Senator Gib Armstrong, 13th District, asked for an update on efforts to reduce identity theft. Appropriations Committee Vice Chairman Senator Robert Tomlinson, 6th District, voiced his concerns about identity theft that results from Social Security numbers on county documents.

Several members expressed concerns about the limited funding proposed by the Governor for a number of vital public protection programs. Senator Armstrong asked what positions would not be filled if the Attorney General’s Office received the Governor’s proposed 1.9 percent increase, rather than the 3 percent that Attorney General Corbett requested. Senator Jake Corman, 34th District, expressed concerns that the Governor’s budget proposal would underfund the Attorney General’s Office and asked if the Governor gave any feedback on the Attorney General’s initial budget request.

Senator Bob Regola, 39th District, commended Attorney General Corbett for requesting an overall funding increase less than the rate of inflation. Senator Regola also asked how the Governor’s proposal would affect the Attorney General Office’s efforts to crack down on illegal drugs. Senator John Pippy, 37th District, asked if the Attorney General’s Office had the resources available to educate the public on preventing crimes against children. Senator John Gordner, 27th District, expressed concerns about funding for regional offices that handle thousands of consumer complaints.

Senator Pat Vance, 31st District, asked if the state’s Do Not Call list should apply to political “robo-calls.” Attorney General Corbett said that he had concerns about First Amendment issues, but he would be willing to look at any legislation that was proposed. Senator Rafferty suggested offering consumers the option to remove their numbers from robo-call lists.

Senator Roger Madigan, 23rd District, thanked Corbett for his work on the Agriculture, Communities and Rural Environment (ACRE) Initiative and requested an update on the program.

 


PSERS/SERS - PSERS/SERS  Budget Hearing - 1 hour 9 minutes

Senator Gib Armstrong (R-13), Chairman of the Senate Appropriations Committee, comments on the strong performance of the state retirement systems.
Senator Armstrong AudioSenator Armstrong Video

Senator Armstrong

Summary

The Senate Appropriations Committee heard testimony from the Pennsylvania State Employees Retirement System (SERS) Chairman Nicholas Maiale and the Pennsylvania Public School Employees Retirement System (PSERS) Chairman Melva S. Vogler.

The Senators all praised the work of SERS and PSERS in delivering a strong financial return to the Commonwealth.  Senator Browne asked about the agencies’ mixture of investments in stocks as well as alternative investment instruments.  He also mentioned discussions in the legislature regarding investing in companies that practice good public policy.

Senator Gordner asked what percentages of retirees take their money out of the Systems.  He also wanted to know if any analysis was done on the self-funding of COLAs by mandating retirees can only obtain another COLA if their monies remain in the retirement fund.  He also cited college professors, who when they begin teaching in Pennsylvania, are given a choice to enter into the State System.  If they decline to join the System immediately and instead decide years later they would like to opt in, it would be at a significant cost. 

Senator Madigan commended SERS and PSERS for their strong investment returns.  With the uncertainty in the stock markets and inflationary pressure continuing, he asked what procedures and shifts they might make in the coming year.

Appropriations Committee Vice Chairman Senator Tomlinson and Senator James Rhoades, 29th District, asked for an estimation on what a COLA would cost the Commonwealth this year.

Senate Appropriations Committee Chairman Senator Armstrong concluded the hearing by praising SERS and PSERS on their strong performance, noting that Pennsylvania has one of the most effective retirement systems in the nation.


Gaming Control Board - Gaming Control Board  Budget Hearing - 1 hour 9 minutes

Senator Pat Browne (R-16) expresses concern that certain electronic card games are stretching the letter of the law.
Senator Browne AudioSenator Browne Video

During the Gaming Control Board Budget Hearing, Senator Jake Corman (R-34) suggests a role for the Attorney General’s office in the process of conducting background checks for gaming licenses.
Senator Corman AudioSenator Corman Video

Senator Mary Jo White (R-21) questions the allocation of gaming revenues and the number of State Police troopers on duty at the casinos.
Senator Mary Jo White AudioSenator Mary Jo White Video

Senator Waugh

Senator Mike Waugh (R-28) expresses concern that slot machine gaming is having a negative impact on local charitable endeavors.
Senator Waugh AudioSenator Waugh Video

Summary

Questioning during the Senate Appropriations Committee budget hearing on the Pennsylvania Gaming Control Board (PGCB) centered on a recent indictment of a license holder and how the process can be improved and strengthened statutorily.

Senator Browne asked PGCB Chairman Mary DiGiacomo Colins what changes are being made to make the regulatory process stronger and more effective.

Noting that it is crucial for the PGCB to receive as much background information as possible when considering licensees, Senator Corman asked if there is a role for the Attorney General to play in such investigations.  He added that the State Police Commissioner is a political appointee and as such, may not be neutral.

Senator Rhoades echoed those statements, adding, “I know there is the issue of civil versus criminal and due process, but we don’t want to create a void in helping you to do your job.”

Citing increased levels of crime around casinos, Senator Rafferty wanted assurances that there would be adequate funding to have troopers at all facilities.  “I think they are doing a commendable job now, and I want that to continue,” he said.

Several senators asked when gaming profits would be sufficient to provide much-promised property tax relief to state residents. Chairman Colins said that profits are sufficient to begin providing some reductions this summer.  

Senator Mary Jo White, 21st District, inquired about policies involving free drinks at casinos and how the venues were equipped to deal with alcohol-related incidents.

Appropriations Committee Vice Chairman Senator Tomlinson praised gaming board members for getting so many licenses up and running so quickly and doing such a thorough job of scrutinizing applicants.  As a result, he said, state and local coffers are growing, jobs are being created and area businesses are benefiting.  He noted that Pennsylvania’s gaming industry has grown very quickly, compared to New Jersey, which occurred over a longer period of time.

Senator Mike Waugh, 28th District, wanted assurances that the Commonwealth is doing everything it can to improve and support the horseracing industry, adding that tracks have made significant investment in their facilities.  Chairman Colins said that increases in prize purses are having a positive effect on the breeding industry and farmland preservation.

Senator Waugh also raised concerns that charitable organizations and non-profit organizations in his district are seeing a crack down on their carnivals and other events because of pressure from the casino industry to close their operations down.


State System of Higher Education - State System of Higher Education Budget Hearing - 1 hour 8 minutes

Sen. Gib Armstrong (R-13) discusses the high cost of a new computer system to serve the State System of Higher Education.
Senator Armstrong AudioSenator Armstrong Video

Sen. Mary Jo White (R-21) tells Executive Vice Chancellor Peter Garland that the State System of Higher Education should provide financial assistance to the municipalities that host state universities.
Senator Mary Jo White AudioSenator Mary Jo White Video

Summary

Senate Appropriations Committee members focused on student safety during a budget hearing with State System of Higher Education Executive Vice Chancellor Peter Garland.

Senator Rafferty asked what measures were being taken to step up campus security in light of recent violent outbreaks on college campuses. Senator White suggested levying a nominal fee on students to help support local law enforcement in host communities to protect public safety. Senator Waugh urged the SSHE to specify any improvements that would be needed to provide a safe learning environment for students.

Several senators voiced their concerns about the costs at SSHE schools. Senate Education Committee Chairman Senator Rhoades asked what the total annual cost would be for students for tuition and housing.

Appropriations Committee Vice Chairman Senator Tomlinson requested more information on capital expenditures on SSHE campuses and questioned how performance funding is distributed among schools. Appropriations Committee Chairman Senator Armstrong questioned the costs of the computer system mandated for all 14 SSHE schools.

Senator Browne asked how SSHE graduation rates and costs compare to the national average. Senator Regola asked what the average student loan debt would be for SSHE graduates.

Senator Browne pointed out that a small number of students are currently enrolled in engineering and related fields. Senator Rhoades asked what the SSHE is doing to educate students for high-need positions for Pennsylvania, such as nursing and engineering.


 

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