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State Budget Vehicle Considered On House Floor

June 24, 2014

While the state budget vehicle that moved through the House of Representatives on Monday night left major spending questions unresolved, debate on the tax code bill gave a hint that Republicans are willing to accept some one-time adjustments to balance the spending plan.

House Republicans moved an amendment to the tax code that will put a temporary freeze on some tax credit programs, including neighborhood assistance and parts of the Keystone Innovation and Opportunity Zone programs.

Radio PA News reports that drew opposition from Democratic Policy Chairman Mike Sturla.  But, House Majority Leader Mike Turzai says there is a growing consensus that picking winners and losers through tax credits is not the way to expand economic development, and the freeze will give lawmakers time to review the programs while bringing substantial savings to the budget.

The measure was sent back to the House Appropriations Committee, and more action was expected on Tuesday.  The new fiscal year begins in one week.

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