Show us the money first

From the BCCT.

Pa. lawmakers: Stimulus money must go through us
House GOP leaders want the governor to send a new budget proposal to the Legislature, saying the one unveiled in February is deficient because it was written before Congress passed the stimulus bill.
By MARC LEVY, ASSOCIATED PRESS

HARRISBURG — Republican legislative leaders are urging Gov. Ed Rendell to allow input from legislators on how to spend Pennsylvania’s share of federal economic stimulus money or risk missing a midsummer spending plan deadline.

“It will facilitate our joint goal of starting successful budget deliberations earlier than in the past,” Sens. Joseph Scarnati, Dominic Pileggi and Jake Corman — the top three Republican Senate leaders — wrote in a letter delivered to the Democratic governor Monday.

House GOP leaders said Rendell should send a new budget proposal to the Legislature, saying the $29 billion state budget he unveiled in February is deficient because it was written before Congress passed the stimulus bill.

“It is the responsibility of the General Assembly to appropriate these federal stimulus funds, thus we are anxious to hear your proposals and your goals as they relate to the utilization of this federal aid,” Reps. Sam Smith and Mario Civera wrote in a letter to Rendell released Monday.

Pennsylvania’s new fiscal year begins July 1, the deadline for Rendell and the Legislature to settle on a spending plan for the next 12 months.

The uniqueness and breadth of the federal stimulus package have frustrated administration and legislative officials trying to understand how to handle it. Among the difficulties have been figuring out how much money is coming to Pennsylvania, what strings are attached and how the money is supposed to be distributed.

The administration currently projects that Pennsylvania will get $18 billion — up from its earlier estimate of $16 billion — including $8 billion in tax breaks and other direct benefits for state residents.

Rendell has said little about the Legislature’s role in approval of the billions of dollars that Pennsylvania state and local governments are expected to receive from the stimulus package.

Earlier this month, Rendell did not dispute that he must seek legislative approval to use much of the money. But he sounded no note of urgency, and warned that the federal government has dictated the terms of how the money must be spent, and left even his administration with little decision-making power.

“Probably in July we’re going to have to get appropriation authority for a lot of this money and, again, the Legislature can work with us to help us with the decisions that are made,” Rendell said.

But much of the money simply passes through the state on its way to school districts, housing authorities and other local governments.

For instance, public school boards will decide how to spend the majority of nearly $2.6 billion in education money coming to Pennsylvania, according to the administration.

“We’re working hard with them, we’re giving them advice, but they can thumb their nose at us and use it for anything they want,” Rendell said. “So once I share that information with the Legislature, I think they’ll have a better understanding of where we are.”

Even before July arrives, the Rendell administration plans to spend at least a portion of the money for highways, bridges and water and sewer systems.

Still, lawmakers insisted Tuesday that there is space to negotiate.