Office of Speaker Dennis M. O’Brien

Pennsylvania House of Representatives

139 Main Capitol Building, Harrisburg

FOR IMMEDIATE RELEASE                                                        CONTACT:  Bill Patton

                                                                                                                                   717-787-4610

O’Brien likes new state budget

HARRISBURG, July 17 – The House voted Monday to approve a state budget for 2007-08 that Speaker Dennis O’Brien said keeps spending under control while making key investments in programs needed to improve the quality of life for millions of state residents.

Gov. Edward G. Rendell signed the budget into law today.

“Getting to this point required many hours of work over the last few weeks. Now that the budget has been enacted we need to recognize the many good things it does,” O’Brien said. “Due to healthy growth in Pennsylvania’s economy, we are able to increase support for a number of critically needed programs without raising any state taxes.”

The budget directs almost $10 million for autism intervention and services, more than triple last year’s $3 million allocation. O’Brien has been the House’s leading advocate for people with autism and worked hard to bring about this sharp jump in state support.

“A large network of private citizens and public figures are working together to speak with one voice about autism. It’s personally gratifying to me to see our state government step up in a meaningful way to bring new hope to thousands of families.”

The state’s employers will benefit from the continuation of a long-term phasing out of the Capital Stock and Franchise Tax. The rate will drop by another 1 mill on Jan. 1, a 26 percent reduction of the levy in 2008.

Southeastern Pennsylvania will see increased economic activity from tourism and meetings in coming years with the inclusion of an $880 million funding stream for a major expansion of the Pennsylvania Convention Center.

The tax code bill (S.B. 97) that accompanies the budget includes increased tax credits for film producers shooting movies in Pennsylvania. This will stimulate business activity in all regions.

Another provision in that bill is the continuation of the personal income tax checkoff option under which taxpayers can donate money to breast cancer research. It was due to expire this year, but O’Brien and other legislators pushed strongly to keep it intact.

The budget includes a substantial increase in funding for the Speaker’s Office itself. One of O’Brien’s reform proposals was to push for sufficient funding in the new budget to ensure that the Speaker’s Office can be truly independent of either party caucus.

With the support of the majority and minority leaders, that goal was achieved with the addition of just over $1 million in new funds.

“This is not about the current occupant of the Speaker’s Office. Financial independence of the office will result in a lasting improvement in the fair and impartial operations of the House,” O’Brien said. “This will benefit every representative.”

Additional budget items that O’Brien championed during several weeks of intense budget negotiations include:

• more than $11 million in additional federal dollars for autism in the Medical Assistance program.
• a cost-of-living adjustment for direct-care workers.
• funds to substantially reduce the waiting list for mental retardation services and placements.
• increased funding for early childhood intervention programs in the departments of Education and Public Welfare.
• restoration of $400,000 for regional cancer institutes, for a total appropriation of $2.4 million.
• restoration of $450,000 for Centers for Independent Living, for a total of $2.25 million.

“For the last six weeks, all the members of the House of Representatives worked extremely hard to complete a difficult budget process and to pass dozens of other bills,” O’Brien said. “It was an extremely productive period and it demonstrates the dedication and ability of these 203 lawmakers.”

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