Last week, Governor Josh Shapiro gave his first budget address where he laid out his priorities for the next fiscal year. Though the state is running a healthy budget surplus this fiscal year – and lawmakers reserved $5 million to build up the state's Rainy Day Fund last year – the proposal from the Shapiro Administration was built on conservative budget estimates for the next few years. Many in the advocacy community had hoped that, between the Rainy Day Fund and the almost $7 million budget surplus, Governor Shapiro would be more aggressive on line items like education and human services. But, Governor Shapiro did highlight a number of items in the $44.6 billion budget proposal that remain important priorities for Better PA:
Now, the attention will turn to Senate Republicans and House Democrats who control their respective chambers. Both will likely release an outline of their own budget proposals while also holding a series of hearings with Shapiro Administration department secretaries over the next few weeks to probe Shapiro’s proposal.
Angela Valvano is the Executive Director of Better PA.
- PROPERTY TAX REBATE: Governor Shapiro’s proposal raises the maximum rebate for seniors from $650 to $1000 dollars, and increases the income cap for renters and homeowners to $45,000 per year. It also ties that cap to increases in the cost of living. Under this plan, nearly 175,000 more Pennsylvanians will qualify and many of the 400,000 Pennsylvanians who already qualify will see their rebates nearly double. The proposal would nearly double the number of seniors who qualify for relief, as well as the amount they receive to help them stay in their homes.
- MINIMUM WAGE: Governor Shpairo is proposing to raise Pennsylvania’s minimum wage from $7.25 to $15 per hour. In his address, Governor Shapiro framed the long-running minimum wage debate by saying, “To me, this feels like a fight that has gripped our politics for so long that some people entrenched on the other side don’t even know why they’re opposing Pennsylvania workers anymore.”
- EARLY CHILDHOOD EDUCATION: The Governor’s budget provides investments of up to $66.7 million in childcare services for low-income families that would allow 75,000 low-income families to continue to be enrolled in a subsidized program through the Child Care Works Program. The budget proposal also includes over $40 million in new funding for programs for pre-K and early intervention services for children in the Commonwealth, including, 1.) an additional $10.4 million into Preschool Early Intervention services to better support children with developmental or social-emotional service needs; 2.) $2.7 million increase to the Head Start Supplemental Assistance Program to create opportunities for eligible 3- and 4-year-olds to receive high-quality Pre-K education, health, nutrition, and parental involvement services; and 3.) $30 million for the Pennsylvania Pre-K Counts Program to better support the workforce, offset rising costs, and provide quality pre-kindergarten resources and opportunities.
Now, the attention will turn to Senate Republicans and House Democrats who control their respective chambers. Both will likely release an outline of their own budget proposals while also holding a series of hearings with Shapiro Administration department secretaries over the next few weeks to probe Shapiro’s proposal.
Angela Valvano is the Executive Director of Better PA.