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Wednesday, June 29, 2011

Debate on Gas Drillers' Impact Fee Put Off

- Debate on Gas Drillers' Impact Fee Put Off

Wednesday, June 29, 2011
The Morning Call, Allentown, Pennsylvania
by John L. Micek, The Morning Call, Allentown, Pa.

Hours after a threatened veto, Republicans who control the state House pulled the plug Tuesday on a planned debate over a local impact fee for natural gas drillers, saying they'll take up the issue this fall.

The 180-degree turn came as lawmakers worked to put the final pieces of a $27.15 billion budget into place so they could send it to Gov. Tom Corbett before the new fiscal year starts on Friday.

At a news conference, the GOP governor said he wants lawmakers to wait to debate any impact fee bill until after a Marcellus Shale commission submits its report next month on the effects of drilling.

"I have sent this message back: If something gets to my desk, it will be vetoed," Corbett said.

The budget cleared a major hurdle as the Senate voted 30-20 along straight party lines to approve it, positioning it for a vote by the House as soon as Wednesday.

Also on Tuesday, House and Senate Democrats withdrew their opposition to funding bills for Penn State, Temple and Lincoln universities and the University of Pittsburgh, and the veterinary school at the University of Pennsylvania, mustering the two-thirds majority needed for approval.

Democrats in the two chambers withheld their votes for the schools Monday, complaining they hadn't had time to review the details of the sprawling main budget bill. Once that happened overnight and into Tuesday, the Democrats said they were prepared to withdraw their opposition. In short order, the House and Senate separately voted to approve the appropriations.

A key budget bill governing how the state regulates public education and a bill known as the fiscal code, which implements the spending in the main budget, were also moved into place. The House advanced the fiscal code bill, positioning it for a vote Wednesday. The school code bill cleared the Senate on a 33-17 vote and went to the House for approval.

During lengthy debate in the Senate, Democrats repeated arguments that the budget, which trims overall state spending by about 3 percent largely through more than $1.1 billion in cuts to public schools and 18 universities, would result in reduced services for the needy and the aged, tuition hikes for college students and local property tax increases for homeowners.

They also reiterated longstanding complaints that Republicans and the administration had refused to tap a year-end stimulus of as much as $700 million to restore some of the deepest cuts. The spending plan includes more than $100 million in surplus funds.

"This budget recognizes that there are tough, tough choices, I understand that," said Sen. Lisa Boscola, D-Northampton. "But it also includes some bad choices on how to reinvest $27.15 billion for as many Pennsylvania families as we can."

Republicans have said they're not comfortable with all the reductions in the spending plan. But they stressed that the plan "reflects the circumstances of the times," while ducking any major tax increases.

"The document reflects the need for the commonwealth to be fiscally responsible at a time of difficult financial challenges," said Majority Whip Pat Browne, R-Lehigh.

Negotiations continued on two of Corbett's key legislative priorities: authorization of public school vouchers and legislation closing most of the loopholes in a law requiring voter referendums for any school tax hike that outpaces inflation. The governor wants both measures passed before lawmakers start their summer break.

"The House and the Senate have worked with us to reach a final budget," Corbett said. "Because we planned carefully, estimated conservatively, we have a framework to put our budget together."

Corbett has pressed hard to close the loopholes in the "back-end referendum" law, raising the issue in nearly every negotiating session with legislative leaders. Implementing language sponsored by Rep. Seth Grove, R-York, has been attached to a Senate bill currently scheduled for a House vote Wednesday. The governor appeared ready to play hardball with lawmakers, saying "until there is a budget, until I sign one, there is no budget."

Talks on the school-choice bill are continuing, with House leaders saying it's up to the Senate to make the first move. "The Senate has always been in the lead," said House Majority Leader Mike Turzai, R-Allegheny.

Senate President Joe Scarnati, R-Jefferson, said the chamber is "continuing to work with the House to see if there's support" for a school-choice bill and to "see what we can get done before we leave."

House Republicans denied that Corbett's veto threat had anything to do with their decision to put off a vote on an impact fee until the fall. They were complying with his long-stated position that lawmakers delay voting until the Marcellus Shale commission presents its report.

"We'll try to design a legislative package that addresses the full impact of drilling," House GOP spokesman Steve Miskin said.

Scarnati, who spearheaded the push for a drilling fee, said Corbett's veto threat had "changed the dynamic. ... Obviously, it's not going to get done by June 30 if the governor has put his marker down," he said.


Copyright (c) 2011, The Morning Call, Allentown, Pa.

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