March 11, 2016

Weekly Wrap:

The third and final week of budget hearings wrapped up as the anticipation builds for the House and Senate’s return to Harrisburg on Monday. The Public School Employees (PSERS) and State Employees’ Retirement (SERS) Systems kicked off this week’s House budget hearings providing a grim, but honest, outlook of both systems. Executive Director of SERS, David Durbin, stated that there’s not “sufficient assets right now to be able to pay everyone the benefit they’re due.” PSERS Executive Director, Glen Grell, described Act 120 of 2010 as “monumental first step” in addressing the pension issue. Switching over to the Senate, Secretary of Human Services (DHS), Ted Dallas, focused his testimony on community based care initiatives and effectively providing care to those on welfare and individuals receiving long-term care.

On Tuesday, both chambers held budget hearings for the Department of Health (DOH)/Department of Drug and Alcohol Programs (DDAP) and Department of Education. As expected, DDAP Secretary, Gary Tennis, and DOH Secretary, Karen Murphy, touched upon the heroin epidemic and solutions such as Naloxone and rehabilitation to combat this nation-wide issue. Secretary of Education Pedro Rivera testified and answered questions mostly on education spending, as this has been a contentious issue throughout budget negotiations.

The Senate wrapped up hearings on Tuesday, and only the House was left for the remainder of the week. DHS Secretary Dallas continued to express the significance of opioid abuse problem in the Commonwealth. He also gave insight on topics such as Medicaid and care to children and people with disabilities. Curt Topper, Secretary of the Department of General Services (DGS), was next to appear, immediately facing questions as to why they were one of the only agencies not blue-line vetoed by the Governor. Secretary Topper stressed that due to the GO-TIME initiative, DGS is on track to save nearly $100 million.

Budget hearings ended just as they began, with Secretary of the Budget, Randy Albright, giving an overview of the budget impasse and what could be done to resolve the gridlock. House members expressed their frustration through questions touching upon taxes, spending and pension reform to name a few. As a compromise continues to play out, it seems as if education spending will remain at the forefront of all negotiations moving forward.

Aside from budget hearings, Gov. Wolf held a press conference to sign an executive order raising the minimum wage to $10.15 an hour for Commonwealth employees and employees of organizations receiving state contracts. The Governor used this time to push for an increase in the minimum wage for the entire state. Doing so would result in roughly $60 million in annual revenue for the Commonwealth.

Read Gov. Wolf’s statement: https://www.governor.pa.gov/governor-wolf-signs-executive-order-to-raise-minimum-wage-calls-on-legislature-to-raise-minimum-wage-statewide/

See the Executive Order: https://www.governor.pa.gov/executive_orders/executive-order-2016-02-minimum-wage-for-employees-of-the-commonwealth-and-of-organizations-receiving-state-contracts/

Gov. Wolf signed a second Executive Order on Thursday, which attempts to increase integrated employment opportunities for disabled Pennsylvanians. In addition, he announced that the state’s Workforce Innovation and Opportunity Act (WIOA) plan has begun the process of being submitted to the United States Department of Labor. The plan emphasizes workforce training, proper funding and enhancing private business’s role in the process.

Read Governor Wolf’s statement: https://www.governor.pa.gov/governor-wolf-takes-important-steps-toward-strengthening-workforce-development-improving-efforts-to-help-people-with-disabilities-find-employment/

See the Executive Order: https://www.governor.pa.gov/executive_orders/executive-order-2016-03-establishing-employment-first-policy-and-increasing-competitive-integrated-employment-for-pennsylvanians-with-a-disability/

Look Ahead:

A joint public hearing of the House and Senate Education Committees will take place on Monday on the Federal Every Student Succeeds Act (ESSA). In the House, two supplemental appropriations bills are expected to be voted on.

H.B. 1793 (PERC): Rep. Stephen Bloom (R-Cumberland): http://www.legis.state.pa.us/CFDOCS/Legis/PN/Public/btCheck.cfm?txtType=HTM&sessYr=2015&sessInd=0&billBody=H&billTyp=B&billNbr=1793&pn=2820

H.B. 1806 (critical access hospitals): Rep. Matt Baker (R-Tioga) http://www.legis.state.pa.us/CFDOCS/Legis/PN/Public/btCheck.cfm?txtType=HTM&sessYr=2015&sessInd=0&billBody=H&billTyp=B&billNbr=1806&pn=2767

Another joint hearing will take place on Tuesday, this time with the House and Senate Agriculture and Rural Affairs Committees. They will hear testimony on how the budget impasse impacts the agriculture industry. Also on Tuesday, the House Consumer Affairs Committee will hold an informational meeting on electric grid reliability and its impact on retail electric prices. S.B. 3, introduced by longtime medical marijuana advocate Sen. Mike Folmer (R-Lebanon), will finally hit the House floor for a vote. With nearly one hundred amendments and strong viewpoints on each side of the issue, it’s anyone’s guess as to what will happen.

See the current version of S.B. 3: http://www.legis.state.pa.us/CFDOCS/Legis/PN/Public/btCheck.cfm?txtType=HTM&sessYr=2015&sessInd=0&billBody=S&billTyp=B&billNbr=0003&pn=0889

Read how the bill got to this point and what language to expect in a comprehensive amendment: http://www.philly.com/philly/news/politics/Pa_House_Speaker_ready_for_medical_marijuana_debate.htmlOn Wednesday, the House Finance committee will consider Sen. Baker’s (R-Luzerne) S.B. 879, which establishes an ABLE Savings Program for individuals with disabilities.

Read the bill in its entirety: http://www.legis.state.pa.us/CFDOCS/Legis/PN/Public/btCheck.cfm?txtType=HTM&sessYr=2015&sessInd=0&billBody=S&billTyp=B&billNbr=0879&pn=1238

To finish off the week, the House Select Subcommittee on Technical Education and Career Readiness will be in Pittsburgh on Friday for a public hearing.

In Other News: