While the national economy is booming due to federal tax and pro-growth policies, our state has seen positive economic growth year over year. For example, sales tax receipts grew 8 percent or $713 million by the end of May, Personal Income Tax grew 5 percent or $633 million, and Corporate Net Income tax grew 20 percent, or $507 million, for an approximate total of $2.825 billion.
The governor’s proposed budget in February was $34.15 billion, an increase of $927 million, or 2.8 percent. However, he had already overspent his previous year’s budget by $750,000 in supplementals – a more than 4 percent increase. In my opinion, the additional supplemental spending is unfortunate, and I intend to help promote budget reform the second half of the year. We must rein in the uncapped spending spree that occurs in Harrisburg when we have a surplus, and instead pay down debt, reduce property taxes and save for future economic downturns.