Mike’s weekly topics -January- Febuary 2010
Copyright (c) : Paid for by Friends of Mike LaPolla
Topic of the Week - 1/18/2010 Win-Win for Northeast Pennsylvania
Win#1, Harrisburg announced that Pennsylvania revenue will increase $128 million from leasing drilling rights on 32,000 acres of forest land. Win #2, PathStone Corporation, a non-profit organization, will work with CareerLink, Johnson College and the NEPA Labor Management Council to train and find work for about 210 Northeastern Pennsylvanians in the emerging natural gas sector. Funding of $2.3 million in "Pathways Out of Poverty" grants from the National Recovery Act for job training and development in Northeastern Pennsylvania will help fund these career education trainings.
As the natural gas industry grows, so will the need for employees. Having trained employees available will reduce the need to import a workforce. Northeastern Pennsylvania can also grow with the building of companies that service the drilling industry, for instance, service and maintenance, waste removal, construction and supplies.
We need to grab hold, excel and become leaders in one of the Nation’s largest gas reserve finds in recent years.
Topic of the Week - 1/25/2010 CREATING THE ENVIRONMENT FOR JOBS
Each year the Tax Foundation ranks the States by using a “State Business Tax Climate Index” or (SBTCI or Index).
Lawmakers, businesses and individuals use this index as a gauge to compare their States' tax systems to other
States.
So what does this mean? Companies are going to locate where they have the greatest competitive advantage and
States with the best tax systems will be the most competitive. States with a good SBTCI will not only be attracting
new businesses but also be effective in generating economic and employment growth. Although the market is now
global, the US Department of Labor reports that most mass job re-locations are from one U.S. state to another
rather than overseas.
While there are factors (other than taxes) that matter to businesses, taxes do matter. Currently in the
Commonwealth, unemployment and the lack of quality jobs are the effect of this low SBTCI rating. State
lawmakers control the taxes as well as the regulatory environment and, to some extent, the education and skills of
the workforce. Harrisburg needs leadership that will be proactive in enacting legislation to provide a better Tax
Climate for businesses.
The SBTCI Index compares the states on five separate aspects of their tax systems and an overall which allows
comparison to other states. According to the index, with #1 being the most hospitable to businesses,
Pennsylvania's overall rank for fiscal year 2010 is #27.
Pennsylvania's ranking on the five factors is:
37 - Corporate Tax Index Rank
13 - Individual Income Tax Rank
29 - Sales Tax Index Rank
41 - Unemployment Insurance Index Rank
42 - Property Tax Index Rank
For more details on this Indexing, go to: www.taxfoundation.org
Topic of the Week - 2/1/2010 TRANSPARENCY
"Discretionary legislative spending" is funding legislators appropriate themselves for distribution
as they see fit; it is commonly called "Walking Around Money" (WAM). How much “WAM” money did
Representatives Murphy, Smith and Wansacz distribute last year? Did they each receive the same amount of WAM
spending money? Did they receive more based on house seniority? Did they receive more because they have
identified a challenger in their district? Or is the distribution based on yet another criterion? Who received the WAM
distributions?
You probably are unable to answer any of the foregoing questions because “WAM” information is a closely guarded
secret and is not an open record. Our tax dollars fund these “WAM” giveaways but we are not allowed to know
recipients or the amount distributed to each legislator. This is wrong.
Years ago Supreme Court Justice Lewis Brandeis commented that "sunshine is the best disinfectant" and I agree
with him. The mere fact that information relating to “WAM’s” is not only hidden but also fiercely protected invites the
suspicion that something about the system is corrupt.
I am on record for the elimination of “WAM” funding. Until the elimination of “WAM’s” is a reality, I support shining
some light on all aspects of "walking around money" from the Legislature to the constituent distribution. Just as the
President's State of the Union speech urged Congress to publish all earmark requests on a single website, I urge our
state Legislature to publish all “WAM” distributions, legislator, recipient and amount, on a single website.
If you agree, why not call your legislator and ask for the establishment of this website for all 2010 WAM payments?
Topic of the Week - 2/7/2010 T urnpike Commission…Cutting the fat.
The Pennsylvania Turnpike Commission has more managers per mile than Pennsylvania Department of
Transportation has total workers per mile, according to a recent article published by the Commonwealth
Foundation. We should eliminate this inefficient Commission and transfer its functions to the Pennsylvania
Department of Transportation. This consolidation will reduce waste and save the administrative overhead of
maintaining our Commonwealth’s infrastructure.
In 2010, we are looking at a budget deficit and we need to find permanent solutions. The merger of the Turnpike
Commission with the Transportation Department would be the first step toward putting the Commonwealth on the
path to fiscal responsibility, now and for the future.
We should eliminate one of the most corrupt and inefficient agencies in the Commonwealth, the Pennsylvania
Turnpike Commission (PTC). Granted that the Pennsylvania Department of Transportation (PennDOT) is no lean
machine itself, it is more efficient than the PTC.
The Pennsylvania Turnpike Commission is an antiquated bureaucracy that needs to be eliminated. The merger of
the PTC and PennDOT will reduce waste and overhead cost associated with the administration and maintaining of
our Commonwealth’s infrastructure.
Topic of the Week - 2/14/2010
This past Tuesday Governor Rendell presented his final budget as Governor of Pennsylvania.
The following is an excerpt from his budget proposal letter.
"Commonwealth of Pennsylvania”
Office of the Governor
Harrisburg
The Governor:
February 9, 2010
To the People of Pennsylvania:
These are hard times for governments, whether they are small towns or large states like Pennsylvania. As we enter this new decade, we are emerging from the most prolonged economic downturn since the Great Depression. And this downturn has increased the pressure on state budgets, in the form of greater demands on human service programs, higher levels of unemployment and declining tax revenues.
And yet Pennsylvanians have reason for optimism. We are strong enough to deal with the economy of the present and we are strategically positioned to lead our competitor states and nations in the future, but only if we act as a commonwealth, rather than a collection of political caucuses or special interests."
I would like to address the Governors letter the way I, and I believe you, see it. As you get to know me over these next several months, I am confident you will conclude that I possess the qualifications necessary to truly represent you in Harrisburg. I am looking forward to listening and working for you, the residents of the 113th District.
Mike LaPolla says:
To the People of the 113th District:
These are hard times for taxpayers of Pennsylvania. As we enter this new decade, your government is emerging from the most prolonged period of taxing and spending and ignored reforms that would have created a friendly environment for job creation. This taxing and spending has increased the pressure on the taxpayers of Pennsylvania. Jobs are being lost, unemployment is rising and Pennsylvania's population is decreasing. Because the taxpayers are burdened with job loss and ever-increasing taxes and fees (hidden taxes), there is little discretionary income to help family, friends, charitable organizations and houses of worship, which provide services to the needy. People are losing their homes and security.
Pennsylvanians currently have little reason for optimism. We are on the verge of following other tax and spend states such as California to the brink of bankruptcy. If your representatives here in Harrisburg are strong enough to make tough and perhaps unpopular to some, decisions, we can emerge from this crisis mode stronger and more prosperous. This year you will be electing representatives and senators; choose wisely. You must elect courageous men and women willing to make the tough decisions. Individuals that will not sit back and allow a small group of "leaders" to make the decision and then call the remainder back to rubberstamp the decisions of the few.
Topic of the Week. 1 /11/2010
The Table-Games Bill that took a little over three months to construct, is burdened with earmarks that are not fair for the taxpayers of Pennsylvania. Gov. Ed Rendell made the comments of "pork" and "WAM's" in this bill. He is absolutely correct that these elements are in the Bill as is funding to balance the current year budget… but where is the property tax relief? Only a very few special interests will receive benefits from this new legislation. Property owners are not going to see one cent of tax relief until $750 million, in state tax revenue from table games, is reached. Will this ever happen or will our legislators keep spending this funding elsewhere?
This week I am going to step aside and write on topic that has changed my life,
FOREVER.
On February 17, 2010 my wife and I were blessed with a 7 pound 7 ounce, 20 ½
inch baby boy named Jack Michael LaPolla. This truly is one of the greatest joys
one can have.
With this great blessing, I want to strive even harder to change the way Harrisburg
forms our future, our children’s future and their children’s future as well.
With my wife’s family residing in Scranton for the last 90 years, we are excited to
continue the family heritage here in Scranton.
Topic of the Week - 2/21/2010
