HARRISBURG – Members of the Senate Appropriations Committee discussed the need for continued improvements in the environmental permitting process, sharply criticized Gov. Josh Shapiro’s plan to increase electricity taxes on Pennsylvanians, and explored the impact of potential shortfalls in the Lottery Fund during budget hearings today.
The governor’s $51.5 billion spending plan for Fiscal Year 2025-26 features a 7.5% spending increase over the current year. Senate Republicans have previously projected that Shapiro’s spending plan would create a funding shortfall of more than $27 billion over the next five years.
Department of Environmental Protection
Gov. Shapiro is proposing $263 million in General Funds for the Department of Environmental Protection, a $27.4 million increase over the prior year. This is in addition to the approximately $4 billion in federal funds allocated to the agency.
Much of the discussion focused on eliminating continued delays in permitting, the Administration’s continued pursuit of the Regional Greenhouse Gas Initiative (RGGI) electricity tax on Pennsylvania consumers, and the hidden cost of the governor’s new “Lightning” energy plan.
Video Highlights
An update was offered on implementation of transparency measures required as part of the Streamlining Permits for Economic Expansion and Development (SPEED) Program championed by Senate Republicans.
Ways to create greater efficiencies in permitting were discussed.
Troubling deficiencies in Governor Shapiro’s “Lightning” energy plan were discussed, including the fact that the tax credits in the plan were not accounted for in his proposed budget.
DEP was encouraged to continue exploring ways to work with our regional grid operator to meet energy demands in the years ahead.
DEP has seen no material impacts from the Trump Administration’s pause on federal funding.
Gross inefficiencies in the state’s well-plugging program were explored. Since federal money was dedicated to the effort in the so-called Inflation Reduction Act, the cost has exploded to approximately $100,000 per well.
Questions were raised about how the new requested money for well plugging would be utilized.
Potential improvements to the Agriculture Conservation Assistance Program were discussed.
Most employees at DEP are on a part-time telework schedule with only two days per week in the office and three days at home.
Additional information was provided on efforts to boost air and water quality.
What DEP has done to address the spread of food processing residuals was questioned.
Department of Aging
Gov. Shapiro’s budget proposal includes $25 million in new initiatives for the Department of Aging, to be funded through Lottery Fund proceeds. The proposed budget for the Lottery Fund is deficit spending by $79.2 million, beginning with a starting balance of $89.2 million and ending with a balance of $10 million in Fiscal Year 2025-26.
Video Highlights
Oversight and outcomes of Area Agencies on Aging were discussed. The varying levels of county support for Area Agencies on Aging was also questioned.
The impact of Gov. Shapiro’s projections to flat-fund the Department over the next several years beyond the 2025-26 Fiscal Year were discussed.
The Department is still using a computer system from 1999. The impact of these outdated systems was explored.
Questions were posed about aging in place and waiting lists for services.
Efforts to enhance collaboration and research for Alzheimer’s were highlighted.
You can find recaps and video from every Senate budget hearing at PASenateGOP.com.
CONTACT: Jason Thompson