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Legislature should not be spared in budget crisis or spending cuts

Pennsylvania is not immune from the financial slowdown impacting the rest of the United States and much of the world. Revenue flowing to state government is slowing dramatically, and in response, Gov. Ed Rendell has asked top managers in his administration to look for ways to reduce spending.

Rendell ordered executive branch departments to trim spending by 4.25 percent. Last month, Rendell identified about $311 million in potential savings to help soften the blow of reduced tax receipts. Last week, he asked for additional spending restraint, and warned of more cuts to come.

Predictions are for a budget shortfall of $1 billion to $2 billion by the end of the state's fiscal year in June.

While Rendell has ordered cuts across the administrative branch of government, he can only request that the Legislature and the judicial branch contribute to the cost-saving efforts.

The state Legislature is a good place to start looking for savings.

The first, and obvious, place to look is the state's Rainy Day Fund, which now stands at about $750 million. This fund is designed precisely for times such as these. These are indeed rainy days in terms of the economic climate across the state, nation and world.

Depending on how long the downturn is projected to last, the Rainy Day Fund might be drawn down by half, reserving the balance for future needs.

The next place to look for money to cushion the blow of cuts in services to citizens is the legislative leadership accounts, which reportedly stand at about $250 million. Some legislators have talked about wanting to build that slush fund to more than $300 million, so the Legislature can operate without being held hostage by a governor.

But there is no legitimate purpose for such a fund — certainly not at a level capable of funding one year of operation. No other branch of government has squirreled away enough money to operate for a year without normal funding.

Most of this money should be shifted to the state's general fund to minimize the pain caused by budget cuts to human services across the state.

Another thing to consider is that Pennsylvania's General Assembly is ranked as the most expensive in the United States. While the number of lawmakers can only be reduced through a change in the Constitution, staffing levels can and should be addressed.

The National Conference on State Legislatures reports that Pennsylvania has the second-largest legislative support staff in the nation. And when looking at a ratio of legislative staff to population, Pennsylvania ranks on top of the 13 biggest states.

There are obvious opportunities for cost savings if lawmakers were to reduce their staffing to levels seen in other states.

Viewing Harrisburg by any measure, there is fat to trim in legislative staffing.

To help avoid a tax increase during these difficult times, Rendell is proposing cuts to public welfare, education, community and economic development, and corrections. Trimming expenditures in these areas has the potential to cause real hardship and be counterproductive to the state's future.

Cuts in the Legislature's operation might be an inconvenience, but they would not have the kind of broad negative impact that other proposed cuts might have.

Finally, one lawmaker has suggested a largely symbolic, but still helpful, cost savings — state lawmakers, judges and 1,000 executive branch employees should forgo their automatic 2.8 percent cost-of-living pay increase that is scheduled to kick in Dec. 1 for legislators and Jan. 1 for the others.

Rendell should work with legislative leaders to identify ways in which the General Assembly can help ease the financial crisis facing the state. He should start with the Rainy Day Fund, then move on to the so-called leadership accounts. There also should be a thorough examination of the capital budget, to ensure that those projects receiving funding are essential and not just WAMs (Walking Around Money) divvied up to the more powerful and well-connected lawmakers.

If legislative leaders are not forthcoming with significant spending cuts and major cash transfers from slush funds they control, Rendell should hold regular press conferences to expose the lack of sacrifice from the legislative leadership.

In the meantime, Pennsylvanians across the state should contact their elected officials in the state House and Senate and ask what they are doing to help ease the budget crunch. They should ask lawmakers what they personally are prepared to do, and what they will urge their leadership to do so that the financial pain is shared fairly — and that the Legislature will do its part.

Silence from the Legislature on sharing the pain is not acceptable.

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