Voters, taxpayers should press for ending automatic pay raises
An automatic pay raise for Pennsylvania lawmakers and other state officials is attracting attention and raising questions — all of which is good.
The 1.7 percent pay increase that kicks in this week is intended to be a cost-of-living adjustment. But the first thoughts most people have relate to the fact that senior citizens receiving Social Security will see no cost-of-living increase this year, just as they saw no incease last year.
Senior citizens have to wonder what formula Harrisburg is using?
The next probem for those slated to receive the wage increase is the economy. With so many Pennsylvanians struggling financially, the image of state lawmakers and other high-ranking officials getting a pay boost is bound to be unpopular. The automatic raise, which spares lawmakers the embarrassment of having to vote for their own pay increases, also seems inappropriate at a time when the state budget is facing a massive shortfall — and major spending cuts are predicted.
Knowing that the 1.7 percent pay boost looks bad, some state officials are promising to donate the money to charity or write a check back to the state for an amount equal to their raise. Based on past experience, only about half will not accept the money.
At first, donating the money sounds reasonsable, but it’s not — and it’s not enough.
Many taxpayers will argue that giving the money to charity is not appropriate because the lawmaker or state official should not have access to the money, period.
And for those who do give the money to charity, they still benefit financially — they earn a charitable deduction on their tax return, which puts more money in their pockets.
For those who go further and write a check to the state treasury for the automatic increase, there is a deferred financial gain when their pension is calculated on the higher pay rate.
The best solution is to pass a law that eliminates the automatic pay increases. And that’s what state Rep. Eugene DePasquale, D-York, is proposing.
Making the cost-of-living increases for lawmakers and others automatic was done to make the pay raise more or less invisible to taxpayers and voters, who might not think the raise is deserved. Lawmakers prefer to get more money without having to vote for it — or explaining that vote.
The notorious 2 a.m. pay-raise vote of 2005 caused such public outrage that lawmakers reversed the action months later. This pay adjustment is not as egregious, but taxpayers are still upset at the spectacle of lawmakers taking care of themselves, cabinet members, judges and other officials at a time of widespread hardship.
Taxpayers should keep track of what their own state lawmakers do about the raise. They should also press their elected officials to support DePasquale’s effort to repeal the automatic raises.
Gov.-elect Tom Corbett says he will give his $2,974 raise to charity. Last year, he wrote a check to return his automatic raise to the state.
State Auditor General Jack Wagner, who says he plans to return his raise to the state treasury, supports the legislative effort to end the automatic raises.
Voters and taxpayers should push for elimination of the automatic pay raises. As Wagner has noted, the amount of money involved is not enough to have a material impact on the budget, but the symbolism involved is huge. Keeping the money and allowing the below-the-radar pay raises to continue suggests business as usual for self-serving elected officials. Ending the practice suggests the beginning of a long-overdue culture change in Harrisburg.
