[PRCo] Pennsylvania Transit Bill To Be Signed by Gov Corbett on Monday

[Herb Brannon]

The $2.4 Billion spending bill is supposed to give $500 Million to what the
Commonwealth terms "mass transit". I'm hoping Pittsburgh will receive it's
share of this to restore and increase PATransit service. It will, of
course, be expensive for just about all Commonwealth residents. No "tax
shelters" for the wealthy on this new law. Everybody pays for this one.
Below is an article from The Morning Call (A Lehigh Valley newspaper) which
sums up the law. The main fund raiser is a high tax on gasoline levied
against the wholesaler. Read the article for the fine details.

*BEGIN ARTICLE*

HARRISBURG — After years of debate, Pennsylvania has approved a $2.4
billion transportation funding package that will be fueled by higher
gasoline taxes and fees on consumers.

House lawmakers voting 113-85 gave the final OK Thursday evening, capping a
whirlwind of legislative activity and debate over four days. Gov. Tom
Corbett<http://www.mcall.com/topic/politics/government/tom-corbett-PEPLT00007693.topic>is
expected to sign the bill next week, and when he does it'll be one of
his biggest policy victories.

Shortly after the 6:17 p.m. vote, Corbett publicly thanked Republican and
Democratic lawmakers, business and labor groups and his predecessors who
backed him in pushing through the first major transportation funding
increase in 16 years. Their unified strength, Corbett said, shows that
Pennsylvania knows how to govern better than Washington,
D.C.<http://www.mcall.com/topic/us/washington-dc-PLGEO100101200000000.topic>,
where partisan politics grinds negotiation to a halt.

"This week the General Assembly made a dramatic choice that concluded with
deliberations tonight to invest in Pennsylvania," Corbett said. "These
investments create a road map of progress across the state."
 ------------------------------
------------------------------

The bill will provide a 39 percent boost to the $6.1 billion transportation
budget by 2017-18, offering the promise of launching hundreds of
long-desired projects statewide.

The measure will provide an additional $1.8 billion for roads and bridges;
nearly $500 million for mass transit; and $144 million for rail freight,
ports and airports over the next 41/2 fiscal years, according to the state
Department of Transportation.

In the Lehigh Valley, funding will go to the widening of Route 22 in Lehigh
County<http://www.mcall.com/topic/us/pennsylvania/lehigh-county-PLGEO100101018000000.topic>and
repairs to the Fahy Bridge in Bethlehem, among other projects.

Transportation Secretary Barry Schoch said large projects like the Route 22
widening still have to go through the design phase before motorists see
roadwork. Smaller projects will begin in the Lehigh Valley and elsewhere
next year, he said.

"Projects will start in the spring," Schoch said.

The bill also reduces construction workers' pay by not mandating they
receive regional union-scale wages on local transportation projects
budgeted at $100,000. The current level is $25,000.

But Glenn Solt, Lehigh County director of general services, said the new
prevailing-wage floor, $100,000, doesn't buy a lot anymore, he noted.
Projects often exceed $100,000, but the change will benefit the county when
it does smaller projects, such as deck paving or structural work on a
smaller bridge.

All transportation projects are funded mostly with fuel taxes at the state
and federal levels. Pennsylvania has not upped its consumer gas taxes of 12
cents and 31 cents per gallon since Gov. Tom Ridge was in office in 1997.

But gas prices will change starting next year through a series of tax
changes that also will affect the oil franchise tax, which wholesale
distributors pay.

The state will eliminate the 12-cent consumer tax as of Jan. 1. At the same
time, it will raise the millage on the oil franchise tax, offsetting the
consumer reduction. The state also gradually will raise the oil franchise
tax to a cumulative total of about 28.5 cents by 2017-18. Wholesale
distributors are expected to pass that hike on to consumers, creating
higher prices at the pump than they pay now.

Corbett, who campaigned on a promise not to raise taxes or fees, said
companies will pass some of that cost to consumers. But he denied he was
raising taxes on consumers. He said he was improving safety because when he
got into office he understood how pressing the state's infrastructure needs
were.

"There is nobody in this room, nobody in this building, nobody in this
state that can say how much is going to go to the pump because it is part
of the overall cost of doing business," Corbett said.

Getting a final bill to Corbett's desk by Thanksgiving took a series of
parliamentary maneuvers in the House and Senate. Lawmakers from both
parties flipped their votes. The Lehigh Valley's caucus voted the same way
each time.

Rep. Mike Schlossberg, D-Lehigh, was the only Valley lawmaker in the House
to vote in favor of the bill. Voting no were Democratic Reps. Daniel
McNeill, Steve Samuelson<http://www.mcall.com/topic/politics/steve-samuelson-PEPLT005760.topic>and
Robert Freeman, and Republican Reps. Justin
Simmons<http://www.mcall.com/topic/politics/government/justin-j.-simmons-PEPLT00008766.topic>,
Ryan Mackenzie, Julie
Harhart<http://www.mcall.com/topic/politics/julie-harhart-PEPLT002706.topic>,
Gary Day<http://www.mcall.com/topic/politics/government/gary-day-PEPLT00008828.topic>,
Marcia M. Hahn<http://www.mcall.com/topic/politics/government/marcia-m.-hahn-PEPLT00008778.topic>and
Joe
Emrick<http://www.mcall.com/topic/politics/government/joe-emrick-PEPLT00008831.topic>
.

Across the hall Wednesday, Sen. Pat Browne, R-Lehigh, and Sen. Bob
Mensch<http://www.mcall.com/topic/politics/government/bob-mensch-PEPLT00008299.topic>,
R-Berks, voted for the bill. Sen. Lisa
Boscola<http://www.mcall.com/topic/politics/government/lisa-m-boscola-PEPLT000589.topic>,
D-Northampton, voted no.

Earlier in the day, Samuelson said he stands by his vote. The gas tax will
have a ripple effect on all consumers, he said, because all forms of
business will raise prices to absorb the higher gas taxes they will pay.


*END ARTICLE*

I now see why CSX has made such a big announcement about wanting to build a
new rail yard and intermodal facility in McKees Rocks...........they want
some of that $144 Million going for rail freight projects. I had heard, on
television news, that the provision to "reduce" construction workers wages
has been removed.


-- 
Herb Brannon

*In Pittsburgh............*
*.................A City And*
*And A State of Mind*
Let's Go Pens
Let's Go Steelers



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