Governor Blue-Line Vetoes State Budget

March 20, 2003

Governor Edward G. Rendell today blue-line vetoed items in the state budget, which was previously signed by both the Pennsylvania House and Senate. In what was clearly an attempt to wrest control back from the legislature, which passed Phase I of his budget in record fashion, Gov. Rendell blue-lined the state basic education subsidy, which is the largest line in the budget. This will force the legislature to take the budget up again in order that Pennsylvania's 501 school districts do not run out of money July 1, 2003.

The basic education subsidy is viewed as the largest - and possibly most controversial - of the blue-lined items. Several items were vetoed in other departments, including Health (DOH) and Public Welfare (DPW), but nothing that directly affects PCPA membership programs. The item blue-lined in the DPW budget was the federal line-item for Medical Assistance (MA) capitation.

The budget now goes back to the General Assembly for further discussion and debate. The votes are not there to overturn the veto, so the state now moves to round two of the FY 03/04 budget debate. How the General Assembly responds and how well they and the Governor can work together to resolve this conundrum remains to be seen.

PCPA has received many assurances, from both legislators and DPW Secretary Estelle Richman, that every attempt will be made to restore drug and alcohol funding in some fashion. How and when this happens and where the revenue comes from to restore the cuts is unclear at this time. The picture is murky at best, but PCPA believes there should be some kind of supplemental budget passed, hopefully prior to June 30. As for addressing other budget issues related to mental health and mental retardation Association staff will continue working on those as well.

These are uncharted waters for the budget process. PCPA will keep members apprised of developments and plans. With the budget going back to the legislature, it allows more time for debate and consideration. Everyone must contribute to help develop a "collective will" amongst the governor and legislators to address our budget concerns.

PLEASE continue to keep the pressure with legislators on the local level. For more information on "helpful hints" for doing that, refer to other documents on the PCPA web site. Extensive information is showcased in a special "Pennsylvania Budget Information" area in the Legislative Section of the Members Only section of the PCPA web.

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