York County News

House Republican Appropriations Chairman Seth Grove has expressed concerns about the Democrat plan adopted by the Basic Education Funding Commission (BEFC). The plan calls for a $291 million increase in spending for school districts, which will ultimately lead to higher property taxes for residents. Additionally, the plan proposes more than $7 billion in recurring revenue over the next seven budget cycles for the state.

Grove highlights the significant financial burden that this plan will place on the Commonwealth. He states, "When added with the current state structural deficit of $1.8 billion – and without accounting for any other increases which may be in Gov. Josh Shapiro’s 2024-25 budget proposal – the Commonwealth needs to find $8.9 billion in recurring revenue." To cover this spending spree, Democrats would need to increase the state income tax by almost a percentage and a half, bringing the overall rate from 3.07% to near 4.5%.

Grove further emphasizes that the estimated $7 billion in spending is a conservative estimate, as other initiatives mentioned in the report have the potential for billions more in spending. He warns that this plan is not based in reality and is not a workable solution for the budget circumstances of Pennsylvania.

The lawmaker also raises concerns about the impact of the plan on Pennsylvania's bond rating. Grove explains, "As I have previously warned, Pennsylvania’s bond rating will be tied to how the governor and legislature handle education funding moving forward." He adds that bond rating agencies have recommended against spending down reserves to pay for recurring costs, as the BEFC report suggests. Stable revenue streams are necessary to maintain the Commonwealth's financial stability.

In response to the BEFC report, Grove criticizes the attack on effective alternatives for parents and students, such as charter schools. He also notes that the report ignores options for school choice, like Lifeline Scholarships.

It is clear that Grove believes the Democrat BEFC report is not a viable solution for Pennsylvania's budget circumstances. He warns that the plan will result in higher local school property taxes and an increase in state taxes. The prudent measures taken by the General Assembly in recent years to ensure sound financial footing will be undermined by the proposed plan.

This news release was provided by Representative Seth Grove, who represents the 196th District in the Pennsylvania House of Representatives. For media inquiries, contact Charlie O'Neill at 717.260.6121 or coneill@pahousegop.com. More information can be found on RepGrove.com and Facebook.com/RepSethGrove.