HARRISBURG – Gov. Tom Wolf today issued his proposal for Pennsylvania’s 2021-22 budget. The governor has proposed a budget of $40.2 billion, which is an increase of $3 billion, or 8.2% over the 2019-20 budget. Focal points of the governor’s proposal included a 46% increase in Personal Income Tax (PIT) rates, an increased minimum wage and a severance tax on natural gas production.
Rep. Joe Hamm (R-Lycoming/Union) issued the following statement in response:
“Today, we heard more of the same from the governor – tax and spend. Under the governor’s proposal, middle-class families and small businesses would suffer. The governor’s proposed 46% PIT increase would be the largest tax increase in state history. Hard-working Pennsylvanians have already been financially decimated by the administration’s mismanagement of the COVID-19 pandemic, and the governor’s proposals would only add to that burden.
“Our small businesses would be impacted again when you factor in the minimum wage increase. The Independent Fiscal Office has reported that if the minimum wage were increased to $12, approximately 27,000 jobs would be lost throughout the Commonwealth. In a time when so many are struggling to make ends meet, this would be devastating.
“As if that was not bad enough, the governor also wants to further tax Pennsylvania’s natural gas industry. Natural gas has proven to be one of the most essential industries in Pennsylvania throughout the course of this pandemic and is even more essential to the development of the COVID-19 vaccine and PPE.
“Pennsylvanians should not be forced to bear the costs of this administration’s inability to control its own spending. They should be presented with a budget that promotes economic recovery, prioritizes vaccine distribution and prevents harmful tax increases. With my colleagues in the General Assembly, I will work to ensure that Pennsylvania’s 2021-22 budget does just that.”
Representative Joe Hamm
Pennsylvania House of Representatives
Media Contact: Kevin DiGuiseppe