Privatization

Third and State This Week: Revenue Update, Assessing PA Job Growth, Expanding Health Care, Pensions Webinar & More

This week at Third and State, we blogged about a new Independent Fiscal Office report showing state revenues lagging earlier estimates, a study on salaries at nonprofit and for-profit human service providers, the budget and economic benefits of expanding Medicaid health coverage, a webinar on the public pensions debate, and job growth in Pennsylvania.

IN CASE YOU MISSED IT:

  • On state budget and tax policy, Michael Wood blogged about a new report from the Independent Fiscal Office forecasting over $500 million less available for the next budget than revenue estimates in the Governor’s February budget proposal. Sharon Ward wrote about a new Legislative Budget and Finance Committee study of the salaries of nonprofit and for-profit human service providers.
  • On jobs and the economy, Mark Price wrote that policy decisions made by governors impact whether a state’s economy takes on more water, or bails successfully, as it rides the wave of the national economy.
  • On health care, Chris Lilienthal blogged about two studies demonstrating that Pennsylvania’s economy and state budget will get a big boost if the commonwealth accepts federal funding allocated to expand Medicaid health coverage.
  • Finally, we shared a webinar hosted this week by the Pennsylvania Budget and Policy Center titled "Untangling Pennsylvania's Pension Reform Debate."

IN OTHER NEWS:

ADDITIONAL RESOURCES:

Third and State This Week: Minimum Wage, No Go on Lottery Privatization, State Revenue Update and a Look Ahead

This week at Third and State, we blogged about structuring the minimum wage to ensure low-wage workers are sharing in the growing economic pie, why lottery privatization was bad policy (as well as being illegal), a check in on the President's State of the Union, a look at state revenue collections in January, and more.

IN CASE YOU MISSED IT:

  • On jobs and wages, Stephen Herzenberg wrote that a minimum wage that keeps pace with productivity growth would allow workers at all income levels to share in the expanding economic pie.
  • On privatization, Stephen Herzenberg blogged that the Attorney General's rejection of a contract to privatize the lottery is good news for Pennsylvania and the future of senior services funded by the lottery.
  • On state budget and taxes, Michael Wood provided an update on state revenue collections, which came in slightly below estimate in January but remain ahead of targets for the fiscal year.
  • Finally, Mark Price offered his take on President Obama's State of the Union address, notably the President's plan to increase investments in infrastructure and universal pre-kindergarten education, and his proposals to reduce inequality.

ON FACEBOOK:

  • Check out photos from the kick off of the "Cover the Commonwealth" Campaign. More than 150 advocates came to Harrisburg to urge Governor Corbett and lawmakers to take advantage of a federal opportunity to draw down $43 billion in funds to strengthen the state's health care economy and expand coverage to hundreds of thousands of Pennsylvanians.
  • Pittsburgh City Paper has some interesting infographics on the Governor's budget proposal, using analysis from the Pennsylvania Budget and Policy Center.
  • Like us on Facebook: Keystone Research Center & Pennsylvania Budget and Policy Center.

A LOOK AHEAD:

  • The Pennsylvania Budget Summit is less than a week away. Register today for the Summit on February 21 in Harrisburg. It offers an in-depth look at Governor Corbett's budget, the latest on the federal budget, and what it all means for families and communities across the commonwealth.

There's a New Sheriff in Town

Posted by Stephen Herzenberg on February 15, 2013 3:14 pm
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Pennsylvania's new Attorney General Kathleen Kane yesterday found that Governor Corbett's contract privatizing the state's lottery is illegal.

While this was a legal decision, it was also good news for Pennsylvanians concerned about the implications of privatizing the lottery, including the loss of revenues the lottery provides to programs for seniors.

Third and State This Week: PA Among Top 10 Most Regressive Tax States, Liquor Privatization and Latest Jobs Report

This week at Third and State, we blogged about a new study finding Pennsylvania is among the "Terrible 10" most regressive tax states in the nation, the lost revenues and increased social costs that would come with privatization of the state liquor stores, what the latest national jobs report means, and much more.

IN CASE YOU MISSED IT:

  • On state and local taxes, Chris Lilienthal blogged about a new study from the Institute on Taxation and Economic Policy finding that middle- and low-income working families in Pennsylvania pay a far higher share of their income in taxes than the wealthiest earners. Chris had a follow up post that looked at how Pennsylvania taxes compared to neighboring New Jersey and West Virginia. We also blogged about what a progressive tax system should look like.
  • On privatization, Stephen Herzenberg responded to Governor Tom Corbett's plan to privatize liquor stores by highlighting the likely impacts: an increase in excessive alcohol consumption and its related negative impacts as well as the loss of some of the nearly half a billion dollars in revenues generated by the state system.
  • On jobs and the economy, Mark Price wrote that in light of January's national jobs report, the recovery remains on track, but the pace of job growth is perilously slow.
  • And on education and the state budget, Chris Lilienthal shared a news report on Budget Secretary Charles Zogby's address to the Pennsylvania Press Club, and the "false choice" he presented between education funding in the next budget and changes to state pensions.

More blog posts next week. Keep us bookmarked and join the conversation!

Misplaced Priorities: Another Run at Privatizing Alcohol Distribution

Posted by Stephen Herzenberg on January 31, 2013 11:13 am
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Governor Tom Corbett announced on Wednesday his new plan for privatizing the distribution of wine and spirits in Pennsylvania.

We pointed out in a press release the likely impact of the plan if implemented: an increase in excessive alcohol consumption and its related negative impacts, including traffic fatalities — plus a loss of some of the nearly half a billion dollars in revenues that the state system currently delivers to the state budget through taxes and profits.

Third and State Recap: The Medicaid Expansion, Lost Education Jobs and Costs of Lottery Privatization

Over the past two weeks at Third and State, we blogged about lost jobs in public schools, the latest state jobs report, what's at stake in the decision to expand Pennsylvania's Medicaid program, how much lottery privatization could end up costing seniors' programs, and much more.

IN CASE YOU MISSED IT:

  • On jobs and the economy, Mark Price blogged about new data showing employment in Pennsylvania's public schools was at a decade low in the 2011-12 school year. Mark Price also put Pennsylvania's December jobs report in some perspective.
  • On health care, Michael Wood highlighted an infographic showing that if Pennsylvania opts out of the Medicaid expansion under the Affordable Care Act, it will create a coverage gap for working families earning between 46% and 100% of poverty.
  • On privatization, Stephen Herzenberg blogged that the Corbett administration's plan to privatize the Pennsylvania Lottery could end up costing seniors' programs a billion dollars or more.
  • On the Marcellus Shale, Mark Price wrote about the latest numbers on direct jobs created by shale drilling, which accounts for just 0.38% of all Pennsylvania jobs.
  • On the state budget, Kate Atkins wrote about Bucks County students who served up a tasty five-star meal to area elected officials last week to underscore the value of investing in career training and technical education.

More blog posts next week. Keep us bookmarked and join the conversation!

Pennsylvania Lottery Privatization Could Cut Funds for Senior Programs by a Billion Dollars or More

Posted by Stephen Herzenberg on January 14, 2013 7:02 pm
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The Corbett administration seems bound and determined to privatize the management of Pennsylvania's lottery despite public and legislative skepticism. In the latest plot twist, the administration announced late Friday that it had already awarded the contract to Camelot Global Services PRIOR TO a Senate Finance Committee hearing held today.

Third and State This Week: What to Make of Fiscal Cliff Deal, PA Revenue Update & Slow Down Lottery Privatization

It was a short week at Third and State coming off the holidays, but we still have a few must reads for you. We blogged about the Fiscal Cliff deal, the Corbett administration's decision to slow down the lottery privatization train and the latest on state revenue collections.

IN CASE YOU MISSED IT:

  • On federal taxes, Sharon Ward wrote that the Fiscal Cliff deal reached by President Obama and Congress on January 1 was both historic and disappointing — and it leaves much unsettled.
  • On the state budget, Michael Wood blogged about December revenue collections which put the state $171 million ahead of estimates midway through the 2012-13 Fiscal Year.
  • On privatization, Stephen Herzenberg wrote that the Corbett administration made the right decision in slowing down the lottery privatization train and that even more time was needed for a full and transparent review.

More blog posts next week. Keep us bookmarked and join the conversation!

Slow Down Lottery Privatization for Full and Transparent Review

Posted by Stephen Herzenberg on January 2, 2013 5:19 pm
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A few weeks ago I wrote about a series of problems with a plan to privatize the operations of the Pennsylvania Lottery. The effort had elicited just one bid from United Kingdom-based Camelot Global Services.

On New Year's Eve, Governor Corbett announced that his administration had negotiated an extension of Camelot's bid (which was set to expire) through January 10. I put out a statement today reacting to that news.

Third and State This Week: Few in PA Get Top Tax Cuts, Single Bid for PA Lottery, Minimum Wage Boost & Latest on PA Jobs

Posted by Third and State on December 22, 2012 9:28 am
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Note: Third and State is taking a well-deserved break from December 23, 2012 through the end of the year. We will be back in action January 2, 2013. See you then.

This week at Third and State, we blogged about new analyses finding that few Pennsylvanians would benefit from extending tax cuts for high-income earners and that questions remain about the plan to privatize the Pennsylvania Lottery. Plus, a look at the 10 states that will give minimum wage workers a raise in the New Year and the latest Pennsylvania jobs report.

IN CASE YOU MISSED IT:

  • On federal taxes, Sharon Ward shared a new analysis from the Pennsylvania Budget and Policy Center finding that President Obama’s plan to end federal tax cuts for high-income earners would have very little impact on taxpayers in most Pennsylvania counties.
  • On privatization, Stephen Herzenberg observed that "one is the loneliest number" especially when it comes to the number of bids received by the commonwealth to privatize the operations of the Pennsylvania Lottery. Steve's post highlights the findings of a recent Keystone Research Center policy brief on the lottery plan.
  • On jobs and the economy, Mark Price wrote that the decline in Pennsylvania's unemployment rate in November is a welcome change, but that the jobless rate remains unchanged from a year ago at 7.8%.
  • On wages, Jamar Thrasher blogged about 10 states (none of which are called Pennsylvania) that will increase their minimum wage rates in the New Year.
  • Finally, Chris Lilienthal shared charts from the Center on Budget and Policy Priorities here and here providing some perspective in the debate over extending the Bush tax cuts.

IN OTHER NEWS:

  • The Pennsylvania Budget and Policy Center issued a statement saying that a new U.S. Chamber of Commerce/IHS report on Pennsylvania's energy future makes inflated claims about gas drilling's impact on job growth and tax revenue, while ignoring the costs that drilling imposes on citizens, the environment, and communities.

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