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State Budget Meeting Brings up Tax Increase

State Budget Meeting Brings up Tax Increase - Sunday, June 21, 2009 at 10:09AM EST

Reported by: Kyla Campbell
Sunday, Jun 21, 2009 @ 10:09am EST

SCRANTON, LACKAWANNA COUNTY -- When it comes to the state budget deficit, the news is hard to swallow.

"We have a real economic crisis in Pennsylvania," said Miriam Fox, Executive Director, House Appropriations Committee. "We have a shortfall in our income stream. We're at $3.2 billion this year and a similar amount next year."

Fox led a Town Hall meeting on the state budget in Scranton on Friday. She explained the severe, yet necessary cuts.

"They affect programs that include things like education," said Fox. "It has an impact on our children, our health care for senior citizens and the disabled."

Despite those cuts, she says there is still a very large gap to close.

"And the governor has now recommended a personal income tax increase by one-half percent," added Fox. "Ironically, we've heard a lot of people recently, when they see what the cuts really look like, those that have taken a very close look, a lot of people are saying now that they're willing to pay an extra amount in their personal income tax."

The proposed tax increase would expire in 2012. She believes more people will support the temporary increase so programs, including educational and medical, aren't too deeply affected. Fox warns people to not count on federal economic stimulus money. She says it'll be gone in three years.

If you'd like to learn more about the budget crisis, click here:

 


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