00:00 - The following program is sponsored in part by

00:04 - customer's bank.

00:14 - Representative Jordan Harris majority chairman

00:17 - of the pa house appropriations committee

00:19 - the state budget is due on June thirtieth

00:22 - the house approved it's own plan back in April

00:25 - how does it compare

00:26 - to what the governor wants.

00:29 - So the plane that we sent dog was primarily the governor's.

00:32 - Proposed budget the governor

00:34 - and.

00:35 - Members of the house are aligned i mean if you

00:38 - remember we did pass our players back in April and it was a bipartisan budget

00:42 - with several Republicans

00:43 - joining

00:44 - and so you'll see that a lot of what the governor has advocated for

00:48 - is exactly what we have

00:49 - in our

00:50 - budget propose that we sent over to the senate back in April

00:53 - and what would one of those highlights be in your estimation representative.

00:57 - I mean we've been very clear.

00:59 - That

01:00 - we have a commonwealth court ruling that says how we fund

01:03 - education in Pennsylvania is unconstitutional

01:05 - i think the people at home watching this

01:07 - have seen their

01:09 - school tax and whatnot increase

01:11 - over the years because of what hasn't happened in air spurt

01:15 - and so what we've done is we have a nine year plan

01:18 - to fully fund schools

01:19 - this year will be the third installment of that

01:22 - and that's exactly what you see

01:23 - in this year's budget

01:25 - what can you tell us about progress on budget negotiations right now.

01:30 - Well

01:30 - we continue to have a conversation

01:33 - with our counterparts over in the senate as well as with the administration

01:36 - to try to find a consensus that is necessary to get

01:40 - a one hundred and two votes in the house

01:42 - twenty six in the senate and in the governor to sign it

01:44 - and we're we're trying to do so

01:47 - and

01:48 - to give the predictability that school districts need and that

01:51 - nonprofits need

01:52 - to see

01:53 - where we are going to continue to make investments

01:56 - with all the turbulence going on in Washington DC

01:59 - people want to see

02:01 - their state government functioning.

02:03 - Representative how often are budget negotiations taking place

02:07 - how often do you get together is there a routine to it.

02:10 - All i mean it's ongoing i mean.

02:12 - As i talk to you right now there are meetings that staff members are mine

02:16 - are in that you know I'll get updates and briefed on

02:20 - and talked to

02:21 - we talked to

02:22 - i talked to my other

02:23 - leaders

02:24 - often

02:25 - about what's going on so this is

02:27 - is not a

02:28 - it's not a scheduled okay we're talking here which is talking to you

02:31 - now it's literally ongoing process until we get

02:35 - the budget done.

02:36 - A source of controversy during

02:38 - the budget this year has to do with the rainy day fund and just

02:41 - how much reliance does

02:43 - your caucus have on withdrawing money from the rainy day fund.

02:47 - While i won't say that it's my caucus who wants to withdraw

02:49 - far from the rainy day fund i think the bottom line is

02:52 - we

02:53 - just like the people at home have bills that need to be paid

02:56 - what we're relying on is the fact that the people of Pennsylvania don't want to see us

03:01 - kicking people off of healthcare we're relying on

03:03 - is that the people of Pennsylvania don't want to see us move back

03:06 - from our investments that we've made

03:09 - in the public education space so

03:11 - what we're going to do what is necessary

03:14 - to be prudent with taxpayer dollars but also make the investments

03:17 - that we know help grow the commonwealth

03:19 - and have the most impact

03:21 - at this point represent

03:22 - what can you tell us that the the senator is saying about the budget or

03:26 - some point that they would like to dispute do you see any obstacles

03:29 - at this point.

03:31 - Although i

03:32 - won't speak on behalf of the senate i think they have leadership

03:35 - that can do just that

03:36 - and

03:37 - i think what you have seen is that we've been clear

03:40 - as far as the houses on where we stand on the budget

03:43 - and that's why we sent something over to them in April

03:45 - but here's the other thing

03:46 - it's not like our priorities have changed

03:49 - our priorities quite honestly have been the same.

03:52 - Since

03:52 - you know Josh shapiro has been cutting the governor

03:55 - and quite honestly for my caucus even when in the minority

03:58 - many of these issues were our issues

04:00 - we've always wanted to raise the minimum wage

04:02 - we've always wanted to make sure that we fully funded our schools

04:05 - we've always wanted to legalize

04:07 - adult use cannabis because we've seen all of the states around us doing so

04:11 - and reaping the benefits

04:12 - on what you're saying is that now that we have the power codified these things

04:16 - and putting these things on the negotiation table

04:19 - i think what folks are questioning

04:21 - is whereas the state senate on these issues.

04:23 - How can

04:24 - the governor and house democrats justify

04:28 - an increase that's being proposed in this year's budget

04:31 - and increase when you say increase what do you mean.

04:34 - An increase in overall spending

04:36 - fifty three and a half billion dollars right.

04:39 - Yeah i mean the bottom line is just like you

04:41 - have an electric bill or gas bill at your house

04:44 - so those are the commonwealth

04:45 - we have increased costs look at our department of human services

04:49 - we have an increase what we

04:50 - we call it costs to carries about

04:52 - a billion three.

04:54 - Just to keep the same level of services that we had

04:57 - in last year's budget

04:58 - why is that because costs have continued to go up

05:01 - cost and we have no control over

05:03 - continue to go up

05:05 - and therefore we have to

05:06 - meet the moment and meet the demands of of

05:09 - what we're obligated no one folks understand it

05:11 - many of these things are things that we are obligated

05:14 - to pay for.

05:16 - A representative let's a shift over to a topic that may have an impact on the budget

05:20 - being debated in Harrisburg right now

05:22 - and that has to do with the pa supreme court ruling

05:25 - that says a skill games are slot machines and how is

05:28 - that significant in the budget you're debating right now.

05:32 - Listening we've always said that we wanted to

05:35 - regulate and tech skill games here in Pennsylvania

05:37 - it was a part of the governor's budget address back in forth February

05:40 - it's been a part of everything that we've been talking about

05:43 - as a caucus.

05:45 - Since then and quite honestly

05:47 - not only this year but in previous years we've been talking about

05:50 - the need to regulate in tech skill gangs

05:53 - and so look the supreme court

05:55 - gave their ruling

05:57 - the supreme court gave us a timetable to address it

05:59 - we've always been willing

06:01 - to address it we wait for my colleagues

06:03 - over and the state senate

06:04 - to actually do some during his sentence would they can pass

06:07 - and then we can get to addressing it.

06:09 - Representative tell us more about that time table

06:11 - that the supreme court laid out for you you have four

06:14 - yeah four months

06:15 - to regulate schell games don't you.

06:17 - Yeah the

06:18 - supreme court said is one hundred and twenty days

06:20 - that they gave the legislature to make a decision before.

06:24 - They believe enforcement should should too take place and so

06:27 - you know we've always

06:28 - talked about the the the regulation and taxation of skill games

06:32 - here in Pennsylvania

06:34 - and people are going all over and they see these

06:36 - games and many folks don't even know where they

06:38 - where they came from

06:40 - and so we've been ready to to do their work

06:43 - what we have to see

06:44 - is what the state senate is able to pass i know they have had

06:47 - several proposals but they've yet to pass

06:50 - anything to us and so we're just waiting

06:52 - for this state senate

06:53 - to send us something so we know what they can pass

06:56 - so i want to be very clear we've sent a budget over

06:59 - to the state senate

07:00 - where away waiting to see

07:01 - what the state senate can pass there

07:03 - we talked about raising the minimum wage we sent the bill over to the states senate

07:07 - they haven't responded we're waiting to see what they could pass there

07:09 - we've also talked about adult use cannabis

07:11 - the house has passed a bill over to the state senate

07:14 - and we're still waiting to see what they can pass and so we're doing the same thing

07:18 - with school games hopefully very soon

07:20 - they can get something.

07:22 - Represented what kind of range do you expect a skill game tax rate

07:26 - to be and

07:27 - given that the governor would like to tax them

07:29 - at the same rate that he does slot machines

07:31 - which is about fifty two percent.

07:33 - Yeah i don't want to i don't i don't want to put

07:35 - any you know numbers out there i mean i can't

07:38 - i can't have

07:39 - my crystal ball is a little clue Audi right now so i can't

07:42 - foresee

07:43 - what what what that number is going to be the bottom line is

07:46 - that it is an

07:47 - issue that must and needs to be addressed

07:50 - and we're looking to do that so we just look for

07:52 - our colleagues over the states in the center zone

07:55 - so we can get to work on it.

07:56 - I well let's give our viewers.

07:58 - More of an insight into how how important skill

08:01 - games are to the establishments that have them

08:04 - explain that for a forest just in a few seconds

08:08 - oh look if you talk to your your private

08:10 - clubs or your vfw use.

08:12 - Or

08:13 - or somebody's doing some of your small business

08:15 - owners they will tell you that skill games have become

08:18 - a significant financial lifeline for them

08:20 - and that they i need these games in their possession because these games bring in

08:24 - tremendous amount of revenue for them

08:26 - and so you know it you know in in many places in rural Pennsylvania

08:31 - these games are are significant for our veterans and

08:35 - and the services that that those vita they'll use

08:37 - are able to provide for their membership and so

08:40 - you know we look forward to the state senate standing or something so that we can

08:44 - we can deal with this issue

08:45 - or your colleague representative Ben waxman said that the the scale machines could be

08:51 - the biggest expansion of gambling since casinos so just give us an idea of how

08:55 - how big a deal this is to the legislature.

08:58 - Oh well look i mean i don't even know if we have an actual number

09:01 - how many games are around but what we estimate

09:04 - is

09:05 - that the revenue from school games could be hundreds

09:07 - of millions of dollars

09:09 - and that could go to help pay for a lot of the things.

09:13 - That we know we need to invest in here at the commonwealth level and so.

09:17 - You know it you know we look forward to seeing what the state senate can

09:20 - can pass so that we could address this issue

09:23 - and so that we can get predictability to the industry and

09:26 - to the operators

09:27 - enter the the the the folks in the vfw and the private clubs

09:32 - and they have to using these games for years

09:34 - one more question about scale games what happens to them

09:37 - after four months if lawmakers fail to act.

09:41 - While i believe the court said that they're

09:42 - going through there'll be deemed illegal and that

09:45 - it'll be enforcement action

09:46 - that need to take place

09:48 - and so you know that's that's

09:50 - that's a long way away but also a short time period

09:53 - if you think about it

09:55 - and so

09:56 - you know we are and stand ready to to discuss the issue

10:00 - when the state senate let us lie

10:02 - why would they can

10:03 - pass over there

10:04 - so

10:05 - does enforcement consist of removing the machines

10:08 - very possible yes

10:10 - our last question

10:11 - represent have now lawmakers and the governor of course have an election in November

10:16 - and how much incentive is there to

10:19 - finalize this budget since June thirty since you'll be

10:22 - having your mind on other things

10:24 - just as important later on.

10:26 - Will listen i won't talk about

10:27 - you know what people's motives are people's incentives.

10:31 - As far as an election year in an election cycle

10:34 - but i'm also not naive to what happens in November

10:37 - here's what i do know

10:38 - i know people are concerned about

10:40 - the price that they see at their growth

10:42 - restore.

10:43 - I know people are concerned about the rising costs in their premiums in their

10:46 - healthcare i know that people are concerned

10:49 - about the rise in cost of their homes and their

10:51 - property tax

10:53 - and i know that this legislature

10:56 - can address those concerns but what we do

10:58 - in our state's budget

10:59 - and so i don't know what's

11:01 - happened in November

11:02 - but when i'm trying to get to happen

11:05 - some time next week

11:06 - is a budget pass that continues to invest in our children

11:09 - that continue to invest in our healthcare

11:11 - that continues to make Pennsylvania more affordable

11:13 - for the thirty million people that live there

11:15 - representative Jordan Harris majority chairman

11:18 - of the pa house appropriations committee thank you for your time.

11:22 - Thank you.

11:25 - Hmm it.