New Pennsylvania Law Signals Over $ 50 Million Proposals for Taxpayer Impact Assessment | state
(The central square) – A new law that came into effect this month in Pennsylvania expands the state’s dynamic rating process to review proposals based on their tax impact on residents.
The provision gives the Independent Tax Office the power to use this method, previously reserved only for finance bills, to consider the âprobable behavioral responseâ of taxpayers and businesses for any proposal costing at least $ 50 million, at the request of the legislator.
Representative Frank Ryan, R-Lebanon, said he had sponsored the legislation in several sessions with the aim of “strengthening our ability to monitor and control government spending.”
âThe dynamic rating will allow the IFO to examine how spending proposals might impact future budgets and our government’s ability to remain solvent,â he said. âI am concerned about the development of our Commonwealth and believe we need to adopt policies now that will allow us to more effectively forecast future spending and help ensure better prospects for our children and grandchildren. “
Legislators changed the dynamic notation language in the Administrative Code which was adopted as part of the 40.8 billion dollars budget end of June.
Governor Tom Wolf did not sign the bill because he repealed a regulation that extended overtime eligibility for more than 80,000 workers. It became law 10 days later by default. He did not comment on the bill’s dynamic scoring provision.
âI have been working for several years to get this legislation passed and have predicted repeatedly what will happen if we don’t get government spending under control – and soon,â Ryan said. “That’s what we need, and I’m frankly surprised it’s taken so long.”