2011 PA Budget Analysis

United Way of Pennsylvania

Governor’s Proposed Budget

• $27.3 Billion

• Over $3 Billion in Temporary Federal Dollars Not Renewed in 2011-12

• 44 States Anticipating Shortfalls Going Into FY 11-12

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Budget Address Themes

– “Day of Reckoning” is here– Living within our means–No taxes, fees or revenue of any kind

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Proposed General Fund 2011-12

Funding Source

2010-11 2011-12 Change from

Percent

Funding Source

Available Gov. Budget

2010-11 Available

Change

GeneralFunds

25,142,560 27,331,219 2,188,659 8.7%

Federal 3,054,992 0 (3,054,992) -100%

Total 28,197,552 27,331,219 (866,333) -3.1

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• $29 million increase to the Women, Infant, and Children’s (WIC) program

• Family Care Giver program for seniors level

funded

• CHIP program level funded

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Health

• Drug and alcohol programs increased by $9.75 million

• Modest hike in EITC tax credit to $75 million annually

• Emergency Food Assistance program level funded

• State Food Purchase Program level funded at $17.5 million

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Other Level/Increased Funding

• Human Services Development Fund• Attendant Care• Long-Term Living• County child welfare• Hospitals

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Human Services Not Spared

Other Function Breakdown

• Education: -11%• Higher Education: -52%• DCED: -31%

•Corrections: +11%

•Parole: +6.3%

•State police: +5.7%

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Education

$1.1 billion cut from basic education– $550 million (10%) basic education line– $259 million Accountability Block Grant– $47.6 million EAP tutoring program– $224 million charter school subsidy

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Education

• Special Education– $1.0 billion– No increase for 3 yrs– Lost of $1.6 billion in temp funds

• Early Intervention– Up 9% to $198 mill

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Education

• Head Start, Early Intervention and Pre-K Counts all avoided cuts

• Accountability Block Grant eliminated

Pre-k classrooms

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Libraries and Literacy

State Library 54% reduction since 2008-09

Public Library subsidyHeld harmlessDown 30% overall

Adult LiteracyDown $2.5 million46% cut since 2008-09

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Higher Education

Program Amount Change• State system $232.6million -50%• Penn State $165.1 million -51%• Community colleges $212.2million -10%• Pitt, Temple, Lincoln $169.5million -52%• PHEAA $411.6 million -6.7%

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Welfare and Cash Assistance

Work First Orientation – New Directions: -50%– County Assistance:-$15 million redirect E&T– Cash Grants: -$26 million for E& T

Supplemental payments:– Essentially flat funded

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Shift of Tobacco Settlement Funds

• Shift of Tobacco Settlement Funds– Public Welfare – MAWD– Long-term care– Home/Community Services

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DPW COST SAVINGSINITIATIVE SAVINGSDeinstitutionalization of services and $ 40.5 million rebalancing of long-term living

More effective care management $ 55.9 million

Smart purchasing $165.5 million

Program integrity* $ 46.6 million

Fair Share payment $ 56.1 millionTOTAL $364.6 million

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Lackawanna County

• Human Services Development Fund - $349,000 cut

• $1.4 million in accountability block grant money loss for Scranton School District

• Possible loss of $64.4 million in state education funding for the region

• Loss of funds for local hospitals

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