Kampf Renews Call for State Teacher Pension System Reform

"My legislation, House Bills 1352 and 1353, will place new workers into 401(k)-style plans that are prevalent in the private sector while keeping the state’s promise to current workers," Kampf writes. "Most importantly, it will further reduce the pressure to raise local property taxes as school pension demands continue to siphon valuable education resources."

State employee unions generally oppose the plan which would, as Kampf's statement indicates, put more risk for pension investments with the individual workers. 

The state's 2013-2014 $28.4 billion budget is a 2.6 percent increase over the 2012-2013 budget. It passed the state house 111-92 on a party line vote with Republicans like Kampf voting yes and Democrats voting against it.  The vote was more bi-partisan in the Senate.  

Governor Tom Corbett (R-PA) signed the budget into law on June 30 less than two hours before it was to take effect.

Rep. Kampf issued the following statement on the budget Tuesday afternoon.

This year, for the third year in a row, the Pennsylvania state legislature again passed an on-time, balanced budget that protects taxpayers, spends within our means and, most importantly, focuses on the priorities the people of Pennsylvania have said are important to them. 

As always, providing for a strong education for our children remains a top priority for all of us, and the budget I supported invests a record high ten billion in total state tax dollars toward K-12 Education.  This investment includes a $122 million increase for basic education, and adds millions more for Early Intervention programs that help children ages 3 to 5 with developmental disabilities.

Here at home, this focus on education will translate into almost $1 million in additional program support over the year before for the Tredyffrin-Easttown, Phoenixville, Norristown and Methacton School Districts which the 157th District serves.  This is funding that helps local students and helps defray local property tax increases.

While this budget focused on building a strong foundation for the future by supporting our schools, it also focused on the people who need help today: those with disabilities, those who need special care, and our older residents.

With additional investment in existing programs, we were able to: reduce the waiting list for services for individuals with intellectual disabilities; help those who qualify for assistance and require special caregivers; improve programs to help move young adults with disabilities out of special education programs and into independence and community life; and, provide more for home and community-based programs for people with physical disabilities.

Older Pennsylvanians also benefit with additional support for services to help them stay in their homes and communities, to modernize senior centers, and provide for caregiver support services.

The budget we passed this year also provides more for public safety, with additional investments in the Attorney General’s Office that will support programs like local drug task forces, the Child Predator Interception Units, and Mobile Street Crimes Unit.  We also provided increased support for the State Police Forensics Lab to expedite the review of evidence collected at crime scenes.   

To help crime victims, we increased funding for Domestic Violence Centers by 11%, dedicated 14% more to Rape Crisis Centers, and supported the state with funding to help train 290 new state troopers.

Of course, a stronger Pennsylvania also means a Pennsylvania which values and protects the natural resources with which we have been blessed.  That is why the budget I supported provides a 10% increase to the Department of Environmental Protection.

I am happy to report that all of this was accomplished without raising your taxes – because you have made it clear to me that now is not the time to increase the burden on families, seniors or job creators.

So, how did we accomplish all this without tax increases? By reining in government waste and supporting the private sector to help fuel economic growth.

As the private sector expands, so does state revenue.  That benefits our seniors with continued programs that help them better get by on a fixed income, the disabled with programs that help them lead a more independent life, our working families by avoiding state tax increases, and our children with increased funding for education.  Education funding, in particular, also helps reduce the need for local property tax increases – a key goal of mine.

That’s why it’s important we take the next step in this process and reform the state’s pension system, which is unsustainable and vastly underfunded.   My legislation, House Bills 1352 and 1353, will place new workers into 401(k)-style plans that are prevalent in the private sector while keeping the state’s promise to current workers.

Most importantly, it will further reduce the pressure to raise local property taxes as school pension demands continue to siphon valuable education resources.

We can make it happen.  At a time of economic challenge, we passed a budget that allows us to live within our means while funding programs that will help our schools, our environment, and our most vulnerable citizens.  We can take the next step.