Letter to the Editor: PA not generating enough revenue to cover costs

I am writing to address Representative Olsommer’s recent letter, that details aspects he was “pleased” to see cut from the state budget.

The Commonwealth of Pennsylvania faces a structural deficit, which means it doesn’t generate enough revenue to cover its costs. This deficit is caused by insufficient revenue, not overspending, as our per-capita spending sits near the national average. Currently, 73 percent of corporations operating in Pennsylvania pay zero Corporate Net Income Tax due to an unclosed loophole. Said loophole saves corporations money all while our small, medium, and large businesses based in Pennsylvania pay their fair share of taxes. While Rep. Olsommer claims closing this with combined reporting will harm small businesses, it will actually level the playing field and help local shops compete against massive corporations that undercut prices.

The legalization of adult-use marijuana is another revenue stream Rep. Olsommer was happy to see excluded from the finalized budget. Politicians often argue that we need to run our government like a business, yet make the questionable business decision to ignore the demand for recreational marijuana in our Commonwealth. Nearly all of our neighboring states, including New York and New Jersey, have legalized cannabis and are cashing in, while we miss the opportunity to stimulate our economy. Many Pennsylvania residents leave the commonwealth to purchase legal cannabis which means our population is helping other states generate their own revenue. The commonwealth is leaving money on the table and missing a great opportunity to create jobs that our residents need.

Furthermore, Rep. Olsommer misidentified the Educational Improvement Tax Credit as the Earned Income Tax Credit. He claimed the proposed budget would have cut this student scholarship program, rather it did the exact opposite and tried to expand kids’ access to these funds. HB2632 was proposed within the budget, and aimed to expand the scholarship amount awarded to underprivileged kids to cover the entire cost of their tuition rather than just a small portion. However, our lawmakers, including Rep. Olsommer, voted not to include HB2632 in the budget.

Dominique Azzollini
Candidate for PA State Representative, District 139 (Pike/Wayne)