News & Brews October 9, 2024
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‘Standoff between Pa. Senate and revenue secretary intensifies’
The already intense standoff between the Pa. Senate and state Revenue Secretary Pat Browne is getting even more intense. Yesterday, the full Senate voted to have Browne brought before them to testify within three session days (which would be by Oct. 22) “to answer questions on why he will not divulge some tax information sought in a subpoena issued by the Senate in July.” Browne on Monday asked the Commonwealth Court to help him avoid the subpoena. And yesterday, Senate Minority Leader Jay Costa, who along with his fellow Democrats is opposed to the subpoena, said another lawsuit is coming. The Post-Gazette explains, “The tax information is tied to the Allentown Neighborhood Improvement Zone. The special tax zone in the eastern Pennsylvania city was created by a law that Mr. Browne wrote more than a dozen years ago when he was a Republican senator from Lehigh County. Since then, a total of well over $500 million in tax revenue in many different categories that otherwise would have gone into state coffers has been used to spur development in Allentown.”
Allegheny County residents could see property tax hike
Filed under, ‘Elections have consequences.’ In return for electing progressive Sara Innamorato as county executive, Allegheny County property owners are facing a potential big tax increase. CBS Pittsburgh reports that “Innamorato unveiled the proposed 2025 budget in front of Allegheny County Council on Tuesday. The budget includes a property tax increase of more than 45 percent. It would be the county’s first property tax increase in 12 years.” And it would also be “the largest property tax increase in memory.”
Elon Musk thinking of investing in Pa.?
Categorize this under ‘news I didn’t expect to read this morning.’ Elon Musk reportedly had a short call with Gov. Josh Shapiro on Sunday regarding Musk’s interest in investing in the Pittsburgh region. It appears Musk was at the Steelers-Cowboys came with fellow billionaire Thomas Tull. CBS News explains, “Tull is a part-owner of the Steelers and a principal investor in an $81 million project to bring manufacturing to western Pennsylvania… Musk was impressed … and expressed interest in taking a page from Tull’s playbook.” Shapiro’s office did not provide any additional comment for the story.
Moody’s good news for Pa. comes with a warning
The Delaware Valley Journal reports that Moody’s Ratings updated Pa.’s credit rating “to Aa2 from Aa3 on its about $1.4 billion in General Obligation Bond” but also “said Pennsylvania faced ballooning budgets, specifically on education funding, and had relatively weak demographic and revenue trends. That could challenge economic performance, long-term job growth, and state revenue.” Additionally, “Moody’s … warned that other credit downgrades could occur if Pennsylvania spent its general fund reserves and failed to maintain its Rainy Day Fund.”
WSJ Op-Ed: ‘Kamala Harris is eyeing your 401k’
Susquehanna International Group CEO Jeff Yass and Heritage Foundation Senior Fellow Stephen Moore explain in the Wall Street Journal how VP Kamala Harris’ plan to tax supposedly only the rich and big corporations would actually take money from tens of millions of other Americans as well. In fact, “Everyone with stock—not only the Warren Buffetts of the world—and the more than 70 million Americans with 401(k) plans and millions more with other retirement stock holdings would be made poorer.”