Oct. 07, 2015
HARRISBURG – Rep. Steve Barrar (R-Chester/Delaware) today joined a majority of his colleagues in the state House in voting against the governor’s tax plan that would have increased the Personal Income Tax (PIT) from 3.07 percent to 3.57 percent, which would have resulted in raising taxes on the citizens of the Commonwealth by billions of dollars. The House vote was to 73 to 127.
“Today the public found who would have really paid the governor’s tax bill; despite what he wants everyone to believe, it would not have been the drillers. Instead, middle class families and businesses would have been forced to pay 95 percent of the bill,” Barrar said. “That would have cost $2.1 billion. Our district certainly isn’t the only one who can’t afford to pay, so I could not vote in favor of the governor’s tax plan.”
In addition to the nearly $225 million paid annually by natural gas drillers in Act 13 impact fees, Wolf proposed a 3.5 percent extraction tax with an additional charge of 4.7 cents per thousand cubic feet. At a total tax rate of 14.7 percent, this would have been the highest severance tax rate in the nation and resulted in crippling the Commonwealth’s industry. Considering current market prices, the severance tax would only generate $67 million this year – quite a disparity from the $1 billion he said it would generate.
“Now that it has been shown that the governor’s tax hike plan does not have support, I hope that he returns to the negotiating table with a renewed spirit,” Barrar said. “We don’t have time to continue the back and forth; our residents are suffering now, and we must produce a fair, reasonable budget. I ask that the governor join us for the good of the Commonwealth.”
Representative Stephen E. Barrar
160th District
Pennsylvania House of Representatives
Media Contact: Alison Evans
717.260.6206
aevans@pahousegop.com
SteveBarrar.com / Facebook.com/RepBarrar