REP.

GARY DAY PRSRT STD

U.S. POSTAGE
PAID
187TH Legislative District HARRISBURG, PA
PERMIT NO. 529
DISTRICT OFFICES:
LEHIGH COUNTY:
Northwest Centre, Suite 302
6299 Route 309
New Tripoli, PA 18066
Phone: (610) 760-7082
BERKS COUNTY:
127 Quarry Road, Suite 1
Kutztown, PA 19530
Phone: (610) 683-3385
HARRISBURG OFFICE:
PO Box 202187
Harrisburg, PA 17120-2187
Phone: (717) 787-3017

Dear Neighbors, Open House at

During my first term in office, I have worked with my Republican and
Democrat colleagues to identify waste in government and programs that can Berks County
be trimmed in order to keep spending in check. This year, I again want to
ensure the tax burden on wage earners and working families remains reason- District Office
able.
When creating a state budget, we must look at one simple fact: How much
revenue is coming in determines what can be spent. We have to live within Wednesday, March 31
our means. 6:30 p.m. to 7:30 p.m.
Sometimes this calls for some tough decisions and makes for some tough Maxatawny Township
choices. Last year for the first time in years, because of the efforts of House
Republicans, Pennsylvania’s budget was actually less than the previous fiscal Building
year. This came after a delay of 100 days and despite the governor’s call for 127 Quarry Road, Suite 1
more spending and taxes. Kutztown
When economic growth is low and unemployment is high, state revenue
streams dry up. When people lose jobs, they do not pay the personal income To R.S.V.P. call (610) 683-3385.
tax. Families with less income coming in spend less, meaning there’s less
sales tax revenue. So legislators are faced with difficult choices: restrict
spending only to the revenue we have coming in or raise taxes.
We have to decide whether we want higher taxes or less spending. Most of
us here at home reduce our spending when faced with less income, so that’s
Day Appointed
what I think Pennsylvania should do. as Republican
In the end, the adopted budget was closer to House Republican proposals
than the governor’s 2009 budget address or House Democrat proposals. We Subcommittee
had $25.2 billion in General Fund revenue coming in, but still spent $27.8
billion because we relied on $2.6 billion in federal bailout money. Chairman
That money is running out, and we have to spend less now or face the I am pleased to now serve on four
consequences later. legislative committees. I was recently
appointed to serve as Republican chair-
We have entered another budget season - which began on Feb. 9 when the
man of the Subcommittee on Arts and
governor gave his annual budget address. He requested $1.29 billion more in
Entertainment of the House Tourism and
spending for the 2010-11 fiscal year budget, even though revenue has fallen Recreational Development Committee
$476.7 million below estimates. for the remainder of the 2009-10 session
In this newsletter, I will provide some details about the governor’s propos- of the House of Representatives. This
al, as well as some other legislative issues going on in Harrisburg. appointment came from Republican
If you would like to contact me with any questions, please call my office or Leader Sam Smith (R-Jefferson).
e-mail me at [email protected]. My Web site is RepGaryDay.com. I am also a member of the House Chil-
dren and Youth Committee, the House
Insurance Committee and the House
Urban Affairs Committee, where I serve
as Republican secretary.

RepGaryDay.com
 Governor Different Year, Different Proposed Taxes
Proposes from Governor
As taxpayers might expect, Gov. Ed Rendell once again proposed new taxes to pay for spending
$1.2 Billion – $874 million worth.
As with any budget, all ideas should be
Spending considered and debated, but the first thing
we need to do is make the state’s depart-
Increase ments even more efficient and prioritize our
I am concerned that the spending accordingly.
governor has proposed Of the $874 million in new revenue re-
a state budget for the quested:
coming fiscal year that is • $531.5 million of these new taxes
much more than taxpay- would be a result of broadening the
ers can afford, especially state sales tax to include currently
given that he is asking untaxed items.
for more taxes totaling o The governor has proposed that
$874 million. 74 previously untaxed categories
The governor is asking become taxed.
that consumers and busi- o The annual sales tax a consumer
nesses pay more taxes Rep. Glen Grell (R-Cumberland, left) discusses the
pays will likely increase. state budget with Rep. Day during a recent com-
in order to ensure that o This plan is unlike the plan
future budgets - after the mittee hearing in Harrisburg.
advanced by Rep. Sam Rohrer (R-
governor is out of office Berks), who has proposed for many years that the sales tax be used to lower
- are not dangerously property taxes, not to pay for general expenses incurred by the state.
underfunded. • $140.2 million in taxes affecting businesses, including the removal of a sales tax discount
Unfortunately, we face incentive for them.
several economic chal- o Last fiscal year, the governor fought for a change in a key business tax – the
lenges: Capital Stock and Franchise Tax – that cost businesses $374 million.
• Recent economic re- • $41.6 million tax on smokeless tobacco and cigars, amounting to 30 percent of the sale
ports have indicated that price.
General Fund revenue o This was proposed last year and failed to gain any traction among legislators. It
collections have fallen is about the same rate that cigarettes are taxed now.
short of projections for • $160.7 million in taxes on natural gas extraction.
22 consecutive months o Pennsylvania has done incredibly well executing an idea advanced by House
through February 2010. Republicans that leases Marcellus Shale lands. This program brought in $180
• Pennsylvania is be- million so far.
hind last year’s revenue o The governor has proposed two distinct new taxes on Marcellus Shale drilling,
collection estimates by the first is a 5 percent tax on the value of natural gas at the wellhead, plus a 4.7-
about $476.7 million cent tax per 1,000 cubic feet of gas extracted.
during the first eight
months of the 2009-10
fiscal year.
• By June 30, the
governor estimated that
the Pennsylvania budget
could experience a short-
fall of as much as $525
million.
Faced with such chal-
lenges, budgeting is very
difficult for the General
Assembly, but apparently
not for the governor.
On Feb. 9, he proposed
a $29.03 billion budget
for fiscal year 2010-11.
This includes $26.27
billion in anticipated
General Fund revenue
and $2.76 billion in
federal stimulus money,
which runs out after this
fiscal year. This amounts
to a spending increase of
4.6 percent more than the
last fiscal year.
The proposal assumes
$850 million in addition-
al federal bailout money
that has not yet been ap-
proved by Congress.

[email protected]
 Transportation Projects Paving Way
for Safer Travel in the 187th District
Berks County
Route 222, Kutztown Bypass Rehabilitation .....................................................................................................................Recently Bid, $13 million
SR 1010, Blair Creek Inn Bridge ............................................................................................................................................To be Bid in mid 2010
SR 1021 Bridge over Mill Creek.............................................................................................................................................To be Bid in late 2010
Route 222 Betterment, Kutztown Bypass to Lehigh Co. Line ................................................................................................To be Bid in late 2010
Route 662, Ontelaunee Bridge ..............................................................................................................................................To be Bid in late 2011
Lehigh County
Route 100, Widening from Schantz Road to I-78 ......................................................................................................................... Ongoing Project
Route 100 and 309 Intersection Improvements ...................................................................................................................To be Bid in early 2010
SR 4009, Newside Road Bridge ..........................................................................................................................................To be Bid in early 2010
Route 309 Bridge over Mill Creek ..........................................................................................................................................To be Bid in mid 2010
SR 4025, Frantz’s Bridge .......................................................................................................................................................To be Bid in mid 2010
SR 4027 Bridge over Jordan Creek .......................................................................................................................................To be Bid in mid 2010
Hunters Hill Road Bridge .......................................................................................................................................................To be Bid in late 2010
SR 4037, Donats Road over Ontelaunee Creek ....................................................................................................................To be Bid in late 2010
Route 100 and Clausville Road, Intersection Improvements .................................................................................................To be Bid in mid 2011
Also, these major transportation projects were completed last year: widening and signalizing ramps at the Interstate 78 and Route 100
interchange; micro-surfacing from Adams Road to east of Route 100 at I-78; and safety improvements and widening at Route 309 at Packhouse
Road.
Recent severe snowstorms once again closed major interstate highways for brief periods, including I-78, and have severely taxed both state
and local highway budgets.
With the coming budget, we as a state need to ensure that the core functions of government are funded first. Tax dollars should go toward
road repairs, bridge maintenance and highway safety improvements.
This is not the time for expensive new projects and initiatives when the basic functions of government need to be accomplished first.
Route 222 Survey Results
Last year, I asked residents of the 187th District who live along the U.S. Route 222 corridor one question:
What is the best way to alleviate traffic congestion on U.S. 222?
It was not a scientific survey, but the results are interesting.
Of four possible courses of action listed, as you can see, expanding to four lanes was favored by nearly 50 percent of the respondents.
o 222 is fine the way it is. No changes are needed. 1 percent
o Construct a bypass around local business districts. 25 percent
o Improve the intersections in the region including where U.S. 222 intersects with Routes 73, 662, 863, and Genesis Drive. 26 percent
o Expand Route U.S. 222 to four lanes. 48 percent

Public School Employee Pensions Could Force Large Tax Increases

Because of downturns in the investments held by the Public School Employees Retirement System (PSERS), and because the
employer contribution rates have not changed for years, Pennsylvania and its 500 school districts could be facing double-digit
increases in employer contribution rates as soon as 2012. That could mean significantly higher taxes for everyone.
Both the state and local school districts must contribute a portion of the costs paid to PSERS for public school employees.
This benefit, by contract, guarantees these employees this retirement benefit.
If not addressed by the Legislature soon, as more teachers and school employees begin to retire and draw upon pension in-
come, we could see a funding crisis.
• In his budget address, the governor has proposed an increase in the employer contribution rate to 5.78 percent from the cur-
rent 4.78 percent.
• However, this is much less than recommended by the Public School Employees Retirement System (PSERS) in December
2009. To ensure solvency of the fund, the PSERS board recommended that the employer contribution rate be increased to
8.22 percent.
• Both the state and school district pay into the PSERS Fund.
• Nothing in the governor’s plan does anything to ensure that future employees will be required to participate in a defined
contribution plan.
Basic Education Funding
• The governor proposed $5.23 billion in basic education spending for the state’s 500 school districts, which includes
$654.7 million in federal bailout money.
• This is $354 million more than last year, a 7.28 percent increase.
• Pre-K Counts, a program making quality pre-kindergarten opportunities available to children and families, will be cut
by $475,000 to $85.9 million.
• Public library funding is cut by $1.2 million to $58.8 million statewide.
Rep. Day with Ironton Elementary
Principal Lynette Smith and school
mascot Star Stallion during Read
Across America Day.

On March 3, Rep. Day visited

Fogelsville Elementary in the
Parkland School District to
celebrate Read Across America

[email protected]
 Property Tax/ Day Hosts Agricultural Town Hall Meeting
On Feb. 23, I was pleased to host an Agricultural Town Hall Meeting with about 50
Rent Rebate farmers in attendance to discuss agricultural issues. We met at the Fogelsville Volun-
Program teer Fire Company.
Our guest speaker was
Pennsylvania’s 2009 Property Tax/ Pennsylvania Department of
Rent Rebate program applications are Agriculture Secretary Rus-
now available. sell C. Redding, who took
Eligible participants can receive over as agriculture secretary
a rebate of up to $650 based on rent in December 2009. He has an
or property taxes paid in 2009. The understanding of production
program benefits Pennsylvanians who agriculture, stemming from
are 65 years or older, widows and his youth on his family’s dairy
widowers 50 years or older, and those Rep. Day with Agriculture Secretary Russell Red-
farm in Gettysburg and his time ding during an Agricultural Town Hall meeting held
18 years or older with disabilities. as a dairy farm operator.
Income eligibility excludes 50 per- on Feb. 23.
I’d like to thank the Penn
cent of Social Security, Supplemental State Cooperative Extension in Berks and Lehigh counties for helping with this event.
Security Income, and Railroad Retire-
ment Tier 1 benefits:
• $0 to $8,000, maximum Governor’s Proposed Budget
$650 rebate
(Homeowners and Underfunds Agriculture
renters) The Pennsylvania Department of Agriculture would receive $62.4 million in the
• $8,001 to $15,000, budget proposed on Feb. 9 by Gov. Ed Rendell, which is $5.4 million less than last
maximum $500 rebate year.
(Homeowners and Details of program funding for the department:
renters) • Crop insurance: $1 million ($400,000 increase over current fiscal year).
• $15,001 to $18,000, • Agriculture research: eliminated.
maximum $300 rebate • Payments to Pennsylvania fairs: eliminated.
(Homeowners only) • Hardwoods research and promotion: eliminated.
• $18,001 to $35,000, • State food purchase: $18 million (no increase).
maximum $250 rebate • Animal Health Commission: $4.9 million ($249,000 less than current fiscal
(Homeowners only) year).
My staff can assist you with filling • Additional funds for Penn State’s Agriculture Extension and Agriculture
out forms. Research programs will also be available through the University’s appro-
priation.

New Federal Transportation Laws and Farmers

In response to a safety audit conducted by the Federal Motor Carrier Safety Administration, Pennsylvania recently revised its in-
trastate transportation regulations regarding commercial motor carriers. These standards also apply to certain agricultural vehicles.
The regulations were recently approved by the Independent Regulatory Review Commission (IRRC), but some legislators feel
more needs to be done by the federal government.
With the help of the Pennsylvania Farm Bureau, PennDOT regulations to oversee motor carriers do not apply to farm tractors.
These efforts included some last-minute “interpretations” from the Federal Motor Carrier Safety Administration, which stated that
the new rules would not apply to farm tractors. Questions remain as to how the new rules will apply to farm trucks and farm trucks
towing other implements.
The Rendell administration and the Department of Agriculture allowed the regulations to be approved without further improve-
ment to help farmers. A letter from the agriculture secretary to IRRC states: “It is our position that.....they [the new regulations]
offer farmers more relief from the regulation of commercial vehicles than they previously enjoyed.” Some lack of clarity exists
under the federal regulations. Until all questions are satisfactorily addressed, I will oppose approval of the regulations. I am hope-
ful that further clarification can be included.
I am continuing to encourage Congress to correct this federal mandate with a change in the federal statute. I have expressed my
support for H.R. 1220 to Pennsylvania’s entire delegation. The measure is presently before Congress. I encourage you to relay the
same message to your federal representatives.

Day at the 94th Pennsylvania Farm Show

Vickie Greff with Blue Mountain Vine-

yards and Cellars Ltd. located in New Tara Golden, field representative for
Tripoli, Lehigh County, met with Rep. Rep. Gary Day met Pennsylvania Agriculture Kistler Buildings, discusses envi-
Day on Jan. 12 during the 94th Penn- Secretary Russell Redding at the 94th Penn- ronmentally friendly concrete post
sylvania Farm Show. sylvania Farm Show. foundation buildings with Rep. Day.