Pennsylvania Back to Work Without Renewable Energy Fund
Pennsylvania Back to Work Without Renewable Energy Fund
HARRISBURG, Pennsylvania, July 10, 2007 (ENS) - Late last night Governor Edward Rendell announced that a tentative budget agreement was reached with Republican legislative leaders that brings nearly 25,000 furloughed state employees back on the job after one day off work without pay.
The pact addresses some of Rendell's energy and transportation initiatives but will not impose the surcharge on electricity use the governor had sought, said Senator Vince Fumo, ranking Democrat on the Appropriations Committee.
The governor wanted a legislated $5.40 annual surcharge on residential electric bills to support an $850 million fund for alternative and renewable energy.
'I am pleased to announce that as a result of earnest and sometimes difficult negotiations, we have achieved an important agreement that will allow Pennsylvania’s government operations to be restored and all furloughed employees to return to work,' Governor Rendell said. 'While I regret that we were not able to reach this accord earlier, I am gratified that we have agreed in principle to a spending plan that will continue to move Pennsylvania forward.'
State Senate Republicans blocked the governor's Energy Independence Strategy that he promised would 'help our families and businesses cut their electricity bills, conserve energy, reduce our dependence on foreign oil and bring new economic development opportunities to the state.'
'And all it will cost the average household is the price of about five cups of coffee a year,' the governor said July 2.
He cited a recent statewide poll by Susquehanna Polling and Research that found that more than two-thirds of the public is willing to pay 45 cents per month to grow the state's economy while developing clean and renewable energy from home-grown sources.
In February, Rendell announced the Energy Independence Strategy which he said would save consumers $10 billion in energy costs over the next 10 years, increase Pennsylvania’s alternative and renewable energy production capacity, reduce the state’s dependence on foreign fuels and create more jobs.
Included in the strategy is an $850 million Energy Independence Fund that will be financed by a 'systems benefits charge' on electric power consumers. Such a charge is already in place in 15 other states and Washington DC. Pennsylvania’s charge would have been lower than all but two of these jurisdictions.
But Republican legislators viewed the systems benefits charge as a tax, and they would not approve it.
State Senator Ted Erickson, a Republican, said Monday the General Assembly needs more time to consider the complex energy plan that covers everything from minimum content standards on ethanol produced in Pennsylvania, to green building requirements for construction involving state funds.
'The Senate has held hearings and work is continuing on refining the proposals, said Erickson, who is also sponsoring legislation providing the framework for a plan to reduce greenhouse gas emissions.
Rendell said the Legislature would convene a special session on September 17 to address the energy topic.
While the governor did not get the energy legislation he wanted, he was pleased with the negotiated transportation package, calling it 'historic.'
'With this agreement, there will about $950 million a year for transportation in Harrisburg, Erie, Pittsburgh, Philadelphia, Wilkes-Barre, Altoona and everywhere else for the next 10 years,' Rendell said. 'It should put transportation systems in good shape for the next 15 to 20 years.
Members of the legislature are expected to begin considering the budget legislation this week.
The administration had previously said furloughed workers will not be paid for the time off, but Monday night Rendell said 'options that we have to lessen the impact' are under consideration and he plans to make an announcement shortly.
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