PRINTER'S NO. 3901
No. 255 Session of 1978
INTRODUCED BY KNEPPER, ZELLER, TADDONIO, POTT, ZORD, MADIGAN
AND WEIDNER, SEPTEMBER 27, 1978
REFERRED TO COMMITTEE ON RULES, SEPTEMBER 28, 1978
In the House of Representatives, September 27, 1978
1 WHEREAS, The Office of the Budget of the Commonwealth of
2 Pennsylvania reports that the State deficit for the current
3 budget year (fiscal year 1978-79) is in deficit somewhere in the
4 range of $80,000,000 to $189,000,000; and
5 WHEREAS, Pennsylvania Constitution Article VIII, sections 12
6 and 13, clearly intended and require that the State operate
7 under a balanced budget; and
8 WHEREAS, The Commonwealth of Pennsylvania is and continues to
9 expend funds exceeding available revenues, the third consecutive
10 year in which this has occurred; and
11 WHEREAS, The people of Pennsylvania do not want to be faced
12 with a tax increase in 1979 to fund such a deficit and desire
13 more efficient services through economies in operation and the
14 avoidance of expenditures not critical to the public health,
15 welfare or safety; therefore be it
16 RESOLVED, That the Pennsylvania House of Representatives
17 hereby calls on the Governor of the Commonwealth of Pennsylvania
1 to immediately cease and desist from signing any contracts,
2 agreements, binding commitments, or other matters that involve
3 additional spending except those representing a mandated
4 expenditure of the State, as certified by the Secretary of the
5 Budget. Further, the Governor shall direct his cabinet and,
6 through the Secretary of Administration, all State boards,
7 authorities, commissions and agencies to immediately refrain
8 from incurring any additional expenditures beyond those to
9 provide for the ordinary functioning of State government or the
10 provision of already mandated services. The Governor shall
11 immediately appoint a Fiscal Management Review Team to conduct a
12 complete review of all accounts, encumbrances, obligations or
13 other financial agreements involving the expenditure of funds
14 during fiscal year 1978-79. Such team shall conduct such a
15 review through the services of the Auditor General or an
16 independent certified public accounting firm. This team shall be
17 composed of the Executive Director, State Division, Pennsylvania
18 Economy League; President, Pennsylvania Institute of Certified
19 Public Accountants; and the Secretary of the Budget. It shall
20 deliver a report on the financial condition of the State, of all
21 its funds, and of the size and amount of deficits, and shall
22 recommend those expenditures that should be reduced in order
23 that the State complete the current fiscal year with a balanced
24 budget. The Governor shall heed such recommendations and make
25 such reductions as are required to insure a balanced budget
26 until such time as a new Governor takes office in January, 1979.
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