Perzel says mass transit will require tax hikes
HARRISBURG – John Perzel, the speaker of the House of Representatives and possible future gubernatorial candidate, conceded on Monday that taxes will have to be raised to save mass transit from its budget crisis. But the Philadelphia Republican said questions remain as to which taxes will be raised and by how much.
Perzel, who was re-elected speaker earlier this month, told about 150 of the state’s most prominent lobbyists and businesspeople at a Pennsylvania Press Club luncheon that the governor’s proposal to raise $110 million through higher fees on motorists falls about $120 million short.
Asked where the money will come from to save Philadelphia-based SEPTA and Pittsburgh’s Port Authority from following through on threats to cut jobs, reduce service and raise fares, Perzel was blunt: “The taxpayer,” he said.
Perzel also said that logistical reasons will keep the House from coming up with a solution to mass transit funding before the systems run out of money at the end of February.
Still, Perzel made clear that lawmakers will be preoccupied by mass transit until a way out of the funding crisis is found. As to other big legislative initiatives in the coming year, he said he wants the lion’s share of the money that slot machines are supposed to generate for property tax reductions to be spent on senior citizens.
“Distributing $1 billion [would result in] a small amount for everyone,” Perzel said of the cash that slots are supposed to raise. “I’d like to go back and look at what that money could do for seniors who are in danger of losing their homes.”
In another type of gamble, Perzel said the odds are 60-40 against selling the Pennsylvania Higher Education Assistance Agency to Sallie Mae. The federal lender offered PHEAA $1 billion last month to combine some of their business operations in the state.
Turning to politics, Perzel was asked who he is supporting among the three probable candidates for the Republican nomination for governor next year: former Lt. Gov. Bill Scranton, state Sen. Jeffrey Piccola of Dauphin County or former Pittsburgh Steelers great Lynn Swann.
“The first person to come up with $30 million,” he said to raucous laughter. “If you’re going to put on a serious challenge to an incumbent governor, that’s what you’re going to have to raise.”
As for his own gubernatorial ambitions, Perzel was coy.
“I don’t know,” he said about running in 2010 or ever. “As soon as I get $30 million together, I’ll let you know.”
Rick Martinez can be reached at 717-705-6330 or rmartinez@calkins-media.com.