Press Release
Senate Budget Hides Millions in ‘Walking-Around Money’
Senate Budget Hides Millions
in ‘Walking-Around Money’
Budget Plan Flush with Slush Fund Increases
December 9, 2015, HARRISBURG, Pa.—The state Senate’s $30.8 billion budget plan rushed through Monday hides a controversial secret: an $85 million increase in “walking-around money,” or WAMs.
Typically controlled by legislative leaders and used for pet projects in their home districts, WAMs are funds that legislators sneak into budgets under the guise of economic development, cultural activities, and even business assistance.
“With Pennsylvania families already facing a tax burden of more than $17,000 per year, it’s mind-boggling that legislators would demand even more so they can fund pet projects and events in their districts,” stated Matthew Brouillette, president and CEO of the Commonwealth Foundation. “By claiming this spending is for things like ‘community and business assistance,’ legislators hope taxpayers won’t know what it really is: slush funds legislators use to advance their own agenda at taxpayers’ expense.”
The Senate budget would expand WAMs by 189 percent, including reinstituting programs previously nixed specifically to eliminate WAMs.
Select WAMs in Senate Budget |
||||
---|---|---|---|---|
|
2014-15 |
2015-16 |
Increase |
% Increase |
Pennsylvania First |
$20,000 |
$34,000 |
$14,000 |
70% |
Keystone Communities |
$6,150 |
$25,240 |
$19,090 |
310% |
Infrastructure and Facilities Improvement Grants |
$19,000 |
$30,000 |
$11,000 |
58% |
Industrial Resource Centers |
$0 |
$11,000 |
$11,000 |
|
Community and Business Assistance * |
$0 |
$3,600 |
$3,600 |
|
Community and Municipal Facilities Assistance * |
$0 |
$7,700 |
$7,700 |
|
Economic Growth and Development Assistance * |
$0 |
$9,107 |
$9,107 |
|
Reclamation and Revitalization Assistance |
$0 |
$3,750 |
$3,750 |
|
Cultural Activities * |
$0 |
$5,935 |
$5,935 |
|
Total |
$45,150 |
$130,332 |
$85,182 |
189% |
* These programs existed in prior years, but were eliminated in an effort to get WAMs out of the Budget |
In the past, these programs have funded a number of questionable projects, including:
- A $200,000 Pennsylvania First grant to a Kraft plant, which is now planning to close its doors after merging with Heinz
- A $3 million grant to the Urban Redevelopment Authority of Pittsburgh, which used the money to help open an American Eagle Outfitters headquarters, only to have the distribution center close this past July
- A $200,000 grant to upgrade administrative infrastructure at the Philadelphia Dance Company
- $10,000 in assistance to the City of Aliquippa for “holiday lighting”
- $5,000 in boxing equipment for the Pittsburgh Boxing Club
- $50,000 to the Lycoming County Fair Association for rabbit barn construction and painting
- $45,000 for contemporary ballet funding
“There’s a reason many of these WAMs were eliminated in previous budgets,” Brouillette continued. “Disgraced former lawmakers Mike Veon and Vince Fumo infamously used WAMs to enrich themselves. There’s no good reason to put taxpayers at risk for similar abuses. No Pennsylvanian should be forced to prop up a slush fund. The only thing we want to see WAMs do is walk their way out of any state budget.”
Matthew Brouillette and other Commonwealth Foundation experts are available for comment. Please contact Gina Diorio at gld@comfdnprod.wpengine.com or 862-703-6670 to schedule an interview.
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