News: The General Assembly is considering four pieces of legislation that would impose crippling caps on increases in commonwealth spending. The limits vary depending on the legislation, but generally tie increases in state spending to either the inflation rate or the rate of growth in Pennsylvania personal income.
A budget spending cap is not only bad policy, but it is also unnecessary, Soderberg said. Since he took office, Governor Edward G. Rendell has cut state spending on government administration by 9 percent, she said. Through a combination of reduced expenditures, cost avoidance and new revenues, annual state spending on state government bureaucracy is now $475 million lower than it was when Governor Rendell took office.
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