Weeks of Budget Hearings Conclude

The State House and Senate Appropriations Committees completed their annual budget hearings last week, with PPC paying close attention to the DHS, DOH, and PDE budget hearings.

DHS Secretary Val Arkoosh testified before the Senate on March 5th and the House on March 4th. The most significant points of contention were the Medicaid budget and the overall DHS budget number, which increased 7.5% from the current fiscal year. During several questions regarding potential cuts to the program, Arkoosh reiterated how significant federal cuts will negatively impact many Pennsylvanians in need. The child care workforce also took center stage multiple times during the hearing, with several members praising Gov. Shapiro’s proposal of $55 million in a recruitment and retention fund. In the House, DHS staff faced similar lines of questioning with Secretary Arkoosh noting that 23% of Pennsylvanians rely on Medicaid for their health care needs. The proposed increase in Infant Toddler Early Intervention was raised, with Arkoosh highlighting the proposal including $10 million for a rate increase to address workforce challenges in the sector. From a maternal health perspective, Sec. Arkoosh was asked for an update on integrating doulas into Medicaid. She reported that the state plan amendment for doulas has been approved, and they are fully covered. As of February, there are 46 unique individuals with 65 service locations in the program.

Maternal health was also a prominent topic at the Department of Health hearings, with Secretary Dr. Deb Bogen testifying before the House on February 21st and the Senate on February 19th. In the Senate, Secretary Bogen acknowledged the disparity in maternal mortality and morbidity rates between black and white women and noted the development of a maternal health strategic plan. In the House, the “Momnibus” legislation package to combat maternity care deserts and maternal health disparities was raised in addition to concern about the potential of federal cuts affecting programs such as WIC. Secretary Bogen shared the concern, noting that 60% of WIC is federally funded and 50% of babies born in Pennsylvania are eligible for WIC.

Acting PDE Secretary Carrie Rowe went before the Senate on February 26th and the House on February 24th.  One of the most significant focuses of the Senate hearing was the governor’s proposal of $606 million in public education funding. The proposal includes $526 million in the Ready to Learn block grant, which provides funding for schools in need via an adequacy formula, $75 million in basic education funding, and $5.4 million in career and technical education. PPC was pleased to see bipartisan support for CTE, with members asking about waitlists for programs and other barriers to access. Pre-k was also raised, with several members voicing support for the proposed budget increase to address issues with pre-k program staffing. OCDEL Deputy Secretary Shante’ Brown emphasized the importance of increasing rates to raise salaries, which would help open more classrooms and address open slots. Potential federal cuts were again a big topic of concern, with Acting Secretary Rowe confirming the cuts would affect both Head Start and early intervention programs.

During the House PDE hearing, many of the same concerns of increasing basic education funding and adequacy were reiterated. The topic of the Universal School Breakfast Program was raised, including questioning why universal school meals (expanding to lunch) were not included in the budget proposal. Secretary Rowe highlighted the success of the free breakfast program, serving 90 million school breakfasts last year. She also noted that 64% of students are eligible for free or reduced meals. The importance of CTE, particularly in rural areas, was again raised, as was the need for salary parity between early childhood educators and K-12 teachers. Secretary Rowe agreed with the significance of investing in early childhood education and its importance in Pennsylvania’s economic advancement.

The House will be back in session on March 17 and both chambers will be in session the week of March 24th. These next session weeks will begin the long process of crafting a bi-partisan budget agreement before the constitutional deadline of June 30th