Dush Warns Shapiro, Quit Joshing Taxpayers: Moody’s Upgrade Has Nothing to Do with Administration’s Unsustainable Deficit Spending

HARRISBURG – Sen. Cris Dush (R-25), a member of the Senate Appropriations Committee, issued the following statement today regarding Moody’s Investor Services upgrading Pennsylvania’s credit rating to Aa2 based on the state’s strong budget reserves and prudent financial management.

“Although it’s no surprise big spending Gov. Josh Shapiro was the first to tout the extra spending cash potential of this otherwise positive bond rating increase, Pennsylvania taxpayers should not be fooled by his Biden-nomics-mirroring hype regarding his administration’s flatlining fiscal track record.

“Based on the laundry list of factors that Moody’s cites (much later in this report) that could lead to the downgrade of Pennsylvania’s future bond ratingthe governor is completely ‘JOSHING’ us when he claims that his administration’s ‘sound fiscal management is positioning the Commonwealth for long-term success.’

“The fiscally responsible manner in which the Senate Republican caucus has held the line against excessive executive branch spending is precisely what Moody’s identified as the actual catalyst for Pennsylvania’s credit rating upgrade. This is in sharp contrast to the governor’s unsustainable spending demands and his frequent, fiscally irresponsible attempts to deplete the Commonwealth’s now fiscally stable and growing Rainy Day Fund.

“Unless the governor immediately stops demanding that we spend, spend, spend, Pennsylvanians will likely experience another significant quality-of-life downgrade due to the already-growing structural deficit directly inflicted by the Shapiro administration’s rampant spending increases during the past two fiscal years. 

“Again, according to the Moody’s Report, these completely avoidable economic pitfalls endangering Pennsylvania’s future fiscal stability would predictably include: ‘Slower-than-expected economic performance that stalls revenue growth and pressures the budget; sustained structural imbalance that leads to depletion of general fund reserves and failure to maintain rainy day funds; significant growth in leverage (debt or other unfunded liabilities) or the reemergence of significant pension tread water funding gaps; and ineffective governance that hinders the Commonwealth’s financial oversight or causes delays in implementing necessary budget adjustments mid-year.’”

 

CONTACT:  Ty McCauslin, Communications Director at 717-787-7084 or tmccauslin@pasen.gov.

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