NFIB RESPONDS TO GOV. SHAPIRO’S BUDGET ADDRESS

March 7, 2023

View NFIB's Lawmaker Video Response to Gov. Shapiro's Speech at the Link Below

NFIB RESPONDS TO GOV. SHAPIRO’S BUDGET ADDRESS

HARRISBURG (March 7, 2023) – The National Federation of Independent Business (NFIB) in Pennsylvania issued the following statement in response to Governor Shapiro’s 2023-24 Budget Address: Pennsylvania Governor Josh Shapiro delivered a spirted budget address today. Though a more entertaining presenter than his predecessor Governor Tom Wolf, Governor Shapiro’s budget address was a mixed bag for the small business community. While the Commonwealth currently possesses $5 billion in reserves, Governor Shapiro is proposing to nearly deplete that fund by 2028. “While spending money to invest in our Commonwealth is essential, eliminating the savings account established to avoid future tax increases seems nonsensical,” said Greg Moreland, state director for NFIB in Pennsylvania. Additionally, the governor made no mention of Pennsylvania’s entrance into the Regional Greenhouse Gas Initiative (RGGI), which could raise energy costs by up to 40%. Also concerning was Shapiro’s call for additional Labor Law Compliance Investigators. “What are you afraid we might find?,” noted his excellency. Small business owners aren’t criminals, and shouldn’t be treated as such, especially when Governor Shapiro is looking to increase their labor costs by increasing the minimum wage to $15 an hour. It wasn’t all bad for small business owners, though. “NFIB is pleased to see Governor Shapiro is seeking to accelerate the reduction in the Corporate Net Income (CNI) tax. While 75% of NFIB members do not pay CNI, a rising tide raises all ships. Pennsylvania must become more competitive on the national stage, and lowering tax rates is one way to accomplish this,” said Moreland. Additionally, NFIB is excited about the Office of Transformation and Opportunity, which is described as a one-stop shop for businesses to get support. While it shouldn’t take more government to solve what government should have been doing already, this shows Governor Shapiro is taking business concerns seriously, which is a welcome breath of fresh air from the last 8 years. Permitting reform appears to be a hallmark of Shapiro’s Administration. “Permitting takes too damn long,” Shapiro noted to a bipartisan standing ovation. Shapiro stated that the state will establish realistic timelines for permit approval with a money-back guarantee should the state miss the deadline. Governor Shapiro’s tone and tenor was one of bipartisanship and working together for Pennsylvanians, to deliver solutions by putting partisan politics aside. NFIB welcomes the working relationship we have established between the small business community and the governor’s office and look forward to weighing in on his proposals. Yesterday, NFIB hosted an economic forum featuring the Independent Fiscal Office, Senator Scott Martin, and NFIB’s Small Business Research Center to better understand the specific challenges facing small and independent businesses. From the presentation, NFIB gathers that the Commonwealth has daunting financial challenges in years to come. Facing a severe workforce shortage, an aging population, and a fiscal cliff, the legislature and the governor should continue to bolster the Rainy Day Fund, while looking to provide tax-relief to those who were hit the hardest during the pandemic: Main Street small businesses. CLICK BELOW to view NFIB’s lawmaker video response to the budget address: