HARRISBURG — Amid mounting concerns about water quality, Gov. Tom Wolf wants to shore up state environmental programs by borrowing and shifting money around in next year’s state budget.
He would provide $150 million for the state Department of Environmental Protection using state tax revenue, a 1 percent increase, if lawmakers approve the proposed $32.3 billion budget.
The governor would generate about $200 million during the next three years to support the umbrella Growing Greener program and several state water quality programs through the sale of bonds to investors.
These proposals emerge after a recent warning from the federal Environmental Protection Agency that Pennsylvania’s enforcement of the federal Safe Drinking Water Act is inadequate. EPA officials blamed inadequate staffing at DEP for a sharp increase in drinking water violations in recent years.
Wolf is grappling with a stubborn $3 billion deficit and a Republican-controlled General Assembly that opposes large tax hikes to generate new revenue. The Democratic governor is giving priority to education funding, senior services and the opioid abuse epidemic.
Two area lawmakers said they think DEP needs a lot more money just to carry out its main duties.
DEP was hit with a 40 percent cut in funding and 25 percent cut in staff since 2003, said Sen. John Yudichak, D-14, ranking Democrat on the Senate Environmental Resources and Energy Committee. Successive cuts are starting to affect public safety, environment and the agency’s ability to handle permits needed for business operations, he said.
“I realize the governor has inherited much of this over the past decade,” Yudichak said. “The eye opener has been the EPA’s warning.”
Rep. Mike Carroll, D-118, ranking Democrat on the House Environmental Resources and Energy Committee, said he will advocate for more funding for DEP because the agency needs it to carry out its core mission of environmental protection.
One round of proposed borrowing — about $52 million annually for three years — would go to Growing Greener, which supports various local and state conservation and land use projects.
Since 1999, Growing Greener has funded projects to promote trails, open space and recreation, protect farmland and watersheds, clean up streams and restore abandoned mine land and aid water treatment projects. With earlier bond issues spent, Growing Greener funding dwindled to $57 million.
A second round of borrowing — $15 million annually for three years — would support programs spread across three agencies to address local water quality issues, implement erosion control plans on farms, and expand a forest buffer program.
Supporting these programs through bond sales will ease spending demands on the taxpayer-supported General Fund during the next three years, Wolf spokesman J.J. Abbott said.
This tactic has been used repeatedly since Pennsylvania started facing chronic fiscal problems in 2009, at the height of the Great Recession.
“We appreciate what the governor is trying to do — keep a balance in the account, but we need much more,” said Andrew Heath, executive director of the Growing Greener Coalition.
Hopefully, a bipartisan coalition of lawmakers can muster support to provide $300 million in new funding for Growing Greener through a stable revenue source, he said.
Meanwhile, the state Department of Conservation and Natural Resources, which oversees state parks and forests, would get $370 million from all revenue sources — a 3 percent increase if lawmakers approve the budget.
The governor would rely on the separate Oil and Gas Fund based on driller fees to help support DCNR. The percentage of DCNR’s budget relying on the oil and gas fund would increase from 13 percent to 31 percent next year, according to the House Democratic Appropriations Committee.