House Committee Approves Benninghoff Bill to Reduce State Debt Ceiling by Half-Billion Dollars
9/15/2014
HARRISBURG – The state House Finance Committee today in Harrisburg approved a bill introduced by Rep. Kerry Benninghoff (R-Centre/Mifflin) that would gradually reduce the state debt burden on Pennsylvania taxpayers by a half-billion dollars.

“This is comparable to voluntarily reducing the credit limit on the state’s credit card,” said Benninghoff, who serves as chairman of the House Finance Committee. “The previous administration ran up the state’s debt. We’ve been making fiscally responsible decisions to pay that off, but this measure would help prevent it from happening again in the future.”

Benninghoff’s House Bill 2420 would reduce the Commonwealth’s debt ceiling on the Redevelopment Assistance Capital Project (RACP) borrowing system by $50 million each year beginning in 2018 until it reaches $2.95 billion. The current RACP debt ceiling is $3.45 billion.

“When government borrows money, taxpayers essentially have to pay twice,” said Benninghoff. “Taxpayers have to pay back the loan amount plus they also have to pay interest.”

Benninghoff’s legislation now heads to the full House for consideration.

Representative Kerry Benninghoff
171st District
Pennsylvania House of Representatives
Media Contact: Dan Massing
717.772.9845
dmassing@pahousegop.com  
KerryBenninghoff.com / Facebook.com/RepBenninghoff
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