GOV. WOLF NAMES CABINET PICKS

Gov. Tom Wolf was officially sworn into office on Jan. 20, and has completed nominations for leaders of state agencies and other key cabinet members to serve in his administration.

Montgomery County Commissioner Leslie Richards has been named Secretary of the Department of Transportation. Richards' experience includes civil engineering as well as transportation infrastructure project management. Prior Secretary Barry Schoch will remain as a special adviser to the governor. At the Department of Human Services, Gov. Wolf has nominated Ted Dallas, formerly Secretary of the Maryland Department of Human Resources, the agency which oversees human services programs in that state. Previously, Dallas served for five years as the executive deputy secretary of the Pennsylvania Department of Public Welfare.

Dr. Karen Murphy, who served as director of the State Innovation Models Initiative at the Center for Medicare and Medicaid Innovation, was chosen as Secretary of Health. For the Department of Environmental Protection, the governor nominated John Quigley, who served as the Secretary of the Department of Conversation and Natural Resources under the Rendell Administration, while Russell Redding will return as Secretary of Agriculture, having served in that role from 2009 to 2011 and as deputy secretary for a number of years prior to that.

Gov. Wolf also nominated several secretaries with county background, including Teresa Osborne to head the Department of Aging, who served as the executive director of the Luzerne/Wyoming Area Agency on Aging, and Dennis Davin, previously Allegheny County's economic development director, who was tapped as Secretary of Community and Economic Development. In addition, Wolf has retained Secretary John Wetzel for the Department of Corrections and Secretary Gary Tennis of the Department of Drug and Alcohol Programs. All secretarial nominations require a confirmation vote by a majority of the Senate.

Also, Randy Albright was named Budget Secretary. Albright served as executive director of the Senate Democratic Appropriations Committee and has more than 20 years of experience as a legislative budget analyst.

WOLF BUDGET TASK FORCE RELEASES BUDGET REPORT

As part of his transition team, Gov. Wolf established a special Budget Deficit and Fiscal Stabilization Task Force tasked with determining the scope of the state's budget deficit and how to address it.

The Task Force, on which Montgomery County Commissioner Josh Shapiro served as vice chair, released its report in mid-January, finding the Commonwealth faces a $2.3 billion structural deficit fueled by cuts to corporate taxes and one-time fund transfers used to balance the state's FY 2014-2015 general fund budget. In particular, the report points to the continued phase-out of the capital stock and franchise tax, the single sales factor apportionment, increases in the net operating loss caps, and growth in tax credits and tax exemptions, as reasons exacerbating revenue growth. The report also cites nearly $2 billion in one-time revenue transfers and spending offsets. Coupled with an expected $1.8 billion in mandated cost growth, the report concludes this puts the programs used to fund the transfers at continued risk, dampens any potential revenue growth, and increases the FY 2015-2016 structural deficit.

The Task Force's report further notes that the deficit issue is compounded by a worsening credit rating due to increasing pension obligations, the lack of sufficient reserves, and demographics leading to slow growth. It also describes a federally mandated change in the gross receipts tax that Pennsylvania levies on managed care organizations, which currently saves the state $600 million annually by drawing down federal funds for the state's Medical Assistance managed care program, known as HealthChoices. An alternative funding source will need to be found in the coming legislative session, or there will be a need for additional state general funds to support HealthChoices beginning with FY 2016-2017.

SENATE ANNOUNCES COMMITTEE CHAIRS

The Senate Republicans and Democrats have selected their committee chairs for the 2015-2016 legislative session, and those who have jurisdiction over key county issues are listed here. A complete listing of committee chairs and members is available at www.pasen.gov.

Former CCAP member Sen. Gene Yaw (R-Lycoming) will again lead the Environmental Resources and Energy Committee, with Sen. John Yudichak (D-Luzerne). The Senate Finance Committee will be led by former CCAP member Sen. John Eichelberger (R-Blair) and Sen. John Blake (D-Lackawanna), while Sen. Stewart Greenleaf (R-Montgomery) continues to lead Judiciary along with Sen. Daylin Leach (D-Montgomery). Sen. Dominic Pileggi (R-Chester) takes the head of the Local Government Committee with Sen. Rob Teplitz (D-Dauphin).

COMMONWEALTH COURT ISSUES RULING IN COUNTY RECYCLING CASE

On Jan. 8, Commonwealth Court affirmed an order of the Environmental Hearing Board (EHB) denying Waste Management of Pennsylvania Inc.'s motion for summary judgment on the question whether Clearfield County's municipal waste plan revision violates Act 101, the state's Municipal Waste Planning and Recycling Act.

SEN. CASEY CALLS FOR INCREASED CDBG FUNDING 

U.S. Senator Bob Casey (D-PA) recently sent a letter to Housing and Urban Development (HUD) Secretary Shaun Donovan, calling on the Obama administration to increase funding for the Community Development Block Grant (CDBG) program in its FY2016 budget, which is scheduled to be released on Feb. 2.

NACO LEGISLATIVE CONFERENCE 

With the increasing importance of the federal agenda, counties should make plans to attend the National Association of Counties Legislative Conference, to be held in Washington, D.C. on February 21-25, 2015. The Conference includes sessions on a broad range of federal issues. NACo's policy committees will also meet during the Conference, to develop the national county legislative work plan. This year's Conference also blocks additional time for visits to Capitol Hill. The Conference agenda and online registration information are now available on the NACo website, www.naco.org.

2015 COUNTY PRIORITIES TO BE ANNOUNCED 

On Wednesday, Feb. 11, CCAP officers will unveil county 2015 legislative priorities with a press conference at 2 p.m. at the state Capitol in Harrisburg. Fact sheets, talking points and other materials providing more detail on the priorities will be available at www.pacounties.org under What's New beginning on Feb. 11.