PA Public Welfare: The math and the message

There are 40 state agencies and departments in Pennsylvania that require funding in order to operate. These include Education, Economic Development, Public Welfare, the Liquor Control board, Civil Service, Ethics, Veterans Affairs and 33 others.

To operate these agencies, Governor Corbett has established a $63.6 billion dollar budget. The money to fund this budget comes from four different sources–with much of those four sources funded by you, the taxpayer. For the sake of perspective on public welfare, I’d like to break that $63.6 billion dollars down.

$27.3 billion dollars of this budget are funds collected from Pennsylvania taxpayers including state sales tax, state income tax and other taxes. These tax revenues go into what’s called Pennsylvania’s “General Fund.” $11.2 billion dollars of the General Fund is allocated for Public Welfare. That’s 43%.

$4.34 billion dollars comes from collection of other taxes and fees, such as gasoline tax and motor licensing fees. The monies collected from sources like these are part of what is called “Special Funds.” $121.3 million dollars of Special Funds is allocated for Public Welfare. That’s 3%.

$9.8 billion dollars comes from what is called “Other Funds.” “Other Funds” are dedicated for specific programs such as Workers Compensation and Unemployment Compensation. $1.8 billion dollars of Other Funds are dedicated to Public Welfare. That’s 18%.

Finally, some of the money for Pennsylvania’s operating budget comes from the Federal Government or “Federal Funds.” The Federal Government will give $22 billion dollars to Pennsylvania for 2011-12. $14.5 billion of those funds are specifically earmarked for Public Welfare. That’s 70% of the return on your federal tax dollars, going to Public Welfare.

There is great debate over how much each agency should require in funding, and much debate over whether each agency fulfills its mission, whether or not its mission is necessary at all, and whether or not there is waste and abuse within the ranks.

For one single agency, PUBLIC WELFARE, Governor Corbett will allocate 43% of the General Fund, 18% of Other Funds, 3% of Special Funds, and 70% of Federal Funds. That’s 43% of Governor Corbett’s $63.6 billion dollar operating budget, a budget funded by hard-working Pennsylvanians, that is allocated to just one agency.

There are 39 other agencies that do not receive such unprecedented priority, and many would argue that surely on one of these other agencies, perhaps Higher Education, or Economic Development, the priority would be better placed and bring greater return on the hard work that generates all those tax dollars.

Those are the facts. Where my opinion is welcome, I would offer that there is a clear message in these numbers. The message, in my humble opinion, is that toward those who do not demonstrate ability to contribute, the Government communicates an attitude of superiority that suggests these people are worth little, they are “uneducatable” and too stupid to realize their Government is cheating them by appeasing them with meager rations rather than giving a true helping hand. They laugh at these people who think they’re making out on the deal, and in some cases, they laugh even harder at those who think they’re getting one over on the system.

Toward those of us who have demonstrated ability to contribute, the Government communicates an attitude of arrogance and indifference that suggests we are not smart enough to realize our Government has cheated us as well. Rather than assist them in becoming fellow thinkers and contributors, they have insulted and forsaken our fellow citizens and us–and have done so at taxpayer expense. They have saddled on our back the resulting burden which is called “43%,” and they laugh as, like pack mules, we carry the load. I suppose we do look silly.

Mention Public Welfare and you’ll no doubt hear lament about the people who refuse to work, or illegal aliens who collect at the expense of legal citizens who will work. But this is not the real story of Public Welfare. These are just the symptoms.

Yes, people cheat the system, but the biggest, most egregious cheater is the Government who allows it, and their constituents to pay for it, because it’s more convenient than being honest and responsible. To focus collective anger toward those who collect from this bogus system serves only to misdirect the focus and absolve an irresponsible Government. Public Welfare tells a story, not about abuse by the people, but about abuse of the people.