Governor Rendell will, for the final time tomorrow, present his budget address to the General Assembly.   When I worked in Harrisburg, I came to learn that this was easily any governor's most important speech.   This speech begins the annual process of establishing the state's budget, which, as we learned last year, affects communities like ours in many ways.  

Now we all know that last year didn't go too well.  In truth, the final parts of the budget weren't completed until early January, well past the June 30 deadline.   And as we enter this year's budget process, the picture isn't pretty.   The state will reportedly begin the process with a significant deficit, which surely won't make the process easier.

But somehow we need our legislators to deal with the serious issues facing Pennsylvania cities.  Reading's Act 47 status is only one of the many symptoms of a badly broken system of state laws governing our cities.   As we dive deeper into the situation facing the City of Reading, it becomes clearer that no set of choices available to cities like Reading.  Along with other community foundations and the Department of Community and Economic Development, we funded a study that compared the fiscal health of five Pennsylvania cities. In short, it showed them all in terrible financial shape and without many obvious alternatives.

The legislature hasn't been too warm to a suggestion from city advocates that it authorize a local option sales tax to help benefit struggling municipalities.   And they didn't like meaningful pension reforms that would have lowered costs.  But they're going to have to do something.

So here's hoping that the Governor will have an idea or two that the legislature can agree to.   Time is running out for Pennsylvania's cities.

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