The Plan for a New Pennsylvania

The first piece of legislation Rendell introduced was The Plan for a New Pennsylvania. The Plan proposed to use revenue from slot machines to reduce taxes by $1.5 billion (an average 30% decrease for homeowners). It also planned to increase education funding by $687 million. To pay for the plan, it proposed an income tax increase from 2.80% to 3.75% and an increase in utilities and beer taxes. The plan was passed with a reduced tax increase to 3.07% instead of 3.75% and a reduced increase in education funding by $450 million instead of $687 million. The final budget deal included additional taxes on cigarettes and utilities.

Later that year, the Rendell administration also passed a prescription drug plan that covered older Pennsylvanians.

Budget

In his first year, Rendell created the Office of Management and Productivity. The goal was to cut $1 billion in administrative expenses. Part of Rendell's productivity initiative was strategic sourcing, in which he modified the Commonwealth's old procurement system. This resulted in $180 million in annual savings (dead link) and quadrupled Pennsylvania's minority and women-owned business participation rate.

Property taxes

In 2004, Rendell persuaded the Pennsylvania General Assembly to pass measures to legalize and tax slot machine parlors and use the revenues to reduce property taxes. Prior to these measures, horse racing and the state-run lottery were the only legal forms of gambling in Pennsylvania.

In an agreement with the legislature, Rendell accepted a provision that required tax reductions only in areas where local school boards voted to accept the funding. The measure known as Act 72 funding was accepted by one-fifth of Pennsylvania's school districts.

Rendell and the Pennsylvania legislature looked at other proposals to reduce property taxes. The governor said he considered legislation that changed Act 72. Legislative proposals mandated school districts to accept the funding. Other proposed legislation required the issue to be decided on through a ballot question rather than by school boards.

Legislative salary raise

In 2005, Rendell received criticism from the public and press for signing a pay raise for legislators. Later, he signed the measure's repeal. In 2007, pay raise was a large issue in central and western Pennsylvania. Rendell criticized the Pennsylvania Higher Education Assistance Agency (PHEAA) and its executive salaries and expenses, to use PHEAA's profits from federal student loan revenues to help finance the Commonwealth's need-based state grant program for undergraduate post-secondary education (both for grants and for the administration of the program). However, PHEAA, is not a direct state government department. It was created as a quasi-governmental agency by the Pennsylvania General Assembly and is governed by a Board comprised primarily of members of the Pennsylvania House of Representatives and Senate.

Shale drilling ban

Gov. Rendell signed an executive order on October 26, 2010, that banned any further leasing of state lands for Marcellus shale drilling. He said concerns over the certification of an environmentally stable forest justified the moratorium. He also cited a report from the Department of Conservation and Natural Resources (DCNR), which suggested any additional leases for Marcellus shale gas drilling could endanger the “quality and character of these tracts.”

The DCNR report calculated that Pennsylvania managing its forests in a sustainable manner was worth about $6 billion to the forest products industry at the time.

"Drilling companies’ rush to grab private lands across the state has left few areas untouched by this widespread industrial activity," said Mr. Rendell. "We need to protect our un-leased public lands from this rush because they are the most significant tracts of undisturbed forest remaining in the state. The House led the way to protect these lands, but the Senate failed to do so. That’s why it’s clear we need this executive order."

The moratorium did not affect any drilling on state lands already leased, which included approximately 700,000 of Pennsylvanian's 2.2 million acres of forest land.

$45 Million For Pittsburgh Mass Transit

On December 2, 2010, Gov. Rendell said he found $45 million in federal taxpayer funds and wanted to give it to the bankrupt Allegheny County Port Authority so it could keep its regional public transit network running at full capacity for another six months.

The authority announced a 35 percent cut in service in March and a significant fare increases on Jan. 1. They were projected to lay off 500 workers in an effort to cope with a $47 million shortfall in its operating budget. The newly redirected federal funding allowed the authority to maintain existing operations through the end of June, Rendell said.

RACP funding

With two weeks left in his term, Rendell topped the $2 billion mark in taxpayer funds distributed through the state’s Redevelopment Assistance Capital Program (RACP).

The money comes through state bond issues, so taxpayers will ultimately offer nearly $3 billion to pay off the debt over the next 22 to 30 years.

RACP funds require a matching amount from project developers, which are frequently taxpayer-funded bond issues from lower levels of government.

In early December 2010, Rendell committed to 19 projects in Pittsburgh and Allegheny County for $84 million. At the same time, Warren and Erie counties took in $45 million the governor claimed would leverage $68 million in additional private funding in the state's northwestern corner.

Later in December 2010, Rendell pushed about $100 million into the stockings of businesses and developers in the Philadelphia region, bringing RACP funding to at least $2.11 billion between 2003 and 2010.

Governor-elect Tom Corbett's transition team said Corbett was facing a $4 to $5 billion operating shortfall in the spring and would examine all outstanding projects that have not been “signed, sealed and delivered.”

Mayor of Philadelphia (1992-2000)

Rendell was the first Jewish mayor of Philadelphia. He was first elected in 1991, his second mayoral campaign. In 1987, he ran for the Democratic nomination against the incumbent mayor, W. Wilson Goode—a race in which some of the Philadelphia Black Clergy charged that Rendell reneged on a promise not to run against Goode. The fallout hung over Rendell as he entered the 1991 campaign, but he benefited from a multi-candidate primary. In the Republican primary, the notable former Philadelphia mayor, Frank L. Rizzo, won against Ron Castille, who had resigned his office as District Attorney in order to run for mayor. Rizzo died in the summer of 1991. Rendell won by more than a 2-1 margin against Joseph M. Egan, Jr., Rizzo's replacement on the Republican ticket.

As mayor, Rendell faced many fiscal problems. To oversee Philadelphia's fiscal issue, the state legislature established a fiscal oversight board. Rendell cut a $250 million deficit, balanced Philadelphia's budget, and oversaw five consecutive years of budget surpluses. He also reduced business and wage taxes for four consecutive years, implemented revenue-generating initiatives, and improved services to Philadelphia neighborhoods. Due to his cost-cutting policies, he received strong opposition from labor unions; however, he was re-elected in 1995, receiving 80% of the vote and defeating Republican Joe Rocks. On December 21, 1999, shortly before the end of his term, Rendell resigned to become the chair of the Democratic National Committee (DNC). Mayor-elect John Street became mayor.

The best-selling book A Prayer for the City by Buzz Bissinger, a former journalist documents Rendell's first term as mayor. Bissinger had access to Rendell during his first term. The New York Times described Rendell's job as mayor as "the most stunning turnaround in recent urban history." Rendell was nicknamed "America's Mayor" by Al Gore and chaired the DNC during the 2000 presidential election.

District Attorney of Philadelphia (1977-1986)

Rendell was elected district attorney of Philadelphia in 1977. In the primary election, he defeated the incumbent, F. Emmett Fitzpatrick (D). In his campaign, he highlighted that he was a political newcomer and was not corrupt. He served two terms before resigning in 1986 to run for Pennsylvania Governor. He was defeated in the Democratic primary for Governor by Robert P. Casey, Sr.

Rendell was elected the 45th Governor of Pennsylvania in November 2002, and first assumed office on January 21, 2003. He won re-election in 2006. Rendell was succeeded by Republican Tom Corbett in January of 2007. When Rendell announced his intent to run for the Democratic Nomination for Governor of Pennsylvania, he did not have the support of the state party. The Pennsylvania Democratic Party supported Bob Casey. In the primary, Rendell won the nomination, winning six out of 67 counties: Philadelphia County, the Philadelphia Suburban counties of Bucks, Berks, Chester, Montgomery and Delaware, and Allegheny County (home of Pittsburgh). In the November 2002 gubernatorial election, he defeated Mike Fisher (R) 53% to 45%. In addition to Philadelphia County, Rendell also won traditionally Republican suburbs of Philadelphia. Traditionally Republican voters who backed Rendell were dubbed Rendellicans by the media and were a key part of the success of his campaign.

Issues

The Plan for a New Pennsylvania

The first piece of legislation Rendell introduced was The Plan for a New Pennsylvania. The Plan proposed to use revenue from slot machines to reduce taxes by $1.5 billion (an average 30% decrease for homeowners). It also planned to increase education funding by $687 million. To pay for the plan, it proposed an income tax increase from 2.80% to 3.75% and an increase in utilities and beer taxes. The plan was passed with a reduced tax increase to 3.07% instead of 3.75% and a reduced increase in education funding by $450 million instead of $687 million. The final budget deal included additional taxes on cigarettes and utilities.

Later that year, the Rendell administration also passed a prescription drug plan that covered older Pennsylvanians.

Budget

In his first year, Rendell created the Office of Management and Productivity. The goal was to cut $1 billion in administrative expenses. Part of Rendell's productivity initiative was strategic sourcing, in which he modified the Commonwealth's old procurement system. This resulted in $180 million in annual savings (dead link) and quadrupled Pennsylvania's minority and women-owned business participation rate.

Property taxes

In 2004, Rendell persuaded the Pennsylvania General Assembly to pass measures to legalize and tax slot machine parlors and use the revenues to reduce property taxes. Prior to these measures, horse racing and the state-run lottery were the only legal forms of gambling in Pennsylvania.

In an agreement with the legislature, Rendell accepted a provision that required tax reductions only in areas where local school boards voted to accept the funding. The measure known as Act 72 funding was accepted by one-fifth of Pennsylvania's school districts.

Rendell and the Pennsylvania legislature looked at other proposals to reduce property taxes. The governor said he considered legislation that changed Act 72. Legislative proposals mandated school districts to accept the funding. Other proposed legislation required the issue to be decided on through a ballot question rather than by school boards.

Legislative salary raise

In 2005, Rendell received criticism from the public and press for signing a pay raise for legislators. Later, he signed the measure's repeal. In 2007, pay raise was a large issue in central and western Pennsylvania. Rendell criticized the Pennsylvania Higher Education Assistance Agency (PHEAA) and its executive salaries and expenses, to use PHEAA's profits from federal student loan revenues to help finance the Commonwealth's need-based state grant program for undergraduate post-secondary education (both for grants and for the administration of the program). However, PHEAA, is not a direct state government department. It was created as a quasi-governmental agency by the Pennsylvania General Assembly and is governed by a Board comprised primarily of members of the Pennsylvania House of Representatives and Senate.

Shale drilling ban

Gov. Rendell signed an executive order on October 26, 2010, that banned any further leasing of state lands for Marcellus shale drilling. He said concerns over the certification of an environmentally stable forest justified the moratorium. He also cited a report from the Department of Conservation and Natural Resources (DCNR), which suggested any additional leases for Marcellus shale gas drilling could endanger the “quality and character of these tracts.”

The DCNR report calculated that Pennsylvania managing its forests in a sustainable manner was worth about $6 billion to the forest products industry at the time.

"Drilling companies’ rush to grab private lands across the state has left few areas untouched by this widespread industrial activity," said Mr. Rendell. "We need to protect our un-leased public lands from this rush because they are the most significant tracts of undisturbed forest remaining in the state. The House led the way to protect these lands, but the Senate failed to do so. That’s why it’s clear we need this executive order."

The moratorium did not affect any drilling on state lands already leased, which included approximately 700,000 of Pennsylvanian's 2.2 million acres of forest land.

$45 Million For Pittsburgh Mass Transit

On December 2, 2010, Gov. Rendell said he found $45 million in federal taxpayer funds and wanted to give it to the bankrupt Allegheny County Port Authority so it could keep its regional public transit network running at full capacity for another six months.

The authority announced a 35 percent cut in service in March and a significant fare increases on Jan. 1. They were projected to lay off 500 workers in an effort to cope with a $47 million shortfall in its operating budget. The newly redirected federal funding allowed the authority to maintain existing operations through the end of June, Rendell said.

RACP funding

With two weeks left in his term, Rendell topped the $2 billion mark in taxpayer funds distributed through the state’s Redevelopment Assistance Capital Program (RACP).

The money comes through state bond issues, so taxpayers will ultimately offer nearly $3 billion to pay off the debt over the next 22 to 30 years.

RACP funds require a matching amount from project developers, which are frequently taxpayer-funded bond issues from lower levels of government.

In early December 2010, Rendell committed to 19 projects in Pittsburgh and Allegheny County for $84 million. At the same time, Warren and Erie counties took in $45 million the governor claimed would leverage $68 million in additional private funding in the state's northwestern corner.

Later in December 2010, Rendell pushed about $100 million into the stockings of businesses and developers in the Philadelphia region, bringing RACP funding to at least $2.11 billion between 2003 and 2010.

Governor-elect Tom Corbett's transition team said Corbett was facing a $4 to $5 billion operating shortfall in the spring and would examine all outstanding projects that have not been “signed, sealed and delivered.”

Rendell was the first Jewish mayor of Philadelphia. He was first elected in 1991, his second mayoral campaign. In 1987, he ran for the Democratic nomination against the incumbent mayor, W. Wilson Goode—a race in which some of the Philadelphia Black Clergy charged that Rendell reneged on a promise not to run against Goode. The fallout hung over Rendell as he entered the 1991 campaign, but he benefited from a multi-candidate primary. In the Republican primary, the notable former Philadelphia mayor, Frank L. Rizzo, won against Ron Castille, who had resigned his office as District Attorney in order to run for mayor. Rizzo died in the summer of 1991. Rendell won by more than a 2-1 margin against Joseph M. Egan, Jr., Rizzo's replacement on the Republican ticket.

As mayor, Rendell faced many fiscal problems. To oversee Philadelphia's fiscal issue, the state legislature established a fiscal oversight board. Rendell cut a $250 million deficit, balanced Philadelphia's budget, and oversaw five consecutive years of budget surpluses. He also reduced business and wage taxes for four consecutive years, implemented revenue-generating initiatives, and improved services to Philadelphia neighborhoods. Due to his cost-cutting policies, he received strong opposition from labor unions; however, he was re-elected in 1995, receiving 80% of the vote and defeating Republican Joe Rocks. On December 21, 1999, shortly before the end of his term, Rendell resigned to become the chair of the Democratic National Committee (DNC). Mayor-elect John Street became mayor.

The best-selling book A Prayer for the City by Buzz Bissinger, a former journalist documents Rendell's first term as mayor. Bissinger had access to Rendell during his first term. The New York Times described Rendell's job as mayor as "the most stunning turnaround in recent urban history." Rendell was nicknamed "America's Mayor" by Al Gore and chaired the DNC during the 2000 presidential election.

Rendell was elected district attorney of Philadelphia in 1977. In the primary election, he defeated the incumbent, F. Emmett Fitzpatrick (D). In his campaign, he highlighted that he was a political newcomer and was not corrupt. He served two terms before resigning in 1986 to run for Pennsylvania Governor. He was defeated in the Democratic primary for Governor by Robert P. Casey, Sr.