Lehigh Times

Jul. 01, 2024

By State Rep. Ryan Mackenzie (R-Lehigh)

As Americans grapple with a 20% increase in overall prices since President Joe Biden took office, it is clear his administration’s economic policies have ushered in higher prices for everyone. Gas prices have soared by 55%, airfare has jumped nearly 40%, electricity costs are up 29%, and rent and grocery prices have surged by 21%. Perhaps most alarmingly, the monthly mortgage payment on a median-priced home has skyrocketed by a staggering 119%.

The actual Consumer Price Index has reached an all-time high, repeatedly underscoring the cumulative effects of these price hikes during Biden’s tenure. Despite the administration’s attempts to downplay the situation, the year-over-year inflation rate held steady at 3.4% in May—unchanged from the previous month and significantly above the Federal Reserve’s target rate. This persistent inflation is a direct consequence of misguided federal policies.

These rising costs have not occurred in a vacuum. The Biden administration’s approach has exacerbated the financial burdens on American families. From the reckless spending of massive stimulus packages to regulatory overreach that stifles economic growth, federal government policies have contributed to the ongoing inflation crisis. The result is diminished purchasing power for everyday Americans, making it harder for many families to afford basic necessities.

The impact of these price increases is deeply felt in Pennsylvania. Hardworking families are struggling to make ends meet as their paychecks fail to keep up with rising costs. However, there is hope. Government initiatives on the state level can provide some relief and help mitigate the impact of federal mismanagement.

One such initiative is Senate Bill 269, which proposes to reduce the Commonwealth’s Personal Income Tax rate from 3.07% to 2.8%. This tax cut would put more money back into the pockets of Pennsylvania residents, offering immediate financial relief. Additionally, the bill seeks to eliminate the Gross Receipts Tax on energy, effective Jan. 1, 2025, addressing one of the critical areas where costs have surged. By reducing the tax burden on energy, we can help lessen the strain high energy costs have placed on household budgets.

Moreover, the Pennsylvania Family Tax Relief Plan I unveiled last year aims to further support families during these inflationary times. My legislative package includes proposals to cut state taxes on essential items such as children’s books, toys, cribs, and strollers. By reducing the cost of these necessities, we can ease the financial burden on young families.

Another significant development in the fight against rising living costs is enhancing the Child and Dependent Care Tax Credit included in the 2023-24 state budget. This proposal has already benefited about 200,000 families across Pennsylvania by providing much-needed tax savings.

However, not all legislative actions would be beneficial. House Democrats are advancing a bill that would raise prevailing wages on projects supported by public funding, including affordable housing projects. At a time when more affordable housing is desperately needed in Pennsylvania, this bill could reduce such projects' number and worsen the housing crisis.

By reducing taxes and supporting essential services, we can help mitigate inflation's impact and support Pennsylvania families and individuals. It is imperative we continue pursuing policies that alleviate financial burdens and promote economic stability rather than aggravating our communities' challenges.

Representative Ryan Mackenzie

187th Legislative District

Pennsylvania House of Representatives

Media Contact: Andy Briggs

717-260-6474

abriggs@pahousegop.com

RepMackenzie.com / Facebook.com/RepMackenzie