May 2025

The Hill Report

Representing the interests of more than 3,000 members across Pennsylvania, the Manufacturer & Business Association's Government Affairs is your voice on local, state and federal issues.

What's in This Newsletter

Just the Facts From a Pro-Business Point of View

"An informed citizenry is the foundation of a democracy."

  • ISSUES SHARED - Waldameer Park, Inc., Steve Gorman, President
  • TARIFF WATCH - Where we are with auto tariffs
  • STATE - Increase Your Understanding - Transit is in the NEWS! 
  • FEDERAL - What’s Happening in Congress RE: Trump’s “Big Beautiful Bill”
  • Three Reasons Why Public Transit is a Critical Workforce Issue - MBA Business Magazine
  • GOOD NEWS

STATE UPDATE

Important Date - 6/30/25 – The budget should be passed by this date. IMHO - It may be delayed.

 

Increase Your Understanding - Transit is in the NEWS!

 

How Mass Transit Is Funded in Pennsylvania and Current Shortfalls

  • Public Transportation Trust Fund PTTF) and gets revenue from vehicle and non-vehicle sales taxes, automobile fines and fees, and a small amount from PA turnpike revenues. 
  • State Sales and Use Tax: 4.4% of the state sales tax is dedicated to transit.
  • Fare Revenues: Fares cover only a small portion of operating costs
  • Federal Funds: Transit agencies have sometimes received federal bailouts and grants.


Mass Transit Funding Shortfalls

The Pittsburgh Regional Transit facing a $100 million shortfall and SEPTA, Philadelphia region, is projecting a $213 million deficit. Cuts in service, fare increases, and other measures to address the budget gaps are proposed.

 

Proposal for Transportation Funding

House Bill 1364 – Provides for Governor Shapiro’s proposed increase to state funding by 1.75% from 4.4% adding nearly $300 million statewide. Lawmakers have proposed additional transit funding by raising the rental car fee from $2 to $6.50, car lease fee from 3% to 5%, and establishing a 6% excise tax on ride-hailing services.

 

Senate Majority Leader Joe Pittman - He recognizes the importance of transit and insists taxpayers should have assurance that the billions spent provides safe, reliable, and efficient transportation. Republican lawmakers want similar investments in highways and other modes of transportation that serve rural communities.

 

PA Primary Election 2025: A guide to candidates for commonwealth and superior courts

by Katie Meyer, Spotlight PA, 4/17/2025

 

On May 20, Democrats and Republicans will choose their parties’ candidates for a vacancy on Commonwealth Court and on Superior Court. The winners will compete in the November general election.

 

Pennsylvania’s two intermediate appellate courts have the power to affirm or reverse decisions made in lower courts. Their rulings can be appealed to the state Supreme Court, Pennsylvania’s court of last resort…

 

CLICK HERE

FEDERAL UPDATE

What’s Happening in Congress RE: Trump’s “Big Beautiful Bill”

 

Key committees now have language that constitutes the core of House Republican’s budget reconciliation package.

 

The legislation’s primary goal is making President Trump’s 2017 tax cuts permanent. Several campaign promises must also be addressed - no taxes on tips or overtime pay.

 

Lawmakers must reach $1.5 trillion in spending cuts to offset the cost of extending Trump's 2017 tax cuts. The proposed changes to Medicaid are expected to save $715 billion along with another $197 billion from additional changes unrelated to Medicaid,

 

House Speaker Mike Johnson’s aims to pass the bill by Memorial Day. It will then move to the Senate who no doubt will want some changes. The real deadline is mid-July when Congress needs to increase U.S. borrowing authority. The debt ceiling is increased for five years in the bill.

 

One of the most contentious issues in the budget is SALT: if one itemizes deductions, they can deduct some of the taxes they paid to state and local governments. Currently the cap is $10,000 but some members of the committee insist the provision should be over $30,000.


DEFINITION: What is budget reconciliation?

“Congress sometimes uses a special legislative process called “reconciliation” to quickly advance high-priority fiscal legislation…reconciliation allows for expedited consideration of certain tax, spending, and debt limit legislation. In the Senate, reconciliation bills aren’t subject to filibuster and the scope of amendments is limited, giving this process real advantages for enacting controversial budget and tax measures…”

“Introduction to Budget Reconciliation,” By Richard Kogan and David Reich, Center on Budget Policy and Priorities, 5/6/22

ISSUES & OBSERVATIONS

Waldameer Park, Inc.  

Steve Gorman, President


“Waldameer & Water World is proudly family owned and operated. Waldameer is currently the sixth oldest continuously operating amusement park in the United States…” … “We are easy to get to on the shores of Lake Erie just before the entrance to beautiful Presque Isle State Park in Erie, Pennsylvania. Waldameer proudly offers FREE Parking, FREE Admission into the amusement park…”

 

When one speaks with the president of a successful family company that’s been in business since 1896, it is apparent they have overcome numerous issues during 129 years and that they have innovated numerous times. 

 

Think of it. A seasonal business that runs early May until Labor Day has 81 days to make enough money to cover an entire year’s bills and then bank some for the future. Keep in mind that weather can be a friend or foe.

 

Steve Gorman has been with Waldameer for 30 years. The park has survived the ups and downs of the economy because of affordability, the Waldameer niche. With free admission, a safe environment, and free parking, people can pay per ride or utilize budget-friendly options including day passes and season passes. This is terrific

way to attract families with kids, mortgages, childcare costs, and other major expenses.

 

Their 19 picnic pavilions serve patrons well. Waldameer has a steady group business with scouts, churches, family reunions and company gatherings. Advertising helps promote the park for families and groups. Aside from their website they use social media, billboards, TV, and radio marking a move away from the days of mailed flyers.

 

During Steve’s 30 years at Waldameer they have added 18 new rides and tripled the size of the water park. The importance of new rides and attractions cannot be overstated. Ninety per cent of their customers are from Erie, and often repeat customers.

 

Adding new rides each year introduces another set of problems. Waldameer is land-locked and at times was overcrowded. In 2023 they purchased 13 additional acres to add to the 52-acre grounds. That provides room to grow the crowd and parking capacity for years to come.

 

Waldameer is family-owned, and family operated. Of the 25 year-round employees, 4 are family. During the off-season, the staff research and constantly look for the next new thing. During the season they employ on average 650 part-time workers. Seasonal workers do not qualify for traditional benefits, but they do receive attractive perks, to keep them interested, motivated, and eager to return the following season. On average 56% return.

 

Steve noted there are different shifts available to meet the workers where they are. College students often want lots of hours to help pay school expenses. Some work other jobs and are happy with weekend hours. Flexibility on Waldameer’s end is key.

 

We touched on the pandemic. 2020 was devastating; they were not permitted to open until mid-summer and revenue was down over 70%. Then in 2021, business really rebounded. People had stimulus cash to spend. Sounds good but the park was overwhelmed because they had less staff. As most businesses experienced, people did not want to return to work, especially in face-to-face jobs. Significantly increasing wages attracted more employees the following summer of 2022.

 

To continue growing they will need more seasonal employees. Workforce is adequate now, however, with an eye to future expansion they will have to address the problem of attracting employees. Workforce will be an issue, and like other businesses it may impact the ability to grow.

 

In conclusion, President Steve Gorman is a dedicated and empathetic leader, working 80 hours per week in season and 50 hours per week off season. What motivates Steve? What makes it all worth it? He recalls the times when he’s hired young 14-year-olds that he learns come from a fragmented household. The kids will work for several years to save up money for post-secondary education. They learn soft skills, responsibility and develop a work ethic. Then twenty years later they return to the park with their kids to say hello to Steve. For Steve that is a very rewarding part of his job - knowing that he provides opportunities for young people to take that first step into the workforce.

 

Congratulations Waldameer for your years of serving the Erie community and have a wonderful 2025 summer season!

GOOD NEWS

Issues & Innovations

Share Your Issue and Your Solution with Colleagues

 

MBA Government Affairs goal is to to stay on top of members’ business issues no matter what type of business. “What keeps you up at night?” Is it employee retention and attraction, taxes, regulations, UC, Workers Comp, inflation, cost of energy, lack of childcare. LMK! eileenanderson@mbausa.org

Some companies who have participated in Issues & Innovations:


Jamestown Coating Technologies

Harmony Castings, LLC

Alpine Packaging, Inc.

Magee Plastics Company

Creekside Springs, LLC

Belco Tool & Manufacturing, Inc.

Guy Chemical Company, Inc.

Western Pennsylvania Steel Fabrication, Inc.

Humes Chrysler Jeep Dodge Ram

Waldameer Park, Inc.


Business Magazine "On The Hill"

Three Reasons Why Public Transit is a Critical Workforce Issue

People understand the need for public transit in urban centers. That is TODAY — what’s HERE and NOW, in May 2025...

 

The MBA views transit as part of the workforce issue — workers need reliable transportation to and from workplace, as much as they need affordable childcare, education, training, and health care.

 

I dare employers to look ahead to May 2035, just 10 years away. For the sake of this article, we are putting aside transportation infrastructure, roads and bridges and focusing exclusively on public transit....


 Read more

Where we are with auto tariffs


Where we are with auto tariffs. Read this and Weep!



The U.S. auto industry is a heavyweight presence in the economy, representing 3% of Gross Domestic Product. American automakers and their suppliers directly employ 1.7 million people and indirectly support a net employment impact of more than 8 million jobs… It's the largest manufacturing sector in the country, impacting various aspects of the economy and society.  

…..FORBES

 

  • Tariffs on imported cars and car parts are 25%. Tariffs are added onto existing tariffs, including the 2.5% import tariff on vehicles that’s already in place, plus the longstanding 25% tariff on light trucks known as the “chicken tax.” *


  • 4/29/2025 changes: Trump exempted automobiles and subject to these 25% tariffs from being subject to the additional 25% tariff on their steel and aluminum content, as well as the extra 25% tariff on non-USMCA-compliant Canadian and Mexican goods.


  • Exceptions under the USMCA (United States-Mexico-Canada Agreement): passenger vehicles and light trucks are imported into the U.S. tariff-free if they meet criteria for using labor and percentages of content from North America. The tariff will apply to the value of the non-U.S. content in those cars.


  • Additionally, for U.S.-assembled cars, automakers can apply for import adjustment offsets for imported foreign parts of up to 3.75% of a car’s final MSRP (Manufacturer’s Suggested Retail Price) for the next year, with a drop to 2.5% in May 2026 and phased out entirely in May 2027.

 

* The Chicken Tax, implemented in 1964, applies to foreign-made commercial vehicles and light trucks. Full-size trucks are among the most popular vehicles in the U.S., but compact and mid-size trucks have been scarce unless they were built in North America.

… “How Trump’s 25% Tariffs on Automobiles, Automotive Parts Will Affect You,” By Stef Schrader, Cars.com, 4/29/2025

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