HARRISBURG, Pa. (7/23/15)--PSECU, Harrisburg, Pa., is prepared to provide financial assistance to Pennsylvania General Assembly employees affected by the state’s budget impasse.
“PSECU was founded in 1934 to help state employees manage their money during tough economic times,” Christopher Gray, PSECU government relations manager, told News Now. “For more than 80 years, we have not forgotten the 22 people who founded us or the reason why we were founded. We exist to serve our members.”
Gov. Tom Wolf, a Democrat, vetoed a Republican-crafted budget June 30. The state’s fiscal year began July 1 with a wide gap between Democrats and Republicans on the budget (Scranton Times July 20). Democrats want to boost education funding and raise sales and personal income taxes, while Republicans are opposed to tax hikes.
State employees will continue to be paid through the impasse, said Gray. Compensation for Pennsylvania state employees during such an impasse is protected under a court ruling as a result of the 2009 impasse.
However, General Assembly employees are not under the governor’s jurisdiction and are reliant upon reserve funds for their pay. Each caucus is paying employees from the reserves, which could soon be depleted.
PSECU is offering affected members a 0% annual line of credit available during the impasse and for 30 days after the budget is signed by the governor. Any remaining balance after that time will begin to accrue interest at 2.9% APR.
“We understand the impact the budget impasse has on our members and want to provide assistance during this stressful time,” Gray said. “Credit unions were founded on the philosophy of ‘people helping people,’ and this is one way to fulfill that mission.”