"I'm looking forward to working with you on the campaign trail," Pitts said to a lunchtime crowd of supporters at Royer's South Church Street office. "It's a winnable office."
Royer campaigned against McIlvaine Smith in 2006 and narrowly lost following a recount. The publicity surrounding the recount has proved helpful in this campaign.
"I've been out since January knocking on doors. Everyone remembers me," Royer said.
"People are frustrated when the economy slows down. People look at how the state spends money, and they want new leadership," Royer said.
He unveiled an eight-point plan for changing the way the state spends money and taxes families and businesses.
Chief among his proposals is to increase state funding for education. The West Chester Area School District, in particular, receives the minimum state funding increases, he said, which is one reason why property taxes are rising.
According to McIlvaine Smith, Gov. Ed Rendell's recent budget includes a 6 percent increase in education spending over the 2007-08 fiscal year.
Royer would also limit increases in state spending to the inflation rate and require what Royer called a "super majority," or a two-thirds majority in both houses, to approve any tax increases.
Royer also called for a cut in state income taxes. He suggested the personal income tax rate should be rolled back from its current 3.07 percent to 2.99 percent. He also wants to put a freeze on the property taxes of senior citizens when they reach retirement age or eliminate property taxes for seniors who earn less than $40,000 a year.
Royer would also cut business taxes. He is endorsing a 50 percent reduction in the utility gross receipts tax that he says will cut electric bill taxes by $1.6 billion over the next five years.
He also has a series of taxes he would phase out or end, such as the capital stock and franchise tax. And he would advocate for removing the cap on research and development tax credits.
"Pennsylvania's small businesses are the backbone of our state's economy, and they are being hit particularly hard by our sluggish economic situation," Royer said.
The former borough councilman also pressed for the need to invest in alternative energy.
"We are so far behind the eight-ball for getting grants for alternative energy compared to other states," Royer said. "We need to provide meaningful tax relief to companies who are on the edge of new technologies for wind and solar."
The recent budget passed in Harrisburg includes a $650 million energy fund that provides, among other things, grants for households and small businesses to buy solar power systems and sell excess power back to the grid.
Pitts said he also supported investment in alternative energies, such as solar and wind, and promotes increased conservation.
"You can add all the renewable energy supplies and it amounts to only 1 percent of our need. If you add improving conservation, it will only amount to 6 percent of our need," said Pitts.
"China is building 400 coal-fired power plants and 40 nuclear power plants. We need to increase our investment in new technologies such as clean coal," the congressman said.
But most of all, the country needs to drill for oil on its own shores, Pitts said.
He criticized House Speaker Nancy Pelosi, D-Calif., whom he says will not allow legislation to come to the floor for drilling in protected areas, such as the Gulf of Mexico and federally protected land.
John Hangar, president of PennFuture, a Pennsylvania environmental advocacy group, said whichever political party controls the House also controls the legislative agenda.
"When the Republicans were in power, they were ruthless in controlling the agenda," said Hangar.
Hangar disagreed that America can drill its way out of the gas crisis.
"The truth of the matter is that the price of oil and natural gas is set in global markets. In 2007, there was record drilling for natural gas in the United States. There is a natural gas rush in Pennsylvania. But unfortunately, residents of the state don't get a break on the price. They still sell at the global price," said Hangar.
"We have 3 percent of the entire oil supply, and we consume 25 percent of the world's supply. If we want to get off our addiction to oil, we have to invest in hybrids and biodiesel and other fuels. We have to transition off of oil. If we had done it 35 years ago during the first Arab oil embargo, we wouldn't be in this mess."


