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Pennsylvania Leaders Coalesce Around $50.1 Billion Budget Framework, Setting Up Votes To End Prolonged Impasse

Lawmakers reconvened in Harrisburg for potential action following leader-level negotiations led by Gov. Josh Shapiro.

Overview

  • Sources say the proposed spending plan totals about $50.1 billion, a roughly 4.7% increase over last year, with final details still being drafted.
  • The House scheduled a voting session for Wednesday morning and the Senate announced a return Tuesday, signaling budget legislation could be unveiled soon.
  • More than $5 billion in state payments to school districts have been delayed since July, with counties and social service providers also facing cash shortfalls.
  • Districts have turned to short-term borrowing; Philadelphia authorized up to $1.55 billion, has drawn $585.5 million, and could owe roughly $30 million in interest.
  • Negotiations continue over education funding distribution and a Republican push to exit the Regional Greenhouse Gas Initiative, as some districts warn they may not operate past January without state funds.