North Central PA Times

Senate Republicans are set to scrutinize Governor Josh Shapiro's proposed 2025-26 budget over the coming months. Senator Culver stated that the aim is to identify improvements for long-term fiscal stability in Pennsylvania.

The governor's $51.5 billion budget proposal suggests a $3.6 billion increase in state spending, marking a 7.5% rise from the current year's budget. Senate Republicans expressed concerns about future revenue projections and expenditure assumptions, suggesting they could deplete the state's emergency savings, known as the Rainy Day Fund, and necessitate a substantial tax increase on Pennsylvania families within 18 months.

According to Senate Republicans, Shapiro's plan could result in a $27.3 billion deficit over five years if realistic spending and revenue estimates are used.

Senator Culver remarked, "We’ll be reviewing the plan carefully, especially revenue and spending projections, to ensure fiscal stability. Addressing the projected deficit and responsible spending are key. Our goal is to improve this budget for all Pennsylvanians."

The proposed budget allocates approximately $2 billion for human services programs and increases funding for Basic Education Funding by $75 million and the Ready-to-Learn Block Grant Program by $526 million. It maintains level funding of $25 million for the Grow PA program, which aids young people in attending college and completing job training programs.

For a third year running, Shapiro did not allocate funds for Lifeline Scholarships or the Pennsylvania Award for Student Success program aimed at assisting children in underperforming schools with alternative educational options.

Additionally, no new revenues or expenditures related to Shapiro's "Lightning" energy plan were included in the budget proposal, leaving its impact on household budgets, grid reliability, or state finances unclear.

Shapiro’s budget address marks only the beginning of discussions. The Appropriations Committee will conduct hearings from February 18 through March 6 to delve into his spending plan's specifics.