PathWays PA Special Budget E-Alert - March 31, 2010
State Budget Last week the Pennsylvania House of Representatives passed a budget bill that reflects the Governor's budget proposal. The bill passed the House by a vote of 107-89. The bill now goes on to the Senate, which is expected to reconvene on April 12. The House bill did not include any action on new revenue proposals, including the Stimulus Transition Fund, that were included in the Governor’s budget. If no new revenue is raised this year, the state will have a deficit of $2.4 billion in 2011-12 and $12.8 billion by 2014-15. The House is expected to work on the revenue proposals in other legislation. What is the Stimulus Transition Fund? The purpose of the fund is to cover the budget hole that will exist after the federal stimulus funds expire in June 2011. In the coming fiscal year, the state is expecting to receive $2.7 billion in federal stimulus dollars. This money will fund health care, corrections, and education. In the following fiscal year (FY2011-2012...