PA Governor Josh Shapiro Releases His Fourth Budget Proposal

This week Governor Josh Shapiro delivered his 4th state budget proposal to the General Assembly during a 90-minute speech.

​The Governor’s plan is a 5.4% spending increase over the previous year, totaling $53.2 billion. To cover the increase, the Governor is renewing his call to legalize adult-use cannabis and regulate "Skill Games," which together would generate an estimated $2 billion in revenue. The Governor is also proposing that the state utilize $4.5 billion from the $7.5 billion in the Rainy-Day fund and $1 billion in state bond borrowing to help pay for energy grid projects, housing, and upgrades to local government buildings for critical infrastructure investments.

Other major policy proposals in the Governor’s plan include a shift in the Sales and Use Tax to the Public Transportation Trust Fund for mass transit, using unused EDGE state tax credits to finance major economic development projects, raising the minimum wage to $15.00 per hour, and closing the "Delaware Loophole" tax for multi-state corporations to ensure they pay fair state taxes. 

While Republican leaders in the General Assembly expressed concerns about "unsustainable spending" and the planned use of state reserves, they also apparently agreed to meet with the Governor as early as this week to begin negotiations in a likely attempt to head off another prolonged budget delay.

Please click here for more details on Governor Shapiro’s latest proposal.