HARRISBURG — Gov. Ed Rendell and a divided Legislature finally signed off on a state budget Friday night, resolving a multibillion-dollar, recession-driven shortfall and ending Pennsylvania's 101-day budget stalemate, the nation's longest this year.

Rendell and top legislators acknowledged that the inexcusable delays in negotiating the state's $27.8 billion spending plan would overshadow what they otherwise defended as a strong budget that protects crucial services amid the state's worst shortfall since the Great Depression.

Just before 9 p.m., Rendell signed the key pieces of the spending plan — the primary appropriations bill and a companion bill tapping more than $1.5 billion from the state's reserves — after a flurry of votes in the House and Senate. In a somber news conference, he also promised quick action to move money to school districts and social services providers that were left to fend for themselves and their wards without the billions of dollars in state subsidies on which they normally rely.

"I believe there is no reason to celebrate the signing of the budget," Rendell told reporters. "That's not because it isn't a good budget, and it is; it's a responsible budget and it does good things for the state of Pennsylvania. But it took entirely too long. There's no excuse for us having put the people of Pennsylvania, many of whom depend desperately upon the services we provide, to put them through over three months of waiting."

Senate Majority Leader Dominic Pileggi, R-Delaware, sounded many of the same notes, but pointed to some inevitable factors, including the recession, as well as Rendell's ambitious goals and an inexperienced House leadership.

"I think there's a sense of fatigue and disappointment that the process took so long," Pileggi said. "I think that overshadows that fact that the budget is one that is a sound budget, from a fiscal standpoint, and I think a well-crafted budget that positions us well for the recovery in the state's economy and the nation's economy."

Many advocates for the poor were disgusted by the delay in money for services. However, given the state's huge shortfall, advocates for children, hospitals, the environment and others were cheered by a budget that they say could have brought far worse consequences.

Overall, the appropriations bill cuts spending by more than 1 percent, while boosting spending on operations and instruction in public schools by $300 million, or 5.7 percent, a level Rendell insisted upon. It does not raise the state tax rates on sales or income, Pennsylvania's two biggest sources of revenue.

Some strings are still hanging loose.

Negotiations on one piece of the budget — the legalization of table games at slot-machine casinos — were expected to drag into next week because of lingering disagreements between the House and Senate.

Poker, blackjack and other games are expected to produce $200 million in taxes and fees for the state treasury, forcing the hold up of $700 million in discretionary funding for universities, museums and others to ensure a balanced budget, officials said. The money could be authorized once a table games bill passes.

On the way to this agreement, Democrats fought off efforts by Republicans to make deeper cuts in spending, while Republicans resisted calls by Democrats to increase the income tax.

Highlights of the 2009-10 spending plan signed by Gov. Ed Rendell:<B>OVERVIEW</B>• $27.8 billion in overall spending• Relies on taxes, fees, federal stimulus money and surpluses• Cuts overall spending by 1.8 percent from last year's expected final spending of $28.32 billion• Maintains current state tax rates on personal income and sales• Relies on an estimated $200 million in fees and taxes from legalizing table games at slot-machine casinos• Relies an estimated $60 million from anticipated leasing of state forest land for natural gas exploration<B>SPENDING</B>• Boosts spending for public school by nearly $299 million, or 5.7 percent• Cuts Department of Community and Economic Development by 11 percent to $707.9 million• Cuts Department of Environmental Protection by nearly 27 percent to $159 million• Boosts Department of Corrections by 11 percent to $1.8 billion• Cuts Department of Public Welfare by nearly 1 percent to $10.5 billion<B>TAXES</B>• Increases the state tax on cigarette sales by 25 cents a pack, to $1.60, to raise $97 million• Imposes a new sales tax on "little cigars" at the same rate as cigarettes to raise $16 million• Raises the capital stock and franchise tax that some businesses pay from 1.89 mills to 2.89 mills to raise $374 million• Imposes a new 5.9 percent gross receipts tax on some managed care organizations to raise $316 million, replacing an expiring assessment• Redirects 2 percent of slot-machine gambling revenues into the state's general fund for four years; the money currently benefits Pennsylvania's race horse industry• Transfers revenue generated by an existing 25-cent portion of the state cigarette tax from a special fund that helps doctors and hospitals buy medical malpractice insurance coverage to raise $171 million<B>SURPLUSES</B>• Transfers $755 million from the "rainy day" contingency fund• Transfers $808 million from medical malpractice insurance coverage funds• Transfers $143 million from the Oil and Gas Lease Fund• Transfers $150 million from the Tobacco Endowment account• Transfers $44 million from an automobile insurance fund<B>ONE-TIME REVENUE ITEMS</B>• Accelerates the deadline for sales tax collections to raise $217 million in 2009-10• Accelerates the deadline for income tax collections to raise $159 million in 2010-11• Generates an estimated $190 million from a program that allows the repayment of back taxes without the penalty fees or half of the interest payments that normally applySources: Rendell administration, Senate Republicans