With a dose of optimism, state Sen. Scott Hutchinson, R-21st, said today that a state budget deal could come by the end of next week.

The deadline to pass a state budget was June 30. However, Democratic Gov. Tom Wolf and the Republican-controlled legislature have not been able to agree on a spending plan for the 2015-2016 fiscal year.

Wolf in March initially proposed a $33.7 billion budget, which greatly increased spending compared to budgets under previous Gov. Tom Corbett, and included increased taxes.

Hutchinson said there are “major philosophical differences” between Wolf and the Legislature, and they have to work out those differences.

Because Wolf is in his first year in office, his limits are being tested.

“Usually, when there is a new governor, the first budget is the hardest. That’s what we’re going through right now,” Hutchinson said.

He noted that the Legislature passed a budget before June 30. That budget had 400 line items, and Hutchinson said that 274 of them were funded at the same level or higher than Wolf’s initial budget proposal. However, Wolf vetoed the entire budget.

“Historically, that would not have happened,” Hutchinson said.

He said the state’s taxes should not go up this year.

However, he said the “handwriting is on the wall” that taxes are going to go up in the next budget, but he said no one is sure which ones. He said increasing in the sales and income taxes are two of the major proposals.

Hutchinson said he is worried about the sustainability of budgets that increase spending and increase taxes. He said when taxes go up, spending goes up too, and in a few years, the state is in a deeper financial hole.