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Corbett proposes 'lean' $27b state budget

HARRISBURG — Gov. Tom Corbett today proposed a hold-the-line budget of $27.1 billion, with no tax increases, deep cuts to higher education assistance and a range of cost-saving measures in services for the poor, elderly and disabled.

Corbett’s proposal for the 2012-13 fiscal year that begins July 1 comes as his administration grapples with lackluster tax collections and higher costs for debt, health care and pensions. Cuts would be widespread across state agencies.

In his address to lawmakers, Corbett called his budget “lean and demanding.”

Perhaps the most glaring cuts are a proposed reduction of about $230 million, or 25 percent, for the State System of Higher Education, Penn State University, University of Pittsburgh and Temple University, a year after cutting the schools by almost 20 percent.

Community colleges would see a 4 percent cut and grants through the Pennsylvania Higher Education Assistance Agency would see a 6 percent cut.

Public schools, which had to absorb about $860 million in spending cuts this year, would see their basic subsidies rise about $45 million to $5.4 billion, but would lose $100 million in grants that helped fund full-day kindergarten and other programs.

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