Senate votes to end Pa. budget stalemate
HARRISBURG — The state Senate today approved key spending and tax bills to pressure the House to go along with the latest effort to end Pennsylvania's long budget stalemate.
The $27.8 billion spending plan passed with overwhelming support shortly after Gov. Ed Rendell met with top lawmakers in an effort to close out remaining differences in the politically divided Legislature.
"Certainly it's ultimately a compromise, and when you have a compromise, of course there are things that you like and things you don't like," said Senate Appropriations Committee Chairman Jake Corman, R-Centre. "But it does meet the needs of Pennsylvania and it does make an historic ... contribution to and investment in education."
Overall, the budget would cut spending by more than 1 percent from last year but boost instruction and operations of public schools by $300 million, or 5.7 percent, a provision Rendell insisted on.
Spending would be supported by nearly $500 million in higher taxes on some businesses, as well as on sales of cigarettes and little cigars, to help resolve Pennsylvania's multibillion-dollar budget shortfall.
The spending bill passed the Republican-controlled Senate 43-6, while the tax bill passed 35-14.
It remains unclear how the Democrat-controlled House will react once it returns to session later today.
In addition, major disagreements between the House and Senate continue to dog legislation to legalize and tax casino table games, considered a key element in helping fill state government's budget hole.
A comprehensive state budget is more than three months late, the nation's longest such delay.
