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Rendell slams tentative budget plan — again

HARRISBURG — Legislative leaders hoping to get Gov. Ed Rendell's support for their tentative agreement to end the state's 76-day-old budget impasse may have to enact it over his veto.

Rendell said today he remains insistent that the state spends more on education and emphatic that lawmaker's plans to raise new revenues is unrealistic.

"All we're doing is deferring the tough decisions that we ought to be making now," Rendell said. "This is a phony budget. It doesn't add up."

Rendell said he considers the tens of millions in additional education spending he wants a relatively small barrier to overcome.

He was far more critical of the soundness of the plan's revenues, which would be bolstered by higher business and cigarette taxes, fees from expanded gas drilling on state lands, a tax amnesty program windfall, and a tax on newly legalized table games at slot-machine casinos.

The Democratic governor also said his budget secretary's estimate of the current year's total revenues — a critical number because of the state's constitutional requirement for a balanced budget — would call for zero percent growth.

The budget deal announced Friday by the two parties in the Senate and the House Democrats assumes existing revenues will increase by $205 million this year, or almost 1 percent.

"It ain't happening, captain," Rendell said.

He said there was "a good legal question" about what would happen if the General Assembly passes it anyway, using their higher revenue estimate, and then votes to override his veto.

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