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Stalled Pa. budget talks resume in Harrisburg

HARRISBURG (AP) — State budget negotiations that include Gov. Ed Rendell are scheduled to resume in Harrisburg this afternoon, nearly a week after Pennsylvania's fiscal year began without a deal in place.

A spokesman for Rendell said the governor plans to attend a meeting for legislative leaders scheduled to begin late this afternoon.

Rendell and his Democratic allies in the General Assembly are pushing for a mixture of spending cuts and new revenue sources, while Republican leaders oppose higher taxes.

There were no signs of progress after two lengthy sessions at the executive residence last week.

The pay of many state workers will be held up, starting on July 17, until there's a resolution.

The national economic downturn led to a revenue shortfall of nearly $3.3 billion for the year that just ended.

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