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$32B budget has more for schools

Plan to pay yet to be determined

HARRISBURG — Pennsylvania lawmakers were poised to approve a $32 billion compromise budget package unveiled Thursday, the second-to-last day of state government's fiscal year, even though they had no plan to pay for it or handle the state's biggest cash shortfall since the recession.

The bipartisan spending plan carries hundreds of millions of dollars more for schools, pension obligations and services for the intellectually disabled, but demands belt-tightening across state government agencies and in its most expensive program, Medicaid. It also sees savings from a shrinking prisons population.

The Senate Appropriations Committee approved the spending plan hours after details were unveiled, with floor votes planned in both chambers today. Lawmakers expected to return to the Capitol next week to figure out how to raise $2 billion-plus to cover a two-year projected shortfall, with anti-tax Republican leaders looking to borrow, expand casino-style gambling offerings or sell more private-sector liquor licenses.

Democrats and some southeastern Pennsylvania Republicans are pressing for a new tax on natural gas production in the nation's No. 2 natural gas state. Lawmakers' coming debate over the revenue will take place in the shadow of an entrenched post-recession deficit that has damaged the state's credit rating and left it among the lowest of states.

“Everybody better bring their notepad and pencils and tell me what they're for,” said Senate President Pro Tempore Joe Scarnati, R-Jefferson. “I'm tired of hearing about what everybody's opposed to. Tell me what you're for.”

The spending figure in the just-unveiled budget package falls between what Democratic Gov. Tom Wolf had sought in his February proposal and what the House passed in April, strictly with Republican support. Wolf's administration had warned for weeks that the House bill would squeeze services and force layoffs across state government, but Senate Minority Leader Jay Costa, D-Allegheny, said Thursday night that Democrats were pleased with the final spending plan.

Highlights of a bipartisan spending plan for the 2017-18 budget year that starts Saturday:THE BIG PICTUREIncreases spending through the state’s main bank account to $32 billion. Including about $400 million to go on the just-ending fiscal year’s books, the plan approves about $870 million in spending, or almost 3 percent, above the last enacted budget of just over $31.5 billion.Lacks legislation to fund it and requires more than $2 billion in yet-to-be-identified cash to balance, according to lawmakers.SPECIFICSPlans to merge the Department of Corrections and Pennsylvania Board of Probation and Parole into a new Department of Criminal Justice.Plans to merge the Human Services and Health departments, but keep the Aging and Drug and Alcohol Programs departments separate.EDUCATIONIncreases aid for public school operations and instruction by $100 million, an increase of nearly 2 percent to $6 billion.Increases early-childhood education funding by $30 million, an increase of 15 percent to $226 million.Increases special education funding by $25 million, an increase of 2 percent to above $1.1 billion.Holds higher education funding flat at $1.6 billion.DEPARTMENT SPENDINGEDUCATION: Grows 3.5 percent to $12.2 billion.HUMAN SERVICES: Cut 2 percent to $12.1 billion.PRISONS AND PAROLE: Cut by less than 1 percent to $2.5 billion.COURTS: Held flat at $355.5 million.GENERAL ASSEMBLY: Grows 5 percent to $325 million.ENVIRONMENTAL PROTECTION: Cut by less than 1 percent to $148 million.ATTORNEY GENERAL’S OFFICE: Held flat at $96 million.

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