Luzerne Times

The Pennsylvania Senate has approved a 2024-25 state budget described as fiscally responsible, according to Sen. Lisa Baker (R-20). The budget aims to create new job opportunities, includes no new taxes, and addresses economic and demographic challenges.

"The new state budget finds a responsible middle ground between community demands for expanded services and funding and the taxpayer interest in avoiding state overspending," Baker stated. "There has been a concentrated effort to differentiate between meeting defined public needs and putting money toward untested or extravagant fixes."

The $47.59 billion spending plan is $740 million less than Governor Josh Shapiro's February proposal. It also adds $740 million to the state's Rainy Day Fund, which Senate Republicans prioritize to prevent future tax hikes or service cuts.

"Overall state spending increases by far less than what the governor sought," Baker noted. "The general feeling was that it was too much all at once for plans that were insufficiently detailed and justified."

Key measures in the budget aim to boost Pennsylvania’s economy. These include continuing the phase-out of the Corporate Net Income Tax and beginning the elimination of the Start-Up Penalty, which hinders business relocation to Pennsylvania.

Lawmakers have also addressed permitting delays with a new Streamlining Permits for Economic Expansion and Development (SPEED) Program. This program will establish permit review timelines by the Department of Environmental Protection and conservation districts, implement a new permit tracking system, and offer third-party reviews of certain permit applications.

"A common complaint of job creators and advocates of community development projects is the extensive time and associated cost required by the permitting process," Baker said. "Important reforms are included with the budget that will keep projects on track."

Education funding sees an increase of over $1 billion, one of Pennsylvania’s largest ever. New allocations include $285 million for Basic Education subsidy, $526 million for Ready to Learn Block Grant program, and $100 million for school facility improvements.

Senate Republicans ensured fair allocation across all students in Pennsylvania rather than benefiting only select schools.

Additional funding measures include reducing cyber charter school special education costs by approximately $34.5 million through a state-funded reimbursement system while preserving educational options for families. Career and technical education programs receive an additional $25 million, preparing more young people for workforce challenges.

"From the beginning, everyone realized that spending for public education was going to rise substantially after the state formula was ruled unconstitutional," Baker commented. "To achieve both equity and effectiveness across our public schools, a series of policy and management changes must be implemented in tandem with funding reforms."

Transportation infrastructure receives significant resources with an additional $80.5 million allocated from phasing out State Police from the Motor License Fund.

Funding is also directed towards empowering law enforcement and ensuring healthier communities with new allocations: county mental health ($20 million), nursing facilities rate increases ($134 million), intellectual disability/autism services ($278 million), LIFE providers ($16.7 million), nursing facilities care reimbursement from day one ($11 million increase), and intellectual disability/autism services expansion ($76 million).

"Across human services, we receive regular reports of people in need having to wait to access crucial programs," Baker said. "More money for programs such as county mental health, nursing care, and intellectual disability/autism services will help reduce waiting lists."

The Clean Streams Fund receives continued support with an additional $50 million aimed at improving water quality statewide since its inception in 2022.

Agricultural initiatives include dealing with avian influenza threats through a newly funded Agricultural Innovation and Development program at $10 million.

The Attorney General’s Office secures nearly $5 million in new funding targeting human trafficking ($1 million), organized retail theft ($2.7 million), appointing a special prosecutor for crimes on SEPTA properties ($1.2 million).

Contact: Jennifer Wilson