House GOP to test budget-balancing plan in growing stalemate

HARRISBURG » The Pennsylvania House of Representatives will return to session Monday for the first time in seven weeks as a lengthening budget stalemate is drawing warnings by Democratic Gov. Tom Wolf that he is out of options to make payments on time.

Hanging in the balance is $2.2 billion in program funding — about 7 percent of approved spending — and another downgrade to Pennsylvania’s battered credit rating.

At issue is how to come up with the money to keep state agencies, programs, schools and institutions funded at levels supported overwhelmingly by Republican and Democratic lawmakers in a $32 billion spending agreement.

A vote is expected this week on the latest plan, pushed by a group of House Republicans. If it fails, the next step is unclear for the House, led by Speaker Mike Turzai, R-Allegheny.

THE DEFICIT

The Republican-controlled Legislature is averse to the kind of tax increase that would stabilize Pennsylvania’s deficit-riddled finances. Wolf has pledged to squeeze out savings from his workforce, health care costs and prisons, but it’s nowhere near enough, and lawmakers are in little mood for deep spending cuts.

This year, they approved what amounted to 3 percent spending increase, including nearly $600 million in annual aid to five universities — Penn State, Pitt, Temple, Lincoln and the University of Pennsylvania’s veterinary school — that is part of the bipartisan spending agreement, but awaiting final votes.