Without Cuts or New Revenue, Pennsylvania Budget Surplus Is on Track to Run Dry

Pennsylvania’s multibillion-dollar surplus will soon be halved according to a projection by a state budget watchdog, the result of a long-running structural deficit combined with a growing list of obligations competing for public dollars. The commonwealth’s recent $47.6 billion budget increased spending by 6%, with more than $1 billion in new money going to public schools in response to a court ruling that found Pennsylvania underfunds poor districts. However, the state brought in just $44 billion in net revenue last fiscal year. So, to afford the spending plan, lawmakers are reaching into the state’s sizable cash reserves, which sat at roughly $13.6 billion as of June 30, according to the Independent Fiscal Office. Click here to learn more.

The post Without Cuts or New Revenue, Pennsylvania Budget Surplus Is on Track to Run Dry appeared first on Pennsylvania Office of Rural Health.

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