Pa. budget bill sent to governor; but fight far from over

In June, conservatives had backed a previous Senate bill to restructure pension benefits, but Wolf vetoed it. Wolf supports it as part of a wider budget package that has been hung up by House GOP opposition since the outlines of a bipartisan deal were announced six weeks ago. “New employees would have been in a hybrid plan half defined benefit and half defined contribution”, said state Rep. Brad Roae, of Crawford County, R-6th Dist., who supports the legislation.

The pension bill would give new state employees a hybrid pension with a reduced defined-benefit piece, plus a 401(k)-style retirement-plan piece, among other changes.

Republicans hope Wolf will sign it, putting an end to borrowing, layoffs or service delays by school districts, counties and social services agencies forced to get by without state aid. Several school districts have raised the idea of staying closed after the winter break to avoid having to borrow more money. Since the start of Pennsylvania’s fiscal year on July 1, its school districts have not received state aid and have borrowed at least $900 million to survive.

Pennsylvania, an anomaly among states for its late budgets and long stalemates, is close to breaking its modern-day record – Wednesday, Dec. 23 – for a budget fight, set in 2003 by another first-year Democratic governor, Ed Rendell, and a Republican-controlled Legislature.

House Speaker Mike Turzai formally signed the bill Thursday morning and sent it to the Democratic governor’s desk.

The main appropriations bill in a $30.8 billion spending package passed the Senate two weeks ago and is teed up for a final vote in the House.

Wolf called the Senate’s move “deeply disappointing”, and said “the Senate has caved to those same House leaders and extreme interests to continue the failed status quo and harm our schools and children by denying them these critical additional funds”.

GOP House members abandoned the capital for the holiday, while the Senate was recalled into session to vote on the $30.2 budget Wednesday afternoon. But it seems unlikely that he will sign it. Wolf had sought the money to reverse post-recession cuts to public schools and human services and to narrow a long-term budget deficit.

GOP House Majority Leader Dave Reed said his caucus still considers liquor privatization a priority.

“I don’t think that’s going to hold it or keep it”, said Taylor.

They voted on a $30.3 spending plan, including $405 million to education, that was supported and voted through the house mostly on party lines earlier in December.

The House adjourned and planned to return Wednesday, though committee meetings were planned for later Tuesday.

The governor and Republican leaders reached a framework agreement for a $30.8 billion budget before Thanksgiving.

Wiley said he was also frustrated the House lawmakers went home.