Anne's Arts & Activities Blog

Harrisburg – Governor Edward G. Rendell today announced a plan to put $212 million into budgetary reserve because Pennsylvania did not receive as much federal funding as it had anticipated when the state budget was finalized in July. The Governor also wrote to legislative leaders, the chief justice of the state Supreme Court and the heads of independent state agencies and row offices, asking them to follow his lead by putting 1.9 percent of their funding into reserve. Governor Rendell said that in spite of the budget cuts, the state’s basic education subsidy to school districts will still increase by $200 million -- $50 million less than originally planned when the budget was enacted. With these cuts –$50 million in education and 1.9 percent across the board– state expenditures will be reduced by $212 million, the Governor added. The Governor said his budget-balancing effort assumes that legislators will live up to their commitment to enact a severance tax on natural gas extraction no ...

WASHINGTON, DC— U.S. Senator Bob Casey (D-PA) today again urged leaders in the Senate to move to pass increased federal medical assistance percentage (FMAP) funding for states to avoid state budget cuts and layoffs. In a letter urging that the measure be added to the next available legislative vehicle, Senator Casey highlighted the urgency of the measure to Pennsylvania. Pennsylvania’s budget has assumed the state would receive $850 million from increased FMAP assistance. “In the current economic climate where states are struggling with severe state budget deficits, it is imperative that the Senate approve an extension of FMAP funding through June 30, 2011,” wrote Senator Casey. “Without the extended FMAP funding, Governors in several states will be forced to make drastic cuts that will result in the loss of jobs and a reduction in social service programs. These actions will harm the economic recovery and hurt some of the most vulnerable adults and children who depend on the servic...