Robert Bittenbender, PA's Budget Secretary, announced December 13 that there is a "storm warning in effect" for the Commonwealth. As shared previously in the PCPA Provider News, talk around the Capitol and direct information shared with PCPA has been that Administration officials will first try to maintain current funding, then look at supporting "new" projects; however, such expansions are unlikely.
Secretary Bittenbender stated that if current projections continue, the state could be looking at a revenue shortfall of $622 million by the June 30 state fiscal year end. If the poor state economic forecast persists, the Commonwealth could freeze current expenditures or withdraw monies from the Rainy Day Fund, which stands now at $1.05 billion.
Governor Schweiker's 2002-2003 budget address is scheduled for February 5.
Contact Melissa DiSanto Simmons at the Association with further questions.