Leaders Announce Budget Deal

by Scott Detrow
Public Radio Capitol News

(Harrisburg) -- 73 days after Pennsylvania’s legal budget deadline, legislative leaders have announced the framework of a 27.9 billion dollar compromise.

The tentative agreement would increase the cigarette tax by 25 cents, legalize table games at casinos and roll back the Capitol Stock and Franchise Tax to last year’s 2.89 mill level, but would not increase sales or personal income taxes.

House Speaker Keith McCall, a Carbon County Democrat, says it took far too long to reach a deal.

"I do apologize that is has taken us so long to come together and reach this compromise," he said. "That is the one issue that I have—is that failure to enact this budget was extremely regrettable, that we couldn’t get it done in a better timeframe. The people of Pennsylvania deserve better."

The agreement satisfies a core Democratic demand by increasing the basic education subsidy by 300 million dollars.

Governor Rendell has yet to comment on the framework, but leaders say they have the votes to pass it through both chambers.

The joint budget conference committee will begin working out the details on Monday.

A final vote is expected in the next two weeks.