House Republican Leaders Respond to Gov. Shapiro's Budget Proposal

> Read the press release sent by Chairman Grove and the rest of the PA House Republican leaders

A Few Details...

•  Governor Shapiro is proposing a $48.34 billion budget for FY 2024-25. That is an increase in State appropriations of $3.7 billion, or 8.4%, over the prior fiscal year.

• The Governor does nothing in this budget to address our structural deficit. In fact, in his Executive Budget, the Governor blows through a total of $15.9 billion of General Fund surplus and Rainy Day Fund balances.

•  Over the next three years, this Budget eviscerates the FY 2022-23 General Fund ending balance of more than $8 billion before raiding the monies in the Rainy Day Fund to balance future budgets.

• In order to balance the FY 2026-27 budget, the Governor then proposes to utilize $3.0 billion of the monies in the Rainy Day Fund; and over the course of the next two fiscal years contained in his Executive Budget, the Governor proposes to utilize another $4.9 billion from the Rainy Day Fund.

•  Given the demographic challenges we face with significant growth in the elderly population and contraction in the working-age population, this is not the time to blow through reserves, expand government and introduce new spending initiatives. Yet Governor Shapiro is doing all three, including proposing initiatives of more than $2.5 billion identified in his budget as creating new, or expanding current, government programs.

•   While the Governor provides a substantial increase for basic education funding, he provides no roadmap for actual change or improvement, let alone transparency and accountability. As for higher education, he speaks of grandiose ideas or the “blueprint,” yet provides zero details on how such a monumental overhaul will be implemented.

•  Governor Shapiro’s budget completely reverses the past efforts of the House Republican caucus over several years. Those efforts being, building the balance in the Rainy Day Fund to help address any future economic downturns, bringing future Commonwealth spending in line with state revenues, and avoiding the practice of deficit spending.

What Happens Next?

The PA House Appropriations Committee will examine the many details of the governor's budget proposal in appropriations committee hearings. Here is the upcoming hearing schedule.

Associated Documents

Shapiro Proposal - General Fund Financial Statement

Shapiro Proposal - Budget Tracking Run

Pennsylvania Structural Deficit Chart

House Republican Appropriations Committee Members Respond to Proposed Budget

Rep. Mike Cabell 

Rep. Eric Nelson 

Rep. Natalie Mihalek 

Rep. Torren Ecker 

Rep. Clint Owlett 

Rep. Lou Schmitt 

Rep. Jim Struzzi