State & Local Government Policy, Business and Technology

Pennsylvania governor signs revenue bills to wrap up stalled budget

Reuters: HARRISBURG, Pa. (Reuters) - Pennsylvania Governor Tom Wolf on Monday signed a set of bills to provide $2.3 billion in new revenue for the state and end a four-month impasse with lawmakers over how to pay for the state’s fiscal 2018 budget.

Lawmakers had approved a $32 billion spending plan on June 30 for the current fiscal year, but they could not agree until last week on how to raise enough new revenue to close a yawning deficit of more than $2 billion.

The new legislation will boost revenues in part by expanding gambling and securitizing expected funding from tobacco companies for healthcare costs.

That money comes from big tobacco companies that agreed in a 1998 settlement with U.S. states to help cover medical costs associated with smoking and tobacco use.

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