Senate Passes 2008-09 Budget Bill

HARRISBURG – The Senate approved a 2008-09 budget proposal today that holds spending increases well below the rate of inflation, according to Sen. James J. Rhoades (R-29).

Senate Bill 1389 calls for $27.9 billion in general fund spending, which is an increase of $749.2 million (2.76 percent) over the current budget. The proposal is $415.8 million lower than what the Governor requested for FY 2008-09.

Overall, Senate Bill 1389 cuts $457.2 million from specific line items in the budget proposal unveiled by the Governor in February.

"By passing our proposal now, we can move the budget process forward and improve the chances of passing the final state budget in a timely manner," Rhoades said. "This budget funds the essential services that our citizens need without putting the fiscal health of our Commonwealth in jeopardy."

The Senate Republican proposal adds $41.4 million in spending not requested by the Governor, primarily through a 1-percent COLA for community MH/MR providers ($33.4 million). The remaining $8 million is for restorations of cuts proposed by the Governor.

Senate Bill 1389 now goes to the House of Representatives for its consideration.