"Governor Tom Corbett announced nearly $157 million in state spending freezes today. They vary by department and program, but most agencies are facing a reduction of about 3%.
As we have written here, the combination of state budget cuts and the end of Recovery Act funding have translated into a wave of layoffs and property tax increases throughout Pennsylvania. This surely won't help.
In a statement, the Governor said that if the state's revenue picture improves in the months ahead, these funds could be unfrozen. Midway through the 2011-12 fiscal year, the state has a revenue gap of $487 million.
The Pennsylvania Budget and Policy Center has a quick rundown of the budgetary freezes by department and agency, with a link to a full listing of all freezes. We'll have more analysis of this and the state's revenue picture later in the week."
Among notable cuts: While Labor & Industry overall loses only 1.5% (-$1,088,000), Industry Partnerships and New Choices each are cut at 10%. Public Welfare is reduced by $53,959,000 (-0.50%); and Community and Economic Development see a 3.3% reduction (-$6,919,000), with PREP, Developed & Discovered in PA (D2PA), and PA First Fund all receiving 10% cuts.
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