Budget Fight Hits OT

The legal budget deadline has come and gone, and Pennsylvania lawmakers haven't agreed to a spending plan. That's been the case every year of the Rendell Administration, and right now, Republican and Democratic spending plans are still about $2 billion apart. Governor Rendell has met with legislative leaders the last two nights, and Senate President Pro Tem Joe Scarnati says Republicans are willing to negotiate-as long as Rendell meets key demands. He says, “Certainly one parameter would be no broad-based tax increases for the commonwealth. Secondly, it is a budget that must be able to spend less than last year, as many Pennsylvanians are doing.” Rendell is equally committed to his stance that Pennsylvania's budget can't be balanced without tax increases. He wants to temporarily raise the personal income tax rate by sixteen percent from 3.07% to 3.57%. The proposal is to roll back the tax in three years. Rendell says he doesn't think a deal is likely within the next two weeks. Budget talks continue today.