Within days of receiving a 29-point-1 billion dollar budget plan from the Democratic-controlled House, the State Senate has sent back an amended plan that spends two-billion dollars less.
Republican Jake Corman, who chairs the Senate Appropriations Committee, says the G-O-P proposal reflects the recession.
"The budget will spend about 27.1 billion dollars, and again there are no new taxes in this amendment for fiscal year nine-ten."
The latest Senate measure uses spending cuts and reserve money to fill a multi-billion-dollar deficit.
Governor Ed Rendell's spokesman, Chuck Ardo, says the Republican-backed budget is not a step forward.
"I mean it's a warmed-over version of a bill that has been roundly rejected by every other caucus and the administration. So exactly how this could be considered progress is questionable, at best."
With Republicans and Democrats still far apart on a bottom-line figure, each side is accusing the other of refusing to budget from hard-line positions.
The Republican-backed measure now heads to the Democratic-controlled House, which on Friday approved a plan that would spend 29-point-1 billion dollars.
However, that budget provides no way of funding more than 1-point-2 billion dollars in higher education subsidies.