City & State’s 2025-26 Pennsylvania state budget tracker

Pennsylvania is approaching two months without a state budget – an impasse that is imperiling funding for county governments, public schools, mass transit and other essential services. 

As negotiations continue to drag on in Harrisburg, City & State has compiled a budget tracker for the 2025-26 fiscal year to keep you updated on the current status of the ongoing stalemate.

Feb. 4, 2025: Shapiro gives budget address

Gov. Josh Shapiro delivered his annual budget address to members of the General Assembly, presenting a $51.5 billion spending plan that included continued increases in education funding, legalization of recreational cannabis, taxation and regulation of skill gaming machines, and funding for local mass transit agencies. The Democratic governor also proposed accelerating the state’s phased corporate tax cuts and advocated for reforms to Pennsylvania's cyber charter schools. Following Shapiro’s speech, lawmakers in both chambers proceeded to hold budget hearings to scrutinize and learn more about Shapiro’s executive budget proposal.

June 30, 2025: Pennsylvania officials miss budget deadline

Despite having several months to negotiate a budget between the date of Shapiro’s speech and the end of the state’s fiscal year on June 30, Harrisburg officials were ultimately unable to reach agreement on a final product by that deadline.

July 14, 2025: House lawmakers pass budget legislation

Lawmakers in the Democratic-majority state House voted to pass a General Fund budget bill on July 14 with a 105-97 vote, though the legislation, which had a total spend number of $50.6 billion, was not a spending plan that was agreed to by all four legislative caucuses. The GOP-controlled state Senate ultimately never considered the legislation on the floor before voting on its own budget proposal a month later. 

Aug. 12, 2025: Senate approves budget bill, mass transit funding package

Similarly, the Republican-led state Senate advanced a budget bill of its own on Aug. 12, along with a transit funding bill that proposed using dollars from the Public Transportation Trust Fund to fund mass transit and infrastructure needs. The General Fund budget legislation approved by the Senate, Senate Bill 160, was a full-year $47.6 billion spending plan based on last fiscal year’s spending numbers. 

Aug. 25, 2025: ‘I think we are close’ to budget deal, Shapiro says

Speaking with reporters in late August, Shapiro said he thinks a deal is within reach, though he said some within the Pennsylvania political sphere “seek to slow the process down to hurt me politically,” according to a post from Spotlight PA reporter Stephen Caruso. The comments came a week after Pennsylvania Treasurer Stacy Garrity, a Republican, announced plans to run for governor in 2026. On the topic of the budget, Shapiro added that he would be open to using funds from the Public Transportation Trust Fund for a mass transit deal if lawmakers can find recurring revenue for transit systems.

Sept. 8, 2025: The Pennsylvania Senate returns to Harrisburg

One chamber of the Pennsylvania General Assembly is back this week for scheduled session days, and it remains to be seen whether this will be the week that state lawmakers reach agreement on a state budget – more than two months after the end of the state's 2024-25 fiscal year. The Pennsylvania Senate is set to convene Monday at 1 p.m. for a voting session, with voting sessions also scheduled for Tuesday and Wednesday. However, the state House isn't slated to return for a voting session until Sept. 29. You can watch the Senate session at these links.

The Senate's return to session comes after Gov. Josh Shapiro reportedly pitched a $49.9 billion "compromise budget" to state lawmakers, and as House Majority Leader Matt Bradford has warmed to using Public Transportation Trust Fund dollars to fund mass transit, with conditions, according to The Philadelphia Inquirer. On Monday morning, the Shapiro administration announced that it approved a request from SEPTA to use up to $394 million in capital funding to maintain existing service levels – a move that doesn’t require a transfer of funds from the Public Transportation Trust Fund.