HARRISBURG — Pennsylvania taxpayers are about to face another year of reckless spending, ballooning deficits and rising inflation, all without meaningful accountability or reform.
Sen. Dawn Keefer (R-31) criticized the General Assembly today for approving the 2025-26 state budget, saying it continues a cycle of unchecked spending that threatens Pennsylvanians and the state’s economic stability.
“The more government spends, the more inflation rises — economics 101,” Keefer said. “Yet, despite losing population and businesses, the General Assembly and Gov. Josh Shapiro are set to spend an additional $2.5 billion, over 5% more than last year, for a grand total of $50.1 billion. And they expect to cover it with about $44 billion in revenue after they return $2 billion in owed refunds. That leaves taxpayers on the hook for nearly $6 billion more than the state takes in. This is fiscal chaos.”
Keefer called out several key areas of concern in the budget:
- Education spending without accountability: Brick-and-mortar public school enrollment continues to decline, academic performance remains low and truancy is rising. Yet the budget increases school district funding by $1 billion with no meaningful accountability measures. Meanwhile, public cyber charter schools, which are growing in enrollment, face funding cuts and new administrative hurdles.
- Mental health funding misalignment: Counties mandated to provide mental health services are struggling to meet the need and find providers. Yet they will remain level-funded and school districts failing to educate will be given $120 million to administer mental health care.
- Higher education and college grants: College enrollment is down, with 30,000 fewer students in state schools over the past five years. Yet state funding for colleges will increase, along with targeted grants for select students and majors.
- Entitlement expansion and SNAP funding concerns: Medicaid enrollment is already among the highest on the East Coast, yet the budget adds a new $100 million recurring entitlement. One in eight Pennsylvanians currently relies on SNAP benefits, with evidence of waste and fraud, yet the administration continues to increase spending while failing to implement reforms.
- Other concerns: The budget doubles contractor registration fees, broadens Fish and Boat Commission spending without fiscal restraint, creates a housing tax credit that will only drive inflation and allocates more than $3 million to expand Shapiro’s social media operations. All while the budgets for veterans services and agriculture receive significant cuts.
State Treasurer Stacy Garrity has warned that Pennsylvania faces a fiscal cliff if spending is not brought under control. The Independent Fiscal Office (IFO) has also determined that the 2025-26 state budget is unsustainable given current revenue levels.
“Without changes, Pennsylvanians can expect future tax hikes,” Keefer said. “Now is the time to exercise fiscal responsibility and implement meaningful reforms that protect hardworking families.”
Watch Keefer’s full Senate floor budget comments here.
CONTACT: Crystal Patterson, 717-432-1730