HARRISBURG, Pa. (WHTM) — Just shy of two weeks after the deadline, Pennsylvania has a new state budget.

The $50.8 billion operating budget was approved Sunday.

Lawmakers on both sides of the aisle called the budget a compromise.

“As Pennsylvania has a divided government, it requires compromise from both sides for passage,” Senator Wayne Langerholc Jr. (R-Cambria/Centre/Clearfield) said. “This budget does not raise taxes, preserves the rainy day fund, and is significantly less than what the governor proposed in February.”

The budget is a 3.7% increase from last year’s, but down from the $53.3 billion spending plan Governor Josh Shapiro (D) initially sought.

“This budget reins in overspending and protects taxpayers while meeting essential needs and making critical investments,” Senator Greg Rothman (R-Cumberland/Perry/Dauphin) said.

“The General Assembly and Governor Shapiro came together and passed a balanced, bold, and bipartisan budget that puts students and communities first,” Rep. Peter Schweyer (D-Lehigh) said. “This budget continues our constitutional obligation to ensure schools are fairly funded and that all students, regardless of where they live, have the opportunity to succeed.”

Lancaster County Senator James Malone (D) lauded increases in funding for education and first responders, including an additional $58 million in Basic Education funding, $50 million in Special Education funding, and funding for violence intervention and prevention programs.

“This year’s budget takes another historic step towards fairly funding our public schools to make sure every child in Lancaster has a bright future,” Malone said. “It also delivers $1 billion in property tax relief for homeowners.”

Senate Republican leaders called it a “fiscally responsible” budget “that stands up for taxpayers.”

“The 2026-27 state budget is an imperfectly good plan that will keep Pennsylvania on a promising path for the future,” said Senator Joe Pittman (R-Indiana).

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The budget, Republican leaders said, provides greater efficiency and oversight of PennDOT operations, including requiring PennDOT to use $775 Million from the Motor License Fund to support highway projects.

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