Pennsylvania Budget Deficit Keeps Rising

01.23.09 | FL News Team

Pennsylvania Governor Ed Rendell has announced the state's estimated budget deficit has risen to two-point-three billion dollars, almost a billion more than he announced in December. Rendell says the increasing deficit means the state will have to make layoffs and eliminate some programs.

The governor also says the state could fill the deficit two ways, either using more federal stimulus money in this fiscal year or asking the legislature to let go of about 175-million dollars in legislative account balances.

Rendell will submit his budget on February 4th and is not expected to call for a broad-based tax increase.