State Budget Stalemate Enters 4th Month

October 1, 2025 4:51 am

HARRISBURG, Pa. (AP) — Pennsylvania’s counties, school districts and social service agencies are warning of mounting layoffs, borrowing costs and damage to the safety net as the politically divided state government enters its fourth month of a budget stalemate. The stalemate entangling Democratic Gov. Josh Shapiro, the Democratic-controlled House and the Republican-controlled Senate has no certain end in sight as finger-pointing falls along partisan lines. As October begins, county officials and social service providers say the damage is accelerating. They say lines of credit and reserves are running out, meaning deeper layoffs and more service shutdowns are inevitable. Kristen Rotz of the United Way of Pennsylvania says things will get exponentially worse in October.