Pennsylvania Economy

Matt Rourke / AP

As Pennsylvania contends with a months-late budget and recently-downgraded bond rating, it’s also working hard to entice Amazon to set up a secondary headquarters in one of its cities.

Municipal Distress Getting Worse In Pennsylvania, According To New Data

Sep 13, 2017
Pennsylvania Economy League

The Pennsylvania Economy League released a report on Tuesday showing predictions in its last study have borne out.

That's not a good thing.

The league warned in 2007 that the struggles of distressed communities would worsen where they already existed and emerge anew elsewhere — unless local government codes were updated by state lawmakers.

Matt Rourke / AP

A fund transfer lawmakers are proposing to help balance the state budget is causing some legal headaches.

The Professional Liability Joint Underwriting Association—a group created in 1976 to insure healthcare providers—is saying the state is not authorized to take $200 million from its account.

It’s a conflict that first cropped up last year, when the cash-strapped legislature decided to move $200 million dollars from the JUA's surplus to the general fund.

The group said it was inappropriate, and filed suit.

perzsonseo.com / Flickr

The way people buy things—both in Pennsylvania, and around the country—is changing.

Online shopping is on the rise, and sales in physical stores have correspondingly declined. But what hasn’t changed much in Pennsylvania is how it taxes sales. And that’s losing the commonwealth money.

Pennsylvania ended the last fiscal year with revenue from its 6 percent tax around 2 percent below projections—a blow that contributed to its substantial budget shortfall.

Pennsylvania Sees Biggest Shortfall Since Recession

May 2, 2017
Sarah Kovash / 90.5 WESA

Pennsylvania is heading into the 2017 budget season with its biggest revenue shortfall since the recession.

The state Department of Revenue is reporting that it has a shortfall in excess of $1 billion, now 10 months into the fiscal year. That's more than 4 percent, a bigger margin than at any point since 2010.

It leaves budget makers with an even bigger budget gap than expected with just nine weeks left in the fiscal year.

The Department of Revenue attributes April's poor tax collections, in part, to the U.S. economy recording its slowest quarter in three years.