Short-term State Budget

Due to the fiscal uncertainty brought on by the COVID-19 crisis and the state's delayed income tax deadlines, the Pennsylvania General Assembly passed an unprecedented short-term budget that was signed by Governor Wolf on May 29 that funds most state agencies from July to November 2020 except education programs which are funded from July 2020 to June 2021. 

According to the Department of Revenue:

  • A shortfall of $1.7 billion was attributable to delayed personal income tax, corporate tax, and sales tax payment deadlines. This amount is recoverable and is expected to be collected later in the year.

  • COVID-19 impacted the PA economy resulting in lost revenue of $375 million - $215 million in sales taxes and $160 million in personal income taxes - due to reduced consumer spending and lower personal income brought on by the public health crisis.

  • A further $102 million in collections were lower than expected due to not-yet-known reasons.

See below for more information on how the short-term budget allocates funding for the period July 2020 to November 2020.

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