'Train wreck:' Wolf blasts GOP budget plan

HARRISBURG - Gov. Wolf Tuesday blasted the latest budget plan advanced by Republican lawmakers in the eight-month stalemate that has left billions of dollars in limbo and schools and universities warning of closures.

The Democratic governor said the GOP's no-new-taxes plan would result in a $1.6 billion deficit, by the Republicans' own calculations.

He declined to say whether he would veto it.

"I've been consistent. I want a budget that is balanced, where the math actually works and it invests in the things that Pennsylvania needs to invest in," Wolf said after an event in the Capitol. "We are looking at a train wreck in 2016-17, a huge deficit if we don't do something about this."

Wolf had sought a multibillion-dollar tax increase in this fiscal year to resolve a long-term deficit that has damaged Pennsylvania's credit rating, and to begin wiping out 2011's budget-balancing funding cuts to public schools.

With the collapse of a bipartisan agreement in December, Wolf is seeking a $2.7 billion tax increase in the fiscal year that begins July 1.

Republicans have pressed Wolf to resolve the current year's budget without a tax increase as public schools borrow to stay open and Penn State threatens to shut down agricultural extension offices.

"At some point you have to be realistic as to what's possible and what's not possible this year," said House Majority Leader Dave Reed (R., Indiana).

The Senate Appropriations Committee passed the main appropriations bill in a $30 billion budget package in a party line vote Tuesday. Final floor votes were scheduled Wednesday in the House and Senate to send the bill to Wolf's desk.

It would increase spending from the state's main bank account by about $870 million, or 3 percent.

The Republican plan delivers half the public school aid increase, $200 million, or 3.5 percent, that Wolf had initially sought last year.

"Obviously this has been a difficult year, and I think it's time to get the schools funded, and not only funding them, we're adding $200 million to the schools, which I think is a pretty significant investment into public education," said Senate Majority Leader Jake Corman (R., Centre).

On Tuesday, House Minority Leader Frank Dermody (D., Allegheny) insisted a tax increase is necessary to balance this year's budget, and he criticized the GOP plan.

"It doesn't begin to solve the problem," Dermody said. "This is not a budget that makes any sense whatsoever."