Pa. lawmaker says $1B deficit is possibile by July

HARRISBURG, Pa. (AP) — A top Republican state senator says Pennsylvania’s budget situation is worsening and says it’s reasonable to expect a $1 billion deficit by July 1.

Jake Corman, chairman of the Senate Appropriations Committee, said today that disappointing March tax collections are likely to bring the state’s fiscal year shortfall to at least $700 million.

With three months to go in the fiscal year, the Centre County Republican says a $1 billion deficit, or more than 3 percent, is possible.

Corman says Democratic Gov. Ed Rendell should consider additional cuts in this year’s budget.

Rendell said in a statement responding to Corman that a balanced budget is still within reach since April is also a big month for revenue, however.

He says it is important to wait before making assumptions.