Better Choices for Pennsylvania

A coalition for a responsible budget

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Congress Passes Additional FMAP, Teacher Funding

August 10, 2010

The U.S. House of Representatives voted 247-161 today to provide $26 billion in additional federal assistance to the states. Pennsylvania will receive about $600 million in additional FMAP funds and $388 million in funding to keep teachers in the classroom.

The Senate approved the bill last week, after months of wrangling, and the President signed it into law Tuesday.

Pennsylvania Enacts 2010-11 Budget

The General Assembly and the Governor have approved a 2010-11 state budget of $28.043 billion, which includes $25.3 billion in state dollars and $2.75 billion in federal ARRA funding. Overall General Fund spending is increased slightly over available 2009-10 budget levels, but this budget still uses fewer state dollars than were spent in 2006-07.

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Pennsylvania's 2010-11 state budget counts on $850 million in additional FMAP funding, leaving a $250 million shortfall. That could be made up if the economy recovers and tax revenue increases, or we could be facing more cuts.

Still, federal fiscal aid comes at a critical time for Pennsylvania. Over the past two years, more people have turned to state government for help, but Pennsylvania has been cutting back: making cuts to libraries, literacy and job training, environmental protection, services for abused and neglected children, and assistance to vulnerable Pennsylvanians.

Federal fiscal assistance is critical to preserving jobs and keeping the economic recovery on track. About half of the jobs that will be preserved through continued state spending are in the private sector - including contractors and local vendors across the Commonwealth. We cannot afford to stall this fragile recovery.


View Congressional district-level fact sheets showing how many Pennsylvanians benefit from the federal FMAP funds. The fact sheets detail the number of Pennsylvanians receiving Medical Assistance and other critical human services funded by FMAP dollars, and the economic impact in the health care sector created by funding those services.


Join the Better Choices for Pennsylvania Coalition

Better Choices for Pennsylvania is a coalition of Pennsylvanians working for a balanced approach that includes new revenue to solve our state's budget crisis. Rather than relying solely on spending cuts, a balanced approach will allow Pennsylvania to help working families through hard times, preserve our long-term financial stability and put the state in a good position when the economy recovers. Learn more