Gov. Josh Shapiro unveiled his 2025-26 budget proposal to the General Assembly on Feb. 4, emphasizing workforce development; reductions in health care, housing and energy costs; investments in economic development; and the continuation of bipartisan efforts to support Pennsylvania students.
“Pennsylvania is on the rise, and this budget is a clear roadmap for tackling our challenges and building on the bipartisan foundation we’ve created over the last two years,” said Shapiro. “My budget proposal is focused on solving problems for Pennsylvanians, expanding our workforce, cutting costs, investing in public safety and economic development – and so much more – to keep creating more opportunity for all Pennsylvanians.”
The proposed $51.5 billion budget includes $526 million to address Pennsylvania’s “school funding adequacy gap” as well as additional education funding increases. If enacted, the governor’s proposal would provide more than $200 million in new state funding for the school district.
“At the State of Schools event on Jan. 30, I shared that the district continues to make significant progress,” said School District of Philadelphia Superintendent Tony B. Watlington. “Over the past two years, student attendance increased, the four-year graduation rate increased, test scores increased for students in grades three through eight and the number of student dropouts decreased by more than 1,400 students. Additionally, for the first time in a decade, the district’s student enrollment increased by 1,841 new students.”
The budget also calls for a minimum wage increase to $15 an hour.
“After more than 15 years, Pennsylvanians are long overdue for a raise,” said Sam Williamson, vice president and 32BJ PA/DE state director. “We support the governor’s renewed call for a $15 minimum wage as we fight for a living wage for all Pennsylvania workers.”
The proposal is a 7-percent increase in expenditures from last year, which drew the ire of Republican leaders.
“Gov. Shapiro’s budget proposal lacks the necessary ingredient for it to work: funding,” Senate Republican Campaign Committee Communications Director Michael Straw said. “Instead of spending within our means, Gov. Shapiro has irresponsibly proposed more spending from revenue streams that are not currently being collected. If we went with Gov. Shapiro’s plan, we’d run out of our rainy-day fund balance in no time. Pennsylvanians want a fiscally responsible government.”
Locally Mayor Cherelle Parker praised the governor’s efforts toward education.
“I was privileged to hear Gov. Shapiro’s speech firsthand today in Harrisburg,” Parker said. “It was a speech filled with hope for our commonwealth, and that includes Philadelphia. I was glad to hear Gov. Shapiro emphasize the critical importance of funding for public education in Pennsylvania. In his budget, Gov. Shapiro reaffirmed his commitment to Philadelphia students. Among the investments that the governor proposed are $137 million in new adequacy funds, plus new funding for the fair funding formula and special education – an important step towards closing the funding gap that has plagued our schools for a generation.”
State Rep. Elizabeth Fiedler applauded the inclusion of funding for the Solar for Schools grant program. A $25 million appropriation for the second year of the program, which was introduced by Fiedler, was included in the proposal.
“It’s an absolute honor to watch Solar for Schools grow,” Fiedler said. “This renewed funding demonstrates Pennsylvania’s commitment to both finding creative school funding solutions and expanding our renewable energy production. We saw overwhelming demand for the program during its first application period, and I’m excited to work with the legislature to secure this funding so even more schools get the chance to benefit.”
The proposal also gives a boost to public transit, which will be vital in 2026 as the country celebrates its 250th birthday with a busy slate of events in Philadelphia
“I appreciated the governor’s acknowledgement that next year the world will descend on Philadelphia for the 250th anniversary of America’s founding,” Parker said. “Our city is working around the clock to ensure that Philadelphia is ready for the nation and the world to arrive – and the commonwealth’s support in those preparations cannot be understated.”
