Pennsylvania Perspective for Thursday, August 28, 2025

Pennsylvania

$49.9B Shapiro Budget Offer Opens Path to Compromise Amid Transit, Funding Challenges

Governor Josh Shapiro’s (D) $49.9 billion budget proposal has prompted cautious optimism in Harrisburg, with Democratic leaders expressing openness to using transit reserves if paired with long-term funding solutions. While negotiations continue, lawmakers face ongoing disagreements over spending levels, revenue sources, and transit priorities. Both sides have acknowledged the need for compromise to address the budget impasse and meet the needs of Pennsylvanians.

New RACP Grant Round Opens Tomorrow

The Commonwealth’s Office of the Budget will open a new Redevelopment Assistance Capital Program (RACP) application round on Friday, August 29, with submissions due by September 23. This is Gov. Shapiro’s second RACP grant cycle. Please contact the Pennsylvania Public Strategies team if you need assistance.

Court Bars PA from Rejecting Mail Ballots Over Date Errors  

A federal appeals court ruled that Pennsylvania’s practice of discarding mail-in ballots due to incorrect or missing envelope dates is unconstitutional, affirming voters’ rights and ending a policy that had disqualified thousands of ballots each election. The decision, hailed by voting rights advocates, found the date requirement had no impact on fraud prevention and placed an undue burden on voters. The Associated Press has more.

Bill Package Aims to Expand Vaccine Coverage Through Insurance, Medicaid

A legislative package would require private insurers and Medicaid in Pennsylvania to cover FDA-approved vaccines recommended by major medical societies, amid concerns over federal advisory changes. WHTM has more.

Democratic Lawmakers Push to Protect Same-Sex Marriage

With the U.S. Supreme Court asked to consider a case that could overturn Obergefell v. Hodges, Democrats in the state House and Senate are reintroducing legislation to codify same-sex marriage in state law, aiming to safeguard LGBTQ rights regardless of federal rulings. The Philadelphia Inquirer has more.

PA Senate Backs AI Growth with Local Control Safeguard

A bipartisan Pennsylvania Senate bill aims to fast-track AI data center development while ensuring local governments retain final approval through public votes, addressing community concerns over environmental and infrastructure impacts. Center Square Pennsylvania has more.

PA Cities Turn to Home Rule for Fiscal Flexibility Amid Budget Strain

Facing rising costs and limited taxing authority, cities like Lancaster and Williamsport are exploring or adopting home rule charters to gain more control over revenue options and avoid steep property tax hikes. While the process is lengthy and complex, local leaders say it offers a path to better governance and financial stability, though broader state reforms are still needed. City & State Pennsylvania has more.

Allentown Sees Growth as Development Transforms Former Industrial Hub

Fueled by state incentives and over $1 billion in investment, Allentown has become Pennsylvania’s fastest-growing city, attracting new residents and businesses while balancing revitalization with affordability and cultural diversity. The New York Times has more.

Erie Explores Tax Redistribution to Fuel City Revitalization

With its new City Revitalization and Improvement Zones (CRIZ) designation, Erie aims to redirect up to $15 million annually in state and local taxes toward development projects, hoping to attract investment, boost population growth, and serve as a model for other struggling Pennsylvania cities. The Center Square Pennsylvania has more.

Labor Researchers Warn PA Economy May Slow Amid Federal Policy Shifts

A new report from the Keystone Research Center suggests Pennsylvania’s economy could weaken due to rising tariffs, reduced federal investment, and looming cuts to safety-net programs, despite recent gains in employment and wages. Economists say policy decisions in the coming months will determine whether the downturn deepens or stabilizes. PennLive has more.

Philadelphia

DA Krasner Defends Cashless Bail as President Trump Threatens Funding Cuts

Philadelphia District Attorney Larry Krasner (D) criticized President Donald Trump’s executive order targeting jurisdictions with cashless bail, calling it an “authoritarian power grab.” WHYY has more.

Pittsburgh

Pittsburgh Advances Plan for Tiny Homes to Aid Homeless Residents

Pittsburgh City Council gave preliminary approval to a bill allowing construction of “interim housing,” including tiny homes, to support people transitioning out of homelessness, though some officials hope the measure won’t need to be used unless future demand arises. WESA has more.

Pittsburgh to Install Red Light Cameras to Curb Dangerous Driving

Pittsburgh is moving forward with a $14 million plan to install automated red light cameras at high-risk intersections, aiming to reduce crashes and improve safety. The first cameras will be installed this winter, with a warning period before ticketing begins and up to 30 intersections covered by 2029. The Pittsburgh Tribune-Review has more.

Federal

Gov. Shapiro, Thompson Diverge on SNAP Changes in Federal Aid Bill

U.S. Representative G.T. Thompson (R-PA-15), who chairs the House Agriculture Committee, and Gov. Shapiro are at odds over Pennsylvania’s handling of SNAP under new federal requirements, with Thompson urging more state investment and the Shapiro administration emphasizing recent progress and the need to protect vulnerable residents. Politico has more.

Firefighter Bob Brooks Launches Congressional Bid with Broad Support  

Bethlehem firefighter and union leader Bob Brooks entered the race for Pennsylvania’s 7th District with endorsements from Bernie Sanders, Gov. Shapiro, and key labor groups, positioning himself as a working-class candidate in a competitive Democratic primary. The Philadelphia Inquirer has more.

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