We have a budget; learn more about it here

Rep. Tina Davis July 16, 2026

Dear Friends,

It’s been a busy month in Harrisburg, and I’m thrilled to be able to tell you all that the House and Senate passed a bipartisan compromise budget that was signed into law by Governor Shapiro this past Sunday.

The $50.84 billion budget balances the budget without raising taxes or tapping into the $7.74 billion Rainy Day Fund. It also provides some much-needed investments in retirees, law enforcement, mental health, education, working families, and more.

Read more below!

As always, if you need help with any state-related matter, feel free to reply to this email or call 267-580-2660.

Sincerely,

Rep. Tina Davis
141st Legislative District

Office: RepDavis@pahouse.net
Office: (267) 580-2660

Proudly serving Bucks County, including Bristol Township and Bristol Borough.

2026-2027 Budget: In Summary

Taking Care of Our Retired Public Servants!

The 2026–27 Pennsylvania budget includes long-awaited pension increases for thousands of retired municipal police officers, firefighters, public school employees and state workers. Retired municipal police officers and firefighters will receive post-retirement pension adjustments beginning in August 2026, with municipalities reimbursed through the Municipal Pension Aid Fund.

The budget also provides cost-of-living adjustments for eligible retirees in the Public School Employees' Retirement System and the State Employees' Retirement System who retired before July 2, 2001. Eligible retirees will receive increases ranging from 15% to 24.5% beginning in July 2026.

These increases provide meaningful financial relief, helping retirees keep pace with rising costs while recognizing their years of service to Pennsylvania communities.

Giving Money Back to Working Families!

We’re putting money back in the pockets of nearly one million working families in Pennsylvania through the Working Pennsylvanians Tax Credit.

By building on the federal Earned Income Tax Credit, the program helps working families keep more of what they earn and better manage the rising cost of everyday expenses.

The expanded credit will provide additional financial relief to eligible Pennsylvanians, helping families afford essentials like housing, groceries, child care and transportation. The investment supports workers while strengthening household finances and the state's economy.

Investing in Public Education and Technical Education!

This budget increases state funding for public schools by nearly $670 million. That includes a $58 million increase in Basic Education Funding, a $46.75 million increase in Special Education Funding, and a $565.1 million increase in Ready to Learn funding, bringing the total statewide increase in discretionary education funding to $669.8 million for the year. Since the 2022-23 budget, discretionary state funding for public schools has increased by nearly $2.92 billion, or 33.2%.

Career and Technical Education will be receiving $154 million, a $10 million (or 6.9%) increase.