The new state budget signed this week by Governor Edward G. Rendell continues to invest in Pennsylvania’s future, despite challenging economic times. While not increasing taxes, the budget makes substantial new investments in education and job creation programs that are critical to our state’s ongoing efforts to recover from the national recession. Since the national economic downturn began in 2008, Governor Rendell and the General Assembly have eliminated $3 billion in annual spending.

The new budget advances Pennsylvania’s winning education strategy by increasing basic education funding and preserving other vital programs that have boosted student achievement over the past seven years. The $250 million boost in basic education funding reflects a 4.5 percent increase. Overall, education spending received a 1.3 percent increase. Governor Rendell says these smart investments will preserve gains in student performance to give Pennsylvania’s children a competitive edge in tomorrow’s workforce.

One key to economic growth is helping to create new jobs for Pennsylvanians. The Redevelopment Assistance Capital Program bill that the Governor signed as part of the budget will put an estimated 18,000 people to work by jump-starting important economic development projects in every region of the state. Since 2003, RACP and related state programs have created or retained approximately 300,000 jobs and leveraged more than $10 billion in private investment.