- Associated Press - Tuesday, July 7, 2015

HARRISBURG, Pa. (AP) - The latest news from discussions between Gov. Tom Wolf and top Pennsylvania lawmakers about a week-old budget impasse (all times local):

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3:15 p.m.

Pennsylvania Senate Majority Leader Jake Corman says a state budget stalemate will last for as long as Gov. Tom Wolf wants a tax increase on income or sales to prop up state spending.

Corman spoke Tuesday after leaving a meeting with Wolf in the Democratic governor’s Capitol offices.



Corman isn’t ruling out other kinds of tax increases, but he says Republicans will never support a broad-based tax increase on sales or income. Wolf also wants higher taxes on Marcellus Shale natural gas drilling, banks and sales of tobacco products to wipe out a long-term deficit and deliver a record boost in aid to public schools.

Wolf didn’t speak to reporters after the meeting. Corman says Republicans are open to helping Wolf meet his goals, within reason.

Wolf has until Friday night to act on a Republican-crafted pension bill before it becomes law. Corman says the issue wasn’t discussed.

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8:33 a.m.

Democratic Gov. Tom Wolf isn’t backing off his demand for a new state budget after vetoing a $30.2 billion document passed solely by Republican state lawmakers.

Wolf told KDKA-AM radio in Pittsburgh on Tuesday morning that the Republican budget bill didn’t balance and Pennsylvania state government needs to get serious about putting its finances in order.

Republicans are pitting their no-new-taxes budget that uses transfers and payment delays to balance against Wolf’s request for billions of dollars in tax increases to fund a record boost in public school aid and wipe out a long-term deficit that’s damaged Pennsylvania’s credit rating.

The veto and subsequent stalemate has left the state government with limited spending authority since last week. No additional meetings were planned. A Friday deadline looms for Wolf to decide on a Republican-crafted pension overhaul bill.

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4:01 a.m.

A Friday deadline looms for Gov. Tom Wolf, who has until then to sign a Republican-crafted pension overhaul bill or let it become law without his signature.

Wolf’s office said that the deadline is 11:59 p.m. Friday.

Democrats expect Wolf to veto the pension bill, which would end the traditional pension benefit for most newly hired state workers and school employees, shifting them to a 401(k)-style defined-contribution plan.

The Democratic governor has already vetoed other major GOP bills, including a $30.2 billion no-new-taxes state budget plan and the privatization of the state-controlled sales of liquor and wine.

Wolf met with the House and Senate’s Republican floor leaders Monday to discuss the stalemate that’s left the state government with limited spending authority since last week. No additional meetings were planned.

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