Press Release
Governor Shapiro Presents Unaffordable State Budget
Gov. Josh Shapiro returns to Pennsylvania to pitch spending plan families cannot afford.
Harrisburg, Pa., February 3, 2026 — In a campaign-style speech that doesn’t address the needs of Pennsylvanians, Gov. Josh Shapiro delivered his 2026 state budget address, proposing a $3.2 billion spending increase—funded by a looming tax hike and gutting of the state’s Rainy Day Fund.
In his address, Governor Shapiro called for another mass transit bailout, more costly energy taxes and mandates, and expanded corporate welfare handouts. His plan proposes $53.26 billion in total spending, a 6.3 percent increase from last year.
Commonwealth Foundation President and CEO, Andrew Lewis, issued the following statement in response to today’s budget address:
“Governor Shapiro’s budget proposal is exactly what you’d expect given his record—reckless, unaffordable spending dedicated to partisan, special interests.
“Rather than addressing crucial policy changes to make Pennsylvania more competitive, students more successful, and energy more affordable, Gov. Josh Shapiro has chosen instead to threaten a tax increase and raid the state’s Rainy Day Fund to pay for mass transit bailouts and bloated bureaucracies.
“Pennsylvania cannot afford another irresponsible budget from Governor Shapiro, and they certainly can’t afford the costly tax hikes that come with it.”
Nathan Benefield, Chief Policy Officer for the Commonwealth Foundation, issued the following statement in response:
“Governor Shapiro’s budget proposal once again worsens our deficit and threatens Pennsylvania families with massive tax hikes.
“His proposal is unaffordable in every sense of the word—not only does he severely inflate revenue projections, but he proposes illegally tapping the state’s Rainy Day Fund to cover a $6.5 billion gap in spending and revenue.
“Despite last year’s progress removing the state from the Regional Greenhouse Gas Initiative (RGGI), the governor again pushes for new energy taxes, continuing to promote his Lightning Plan that would double electricity bills for Pennsylvania families and businesses.
“And while more than 60,000 students are on a waitlist for scholarships and over 200,000 students are stuck in failing schools, Gov. Shapiro chooses to cut funding rather than expand educational options.
“If Governor Shapiro spent more time in Pennsylvania, he’d understand that Pennsylvanians want affordable, reliable energy, lower taxes, and transformative school choice, not another year of deficit spending and looming tax hikes.”
Commonwealth Foundation experts are available for further comment. Please contact Giana DePaul at gmd@commonwealthfoundation.org or (215) 859-0384 for media inquiries.
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