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Wolf declines to say whether budget will meet deadline

HARRISBURG - Pennsylvania lawmakers returned to work in Harrisburg on Monday with just weeks left to avert a repeat of last year's budget fiasco, a process that wasn't resolved until Gov. Tom Wolf let budget legislation become law without his signature in March and April.

Wolf, a Democrat, won't predict whether talks with the Republican-controlled Legislature will produce a new budget by the time the coming fiscal year kicks off on July 1."I wouldn't be someone to make a prediction," Wolf said as he left his Capitol offices. He said negotiators were "moving" and "trying to get things to the point where we're not here for a long time this year."Wolf has proposed a $33.3 billion spending plan that would increase funding for schools, public pensions, human services and prisons. It would be paid for mostly with an 11 percent increase in the state's personal income tax, from 3.07 percent to 3.4 percent, along with higher taxes on gas drilling, gambling, insurance premiums, tobacco products and cable TV.Republicans balked at tax increases last year and hope to reap significant savings from changes to the state's two major public-sector pension plans for state workers and teachers. All 203 seats in the House and half of the 50-seat Senate are on the ballot in November.The House late last month voted against two proposals that would have expanded gambling to fund teachers' pensions.Groups that represent public school administrators and business officials said Monday a survey of their members indicated 85 percent of districts plan to increase property taxes, about half expect to cut or scale back academic programs and activities, nearly half plan job cuts and a strong majority will be increasing class size.The study by the Pennsylvania Association of School Administrators and the Pennsylvania Association of School Business Officials said the 2015-16 impasse forced 48 districts to borrow money to operate and caused more than 140 districts to lower, delay or renegotiate vendor payments.Wolf said he had not seen the study but recognized the effect state policymakers have had on local schools."I think there's some real interest in making sure that we do our budgeting so that they can plan a little bit better," he said.The Legislature's independent fiscal agency estimates the deficit for the coming fiscal year at $1.8 billion.