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Low Tax Revenue Leads to Budget Concerns

May 1, 2014
HARRISBURG (AP) Facing a substantial revenue shortfall, lawmakers are pressing their ideas to raise taxes or cut costs.

Pennsylvania's April tax collections remained well behind projections Wednesday with one day to go in the important revenue month.

Senate officials say the shortfall was $477 million. That compounds a deficit that was about $170 million on April 1.

The Senate's top Democrat, Jay Costa, made the case on the chamber's floor for ideas the caucus says could save more than $1 billion. Those include expanding Medicaid under the 2010 federal health care law and privatizing the management of Medicaid-funded nursing home care.

Bucks County Republican Rep. Gene DiGirolamo says he wants to tax the booming natural gas industry and smokeless tobacco.

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