As the Commonwealth of Pennsylvania begins the second quarter of its 2025–26 fiscal year, it does so without a finalized state budget. This delay, coupled with the recent partial shutdown of the federal government, has created a unique and challenging “double whammy” for Pennsylvania’s businesses and residents.

In response to the state budget impasse, State Treasurer Stacy Garrity announced a $500 million loan program last week aimed at supporting counties and select social service providers. However, these loans will accrue interest, which must be repaid once a state budget is enacted.

The Pennsylvania House and Senate reconvened in Harrisburg in September following a shortened summer recess. Heading into October, the House is scheduled for seven voting days, while the Senate has nine. Legislative leaders have indicated that additional voting days may be added if a budget agreement is reached.

With budget negotiations dominating the legislative agenda, navigating the chambers’ legislative calendars has proven difficult. Notably, no new bills related to the firm’s industry have been introduced since our last update.