Although the General Assembly passed a budget before the statutory deadline, they have not decided how to pay for all of the spending. It is obviously irresponsible to decide how much to spend without knowing where the money is coming from, but that is how government typically operates.
House Republicans prefer a mixture of increasing the types of gambling legal under state law (and the associated revenue), higher taxes on tobacco products, back taxes from tax delinquents and increased sales of alcohol. Evidently, they were not able to figure out how to raise taxes on strippers, or that would probably be in the mix too.
House Democrats are skeptical of the Republicans revenue estimates, and probably with good reason. However, their solution isn’t to spend less money, which would be the responsible thing to do. House Democrats are proposing reinstating the gross-receipts tax on natural gas bills. The gross-receipts tax is analogous to a sales tax and is paid directly by the consumer. According to information from the Energy Information Administration, roughly half of all Pennsylvania homes rely on natural gas for heat.
The Senate has not released any proposals on what taxes they plan on increasing to cover the budget.