Gov. Rendell and the legislature could have to wrestle with more than the looming $1.2 billion budget deficit the state faces this year. It may have to add on another $850 million to the pile unless the feds come through with requests for aid to subsidize health and welfare costs. And the feds may not. The Pennsylvania Budget and Policy Committee
reports that the so-called FMAP money was stripped out of a jobs bill by the U.S. House last week. Pennsylvania's share is $850 million and unless it is restored later in the legislative process, it will create a huge hole in the health and welfare budgets.
