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January 08, 2016

Pa. Charities Assess Budget-Fight Hit as State Aid Resumes

Some Pennsylvania nonprofits have begun receiving state funding again as Democratic Gov. Tom Wolf and the Republican-controlled legislature partially resolved a six-month budget standoff, but charity leaders say impact from the impasse could be lasting, the Reading Eagle writes.

The flow of nonprofit funding dried up when the government and GOP lawmakers were unable to agree on a new tax and spending plan before the July 1 start of the fiscal year. Some groups began getting state dollars again after Mr. Wolf signed off on a partial budget December 29 that included about $160 million for Head Start and pre-kindergarten programs.

The budget fight forced early-education groups in Berks County, in eastern Pennsylvania, to interrupt programs and lay off employees, some of whom are still awaiting calls to return to work. Area nonprofits took out $898,000 in low-interest loans from the Berks County Community Foundation to weather the revenue stoppage, foundation spokesman Jason Brudereck said.