Pennsylvania

Pennsylvania Gov. Tom Corbett got the on-time budget he wanted — by minutes.

Pennsylvania's House of Representatives on Wednesday was expected to send to Gov. Tom Corbett a $27.15 billion budget for fiscal 2012 that marked a 3% cut in spending.

Pennsylvania's Senate late Tuesday approved a bill that would force a state takeover of Harrisburg and other financially strapped cities if they don't approve a recovery plan, and prohibit them from filing for bankruptcy protection.

The Pennsylvania Higher Educational Facilities Authority plans to sell $118.4 million of Series AM fixed-rate, tax-exempt revenue bonds through competitive bid on Wednesday.

As Tuesday's public hearing nears on the proposed fiscal recovery plan for Harrisburg, many agree that regardless of whether Pennsylvania's distressed capital city files for Chapter 9 bankruptcy protection, getting all parties to look beyond their own interests is a major task.

Moody's Investors Service last week downgraded $1.1 billion of Catholic Health East debt to A2 from A1 due to cash-flow margins that fall below similar A-rated health care credits.

As the clock starts to tick for Harrisburg to act, local officials are parsing through a 418-page fiscal recovery plan that recommends the cash-strapped Pennsylvania city sell its incinerator and sell or lease other assets to pay down $220 million of outstanding debt tied to the facility.

A long-awaited fiscal recovery plan issued Monday urges Harrisburg, Pennsylvania's capital city, to avoid a filing for bankruptcy and look toward asset sales and leases to get out from under its incinerator debt.

The Internal Revenue Service is conducting an audit of the Philadelphia School District, officials have confirmed.

Pennsylvania’s year-to-date revenue collections are $506 million above budgeted estimates as the state’s personal and business tax receipts and sales-tax revenue showed strong results in April.

Clifton Gunderson LLP will help Harrisburg with its overdue 2009 audit and its 2010 audit.

Pennsylvania Gov. Tom Corbett last week appointed Ann Dugan to serve on the board of the Intergovernmental Cooperation Authority, which oversees Pittsburgh's budget and fiscal issues.

Pennsylvania’s capital city of Harrisburg should pursue negotiations with stakeholders to work out repayment of its outstanding debt before resorting to filing for bankruptcy.

With a revamped marketing push to attract investor interest, Philadelphia this week will sell $272.2 million of tax-exempt general obligation debt to finance ongoing capital projects and refund earlier bonds for debt-service savings.

WASHINGTON — The Internal Revenue Service is auditing $21 million of variable-rate general obligation bonds that were issued in 2005 by the Spring Grove Area School District in Pennsylvania to finance school projects, but were redeemed in 2009.

Cravath, Swaine and Moore LLP will file Thursday its analysis of a potential bankruptcy filing for Harrisburg, Pa., but the City Council may not release that report to the public until next week.

The Internal Revenue Service is auditing $100 million of general obligation bonds that the Reading School District in Berks County, Pa., issued in 2005 to finance school construction and improvements.

For more than a year, Harrisburg’s incinerator facility and its heavy debt load have epitomized public finance gone wrong.

Pennsylvania Gov. Tom Corbett Tuesday released a $27.3 billion spending plan that is $866 million smaller than the current-year budget and includes no new taxes or tax increases.

Sam Katz, a founder of Public Financial Management Inc., will serve on the board of the Pennsylvania Intergovernmental Cooperation Authority, which reviews Philadelphia’s budgets and five-year fiscal plans.