Gov. Edward Rendell last week announced he will impose a 4.25% spending reduction for state agencies to generate roughly $200 million of savings in Pennsylvania’s current $28 billion operating budget to help offset an anticipated decline in state revenues.

The governor said officials must suspend out-of-state travel and also imposed a hiring freeze, except in rare cases, in order for the commonwealth to adjust to a softening economy.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.