2026-27 PA Budget signed into law, Education Sees Some Gains (July 13, 2026)

On July 12, 2026, Governor Josh Shapiro signed into law the 2026-27 PA budget. See below for some of the education-related highlights:

✅ A $565 million increase through the bipartisan adequacy and tax equity formula – for a total of $1.9 billion driven out to the schools that need them most.

✅ A $58 million increase in Basic Education Funding.

✅ A $55 million increase in Special Education Funding.

✅ A requirement that schools provide 30 minutes of daily recess for students in kindergarten through fifth grade, through the School Code. 

✅ $10 million through the performance-based funding formula to Penn State, the University of Pittsburgh, and Temple University, $500,000 for University College at Temple University, and $1.1 million for Lincoln University, the nation’s first college-degree-granting HBCU. 

✅ A $5.9 million increase for the Pennsylvania State Grant program through the Pennsylvania Higher Education Assistance Agency (PHEAA) to maintain maximum awards.

✅ A $10 million increase for CTE programs, for $193 million in total annual workforce development funding – a 60 percent increase compared to when Governor Shapiro took office.

✅ Additional funding to expand the Student Teacher Stipend Program includes a $10 million increase that allows aspiring teachers to earn income while completing their full-time classroom training.

✅ $10 million in dedicated state funding for the 988 crisis hotline.

$5 million for mental health walk-in centers to provide timely and accessible options for Pennsylvanians who need support outside of regular business hours.

✅ A $658,000 investment to enhance ChildLine staffing and provide more training to all workers — which will allow caseworkers more time and resources to effectively triage calls before referring them to the counties or appropriate agency.

The budget leaves the Commonwealth with a healthy surplus of approximately $8 billion by the end of the 2026-27 fiscal year.

The Governor’s remarks as prepared for the 2026-27 budget signing ceremony can be found here.