Pennsylvania proposed FY 2027 budget Archives - Safety-Net Association of Pennsylvania

PA Health Policy Update for February 6

The following is an update of selected state health policy developments in Pennsylvania from February 2 – February 6 (Some of the language used below is taken directly from state documents).

Budget Update

Governor Shapiro issued his fourth budget address before a joint session of the House and Senate this past Tuesday, sharing his priorities for the 2026-2027 Fiscal Year Budget. In total, the FY 2026-2027 budget proposes spending $53.26 billion, $2.7 billion more than the current fiscal year. The proposed budget, which exceeds anticipated revenues by $4.6 billion, represents a $2.72 billion, or a 5.4 percent, increase over the prior fiscal year. The budget is balanced primarily by utilizing $4.6 billion in Rainy Day Fund reserves, leaving approximately $3 billion in the fund’s balance. This budget does not include a broad-based tax increase but it once again proposes legalization and taxation of skill games and recreational adult use cannabis and raising the minimum wage to $15 per hour.

General Assembly

The House and Senate both were in session this week but will break from session until March 23^rd for the House and March 16^th for the Senate. Both the House and Senate Appropriations Committees will begin their hearings to examine the Governor’s Budget Proposal. Key hearings are as follows:

Insurance Department: House – Feb. 24^th at 10am

Department of Health & Department of Drug & Alcohol Programs: House – Feb. 24^th at 1pm

Department of Human Services: Senate – Feb. 25^th at 10am; House – Mar. 4^th at 10am

Department of Aging: House – Mar. 10^th at 1pm

Governor’s Budget Office: Senate – Mar. 4^th at 1pm; House – Mar. 12^th at 10am

Dates for all five special elections to fill vacancies in the House have now been scheduled. House District 22 in Lehigh County & House District 42 in Allegheny County are scheduled for February 24^th. Elections for House District 79 in Blair County and House District 193 in Adams County will be held on March 17^th. Lastly, the special election for the vacancy in York County’s House District 196 will be on May 19^th to coincide with this year’s primary election.

The following are healthcare-related bills or cosponsor memos released by legislators this past week:

Rep. Bridget Kosierowski and Rep. Jim Struzzi released a co-sponsor memo for legislation directing the Legislative Budget & Finance Committee (LBFC) to study the financial and administrative impacts of compliance with hospital regulations, and recommend action on any duplicative or outdated regulations currently in effect.
Rep. Joe Webster issued a co-sponsor memo soliciting support for legislation banning facility fees for outpatient services by healthcare providers and creating “site-neutral” payment caps.
In support of Gov. Shapiro’s Innovate PA 2.0 budget priority, Rep. Tim Briggs circulated a co-sponsor memo in the House for legislation to implement the program and Chairman Vince Hughes released a corresponding version in the Senate.
Sen. Michele Brooks has also released a co-sponsor memo directing the Legislative Budget & Finance Committee (LBFC) to study the burden of regulations on healthcare facilities and providers in PA.
Sen. Tracy Pennycuick and Sen. Frank Farry issued a co-sponsor memo for legislation to establish the Biobonds Innovation Fund, modeled after the federal “Loans for Biomedical Research Act.”
Reps. Emily Kinkead, Andrew Kuzma, Tarik Khan, Liz Hanbidge, and Darisha Parker have issued a co-sponsor memo for legislation prohibiting co-pay accumulator policies.

Department of Human Services

Check out DHS’ Human Services Helpers, on the Substack platform – a media platform for video, podcasts, etc. – that will cover updates on DHS programs, news from the agency, and how organizations and partners can help their communities.

DHS issued Medical Assistance prior authorization guidance for the following:

DHS’ Office of Mental Health & Substance Abuse Services (OMHSAS) issued an MA Fee Schedule Bulletin announcing the addition of Psychiatric Rehabilitation Services to the MA Fee Schedule.

Independent Regulatory Review Commission

Independent Regulatory Review Commission issued comments to the DHS’ proposed Mental Health Procedures Regulations.

Stakeholder Meetings

The Patient Safety Authority will hold a public board meeting on Tues. Feb. 10^th at 1pm.

Federal Update

Click here for a review of this week’s federal activities.

PA Safety Net Admin2026-02-10T21:33:52+00:00February 6th, 2026|Meetings and notices, Pennsylvania Bulletin, Pennsylvania Medicaid, Pennsylvania Medicaid laws and regulations, Pennsylvania proposed FY 2027 budget|Comments Off

PA Health Policy Update for January 30

The following is an update of selected state health policy developments in Pennsylvania from January 26 – January 30 (Some of the language used below is taken directly from state documents).

Governor’s Office

Governor Shapiro will offer his annual budget address, laying out his priorities for the 2026-2027 Fiscal Year Budget, before a joint session of the House and Senate on Tuesday Feb. 3^rd. You can watch the address live at 11am on Tuesday.

The Governor’s Office of Policy & Planning released its updated Regulatory Agenda detailing estimated timelines for the release of proposed or final regulations to the Independent Regulatory Review Commission. The Department of Health estimates that it will publish proposed changes to the hospital regulations in May 2026.

General Assembly

The House and Senate will both convene next week in session Monday through Wednesday and will convene in joint session for the Governor’s Budget Address Tuesday morning.

The House also has another vacancy as Rep. Seth Grove of York County resigned his office effective January 31st. Rep. Grove most recently chaired the House Labor & Industry Committee and previously chaired the House Appropriations Committee. Until special elections are finalized this leaves the House with five vacancies and a balance of power at 100 (D) – 98 (R).

The House passed HB 348, sponsored by Rep. Tim Bonner, by a measure of 199-0. This legislation would require nursing facilities to make residents aware of the option to have legal counsel assist residents with their eligibility for Medical Assistance. The bill now moves to the Senate for its consideration.

The following are healthcare-related bills or cosponsor memos released by legislators this past week:

Rep. Justin Fleming issued a co-sponsor memo for legislation to create a tax credit program for Direct Support Professionals.
Rep. Brenda Pugh released two emergency services-related co-sponsor memos. The first would require additional transparency for the Emergency Services Operating Fund (EMSOF) and the other would create a Fire & EMS Recruitment & Retention Grant program.
A co-sponsor memo released by Rep. Kyle Mullins and Rep. Bryan Cutler would create regulations and licensure requirements for medical imaging professionals.
Representatives Lisa Borowski, Paul Friel, and Thomas Kutz introduced HB 2162 which would allow for companies to apply for a state pharmaceutical licensure concurrently with FDA approvals.
Rep. Bridget Kosierowski introduced HB 2164 which would create a Complex Care Assistant certification for family members of medically fragile children.
Sen. Cris Dush released a co-sponsor memo directing the Legislative Budget & Finance Committee to perform a study examining the PA Medicaid program.
Senators Katie Muth, Lindsey Williams, and Nikil Saval circulated a co-sponsor memo establishing combined tax reporting for businesses in Pennsylvania.
Sen. Maria Collett released a co-sponsor memo for legislation maintaining coverage for Affordable Care Act- required preventative services.

Department of Drug & Alcohol Programs

The Department highlighted nine grants totaling $1.9M for Single County Authorities supporting fourteen counties to support the expansion and development of recovery houses and recovery support services.

Department of Health

DOH issued notice of the inclusion of Deuchenne’s Muscular Dystrophy to the Recommended Uniform Screening Panel (RUSP) supplemental conditions list for the Newborn Screening Program effective Jan. 1, 2027.

Department of Human Services

DHS issued notice of Medical Assistance Day One Incentive (MDOI) payments for nonpublic nursing facilities.

The Department released notice of renewal of the OBRA Waiver and the Community Health Choices Waiver. Both waiver updates would add teleservice delivery, behavior therapy, and benefits counseling, among others.

DHS shared Prior Authorization guidelines for Manual Hospital Beds and Accessories and Face and Ear Prosthesis.

PA Health Care Cost Containment Council

PHC4 issued a report detailing data behind the closures of Brandywine Hospital and Jennersville Hospital.

Independent Fiscal Office

The Independent Fiscal Office released its 2026 Mid-Year Revenue Update. The report details prior revenue estimates vs actual revenues for the Commonwealth. The IFO continues to issue caution on a structural deficit for the Commonwealth at current spending & revenue levels.

Joint State Government Commission

As directed by House Resolution 170 of 2023, the Joint State Government Commission released a report and advisory committee recommendations on the Adoption and Use of Artificial Intelligence in Pennsylvania.

Stakeholder Meetings

The Department of Health’s Organ Donation Advisory Committee will meet on Thurs. Feb. 5^th at 10am.

DOH’s Brain Injury Advisory Board will hold a public meeting on Fri. Feb. 6^th from 10am to 3pm.

The Patient Safety Authority will hold a public board meeting on Tues. Feb. 10^th at 1pm.

Federal Update

Click here for a review of this week’s federal activities.

PA Safety Net Admin2026-01-30T21:48:31+00:00January 30th, 2026|Governments, Meetings and notices, Pennsylvania Bulletin, Pennsylvania Medicaid, Pennsylvania Medicaid laws and regulations, Pennsylvania proposed FY 2027 budget, Pennsylvania state budget issues|Comments Off

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