Chesapeake Bay Foundation: PA State Budget Settlement Holds Promises And Pitfalls For The Environment

In a statement on November 13, the Chesapeake Bay Foundation said it is relieved that the months-long impasse over Pennsylvania’s new budget has been resolved and includes funding for conservation, but is also disappointed that it came at the expense of conceding a climate program that would have reduced carbon emissions.

Governor Josh Shapiro signed the Commonwealth’s $50.1 billion General Fund budget for fiscal year 2025-2026 on Wednesday.

The budget was negotiated at the expense of Pennsylvania’s potential for clean air and community investments through the abrogation that ends the Commonwealth’s participation in the Regional Greenhouse Gas Initiative (RGGI).

The RGGI is a coordinated effort between several Northeastern states that sets a regional limit on carbon dioxide emissions from power plants. The emissions cap lowers over time, leading to cleaner air and less pollution to waterways while reducing emissions that contribute to climate change.

In other words, RGGI would have reduced pollution in Pennsylvania and brought in billions of dollars to invest in local communities.

More favorably for Pennsylvania’s environment, the new budget includes an over 5.5 percent increase in funding for the Department of Environmental Protection, and a reinvestment of $10 million in the Agricultural Innovation Grant.

Also, the Clean Streams Law, as part of the Pennsylvania Tax Code, continues to be allocated annually at $50 million, which includes over $35 million to the Agriculture Conservation Assistance Program (ACAP). 

This sustained allocation to ACAP will put more clean water projects on farms that reduce pollution and improve the health of local rivers and streams.

Julia Krall, CBF Pennsylvania Executive Director, said:

“Negotiating away an important program like the Regional Greenhouse Gas Initiative through the budget sets a bad precedent. Now this action threatens the health of Pennsylvania’s rivers, streams, and the Chesapeake Bay.

“Ending Pennsylvania’s participation in the RGGI is a move in the wrong direction. Greenhouse gases continue to pose significant threats to our personal and economic health, the quality of our local rivers and streams, and to climate stability. Carbon dioxide emissions know no boundaries.

“With our changing climate, increasingly common heavy rains, flooding, and overheated runoff will intensify pollution, erode productive farm soils, and destroy habitats vital to wildlife in Pennsylvania, like the eastern hellbender and native brook trout.”

For more on Chesapeake Bay-related issues in Pennsylvania, visit the Chesapeake Bay Foundation-PA webpage.  Click Here to sign up for Pennsylvania updates (bottom of left column).  Click Here to support their work.

Also visit the Keystone 10 Million Trees Partnership to learn how you can help clean water grow on trees.

Resource Link:

-- Chesapeake Bay Foundation: Despite Federal Shutdown’s End, Damage To Bay Restoration Could Linger

Related Articles This Week:

-- State Budget Agreement Mixed Bag For Environment: RGGI Gone; $156 Million Solar For All Money OK’d; PUC Review Of Load Forecasts; $15 Million For Oil & Gas Regulation; More Cuts To Special Funds Coming  [PaEN] 

-- Gov. Shapiro said about the provision ending RGGI-- “For years, Senate Republicans have used RGGI as an excuse to stall substantive conversations about energy. Today, that excuse is gone.  It’s time to look forward – and I’m going to be aggressive about pushing for policies that create more jobs in the energy sector, bring more clean energy onto the grid, and reduce the cost of energy for Pennsylvanians. It’s time to get it done--  and I know we can.”

-- Chesapeake Bay Foundation: Despite Federal Shutdown’s End, Damage To Bay Restoration Could Linger

NewsClips:

-- Inside Climate News - Jon Hurdle: Gov. Shapiro Files To Discontinue PA Supreme Court Appeal Of RGGI Rule After State Budget Deal [RGGI Was Never Implemented]

-- WESA - Rachel McDevitt: PA Ends Attempt At Carbon Pollution Regulation [RGGI], Leaving Questions On How To Address Climate Change

-- The Center Square: The Carbon Tax Saga Ends In Pennsylvania, For Now  [Ending RGGI That Was Never Implemented] 

-- The Center Square: PA Senate Republicans React To State Budget Deal They Passed

-- Inquirer - Frank Kummer: Rise Of A.I. Data Centers Prompts Lawmakers To Seek More Say Over Electric Grid Load Forecasts In Budget Settlement

-- Spotlight PA: $50.1 Billion State Budget That Ends Impasse Sends $565 Million To Needy Schools, Makes Key Climate Concession [Ending RGGI That Was Never Implemented] 

-- Inquirer: PA Budget Deal Kills Major Program To Control Greenhouse Gases [Ending RGGI That Was Never Implemented] 

-- Spotlight PA: Democrats Sacrifice Climate Program For $50.1 Billion State Budget Agreement  [Ending RGGI That Was Never Implemented] 

-- WHYY - Susan Phillips: Breaking The PA Budget Impasse Hinged On Ditching A Major Climate Initiative  [Ending RGGI That Was Never Implemented] 

-- Bloomberg: Pennsylvania Moves To Exit Regional Carbon-Trading Market [Ending RGGI That Was Never Implemented] 

-- WHYY: SEPTA CEO Calls PA State Budget ‘Disappointing’ After Transit Funding Left Out 

-- TribLive: State Budget Agreement Sees No New Money For Public Transit

-- Inquirer Editorial: Harrisburg Finally Passes A State Budget, But It Comes At A Steep Cost For PA’s Effort To Stem Greenhouse Gases [Ending RGGI That Was Never Implemented]

[Posted: November 14, 2025]  PA Environment Digest