KCA Statement on the 2026-27 Pennsylvania State Budget

HARRISBURG, PA — The Keystone Contractors Association (KCA) appreciates the completion of Pennsylvania’s 2026-27 State Budget and is encouraged by its overall fiscal restraint.

From the perspective of Pennsylvania’s construction industry, we are pleased that the Commonwealth maintained its commitment to fiscal stability by preserving the Rainy Day Fund. Maintaining healthy reserves strengthens Pennsylvania’s financial position and helps provide confidence for taxpayers, employers, and the businesses that build and maintain the Commonwealth’s infrastructure.

We are also encouraged that the budget contained relatively few major policy changes. While there are many important issues facing Pennsylvania, significant policy decisions deserve careful analysis rather than being rushed through the budget process.

In particular, KCA believes it was prudent not to advance major initiatives like the legalization of recreational marijuana as part of this year’s budget negotiations. KCA does not support the legalization of marijuana, but we do understand that complex issues like this carry long-term economic, regulatory, and workforce implications and should receive thoughtful public debate, stakeholder feedback and legislative committee reviews before becoming law.

Pennsylvania has experienced the consequences of rushing major policy initiatives before. When casino gaming was legalized during the Rendell administration, the process moved quickly, and several casino licenses were awarded to investors whose financial capacity had not been fully vetted. One project ultimately experienced significant financial problems, leaving construction contractors and suppliers with substantial unpaid work. The financial losses were severe enough that two Pennsylvania construction companies ultimately went out of business.

That experience serves as an important reminder that economic development initiatives must be paired with strong financial due diligence and responsible oversight. As an advocate for construction employers, we cannot stress enough how important it is for careful planning to protect both taxpayers and the businesses that invest their people and resources into these projects.

KCA looks forward to working with the Shapiro Administration and the General Assembly on policies that strengthen Pennsylvania’s construction industry, promote responsible economic growth, and ensure the Commonwealth remains financially sound for years to come.

About the Keystone Contractors Association

The Keystone Contractors Association (KCA) is a leading Pennsylvania commercial construction association representing contractors, specialty contractors, suppliers, and industry partners. KCA is dedicated to advancing the construction industry through advocacy, workforce development, education, safety, and member services while helping build a stronger Pennsylvania.

Media Contact:
Jon O’Brien
Executive Director
Keystone Contractors Association
717-884-2801
Jon@KeystoneContractors.com

Pennsylvania Construction Recap – Top Stories for the Week Ending December 12, 2025

This week’s top stories in Pennsylvania:

Major Development Announcement for Historic Philadelphia Landmark: Developers revealed new plans for the Wanamaker Building in downtown Philadelphia that will transform the historic site with a renovated Grand Court, residential conversion of upper floors, and an 18×60-foot rooftop pool. This project is intended to overhaul a struggling section of Market East and boost economic activity. Construction is expected to start in early 2026. READ MORE.

Energy Efficiency Jobs Continue to Grow: A recent report highlights that energy efficiency employment climbed 4.63% in 2024, outpacing national growth, with over 76,000 people working in the sector across Pennsylvania. This growth reflects stronger demand for energy-efficient construction and retrofits. READ MORE.

Pennsylvanians Are Skeptical of AI’s Impact on the Economy: A new poll shows nearly twice as many Pennsylvanians believe AI will hurt the economy as those who think it’ll help — with concerns especially around job losses and impacts on local industries like data centers. This sentiment contrasts with ongoing tech infrastructure expansion. READ MORE.

Stay Safe, Stay Informed & Keep Building Pennsylvania!