House kills pension bill, leaving budget deal in tatters

HARRISBURG, Pa. (AP) – A bill to make changes to Pennsylvania’s two large public-sector pension systems has been defeated, collapsing a deal to end the state budget impasse.

The state House voted 149 to 52 on Saturday against the proposal to put newly hired teachers and state workers into a hybrid system made up of a traditional pension along with a 401(k)-style benefit.

House Majority Leader Dave Reed, who argued strongly for the bill, says the next move will be to advance a stopgap budget.

Pennsylvania’s been without a budget since the start of July, leaving schools and government agencies scrambling to pay bills.

The vote is a win for unions that represent teachers and government workers.

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