PITTSBURGH -- The last paychecks for tens of thousands of state employees went out on Friday, and many of them are wondering how to make ends meet while Pennsylvania's budget impasse continues.

Pennsylvania is operating with no budget and cannot meet payroll until state lawmakers in Harrisburg reach agreement on a new budget, which is more than three weeks overdue.

About 44,000 employees received a 20 percent paycheck Friday. Some may have received no pay at all, depending on the size of their benefits deduction. All future paydays will be payless until a new budget is passed.
Related: Legislature Employees Still Getting Paid, But No Timesheets Kept

Gov. Ed Rendell said 20 banks and credit unions have been added to the list of financial institutions willing to provide special low- or no-interest loans to state workers. (See Full List Here)

Rendell is also asking the Mortgage Bankers Association and the top mortgage service providers to be flexible with state employees when it comes to late payments, and he asked the Pennsylvania Housing Finance Agency to restructure mortgage loan terms for state employees.

A complete list of all help that's available to state employees during the budget impasse is posted at www.oa.state.pa.us.
Related Link: Frequently Asked Questions About The Budget Impasse

"The short-term effect on state employees cannot be the tail that wags the dog," Rendell said. "But having said that, we are deeply concerned about the welfare of our state employees."

Denise Rollinitis is the aunt of a state police dispatcher and a part of one of the many families affected.

"It depends on what I bring in. And yeah, just my pay. And what little bit my sister makes from her Social Security. And we'll just try to pull together and make the best we can make out of it," said Rollinitis.
Video - Watch Tara Edwards' Report

But as the cash flow slowly comes to a halt, and families are considering taking out loans, many state lawmakers continue to get daily per diems.

WTAE's news exchange partners at the Pittsburgh Tribune-Review reported that 35 of 50 senators and 169 of 203 House members claim $158 a day. Annually, that totals about $33,000 for each day the budget isn't passed.

Rendell and Democratic allies in the Legislature are pushing for a budget with a mix of cuts and new or expanded taxes. Many Republican state representatives are arguing against tax increases.

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