Harrisburg, Dauphin County - After weeks of anticipation, Governor Tom Corbett laid out his proposed budget for 2013-2014 Tuesday in Harrisburg.
The spending plan increases overall spending and critics say if it is approved, it could end up costing people more at the gas pump.
Hundreds of people jammed into the capitol rotunda to protest the budget address.
"Now is not the time to cling to old ideas and the status quo," Governor Corbett said.
The governor is calling for an additional $90 million for public schools but some democrats worry that money for education is tied to the privatization of the liquor system.
"What he did is create an ultimatum that we need to vote for the privatization of liquor in order to get that money and that's just not going to happen," State Representative Kevin Haggerty said. "We can't sell our souls to pay for one thing to provide for the other."
Raising money to fix the state's roads and bridges is another priority of the governor.
He wants to increase the wholesale tax that gas stations pay on gasoline.
"This cap was put in place at a time when the experts assumed the price of gasoline, a gallon of gasoline would never go beyond $1.25," Governor Corbett said.
Opponents say something needs to be done to raise money for transportation but they worry Corbett's plan would lead to higher prices at the pump.
"We have a tough decision to make in the general assembly about the implications of what he's suggesting because it's a gas tax, no matter how you cut it," State Senator John Blake said.
"Somebody's paying for it and if it's the consumer, then it's an increase," State Representative Sid Michaels Kavulich said.
The governor also wants to tackle pensions.
"Now is the time to be truly innovative," Corbett said.
Corbett wants to reduce future benefits for current state workers.
"That's probably the 800-pound gorilla," State Senator David Argall said. "We have to address that issue before it eats us alive."
Democrats say the governor's plan is full of gimmicks and will hurt people for years to come.
"The governor's proposal today is not a realistic solution. We need to get away from the gimmicks. We need to get serious about investing in Pennsylvania's future," State Senator John Yudichak said.