Gov. Josh Shapiro proposed on Tuesday a $51.5 billion state budget in his annual address, calling for major investments in health care and education, while focusing on government efficiency as the state approaches a hefty budget shortfall.

Gov. Ned Lamont eyed Medicaid reimbursement rates, a hospital tax restructuring and pharmaceutical costs in his biennial budget proposal.

Gov. Josh Shapiro’s budget plan continues to ramp up investment in Pennsylvania’s underfunded K-12 schools, adding more than $500 million to a formula unveiled last year that gives big boosts to poorer communities.

While praising the overall intent in proposed funding for public schools, two education advocacy groups in Pennsylvania on Tuesday issued a warning for Gov. Josh Shapiro’s proposed spending plan for K-12 education.