Gov. Tom Corbett presented a 2013-14 budget proposal this morning that includes removing the oil company franchise cap, decreasing the flat gas tax from 12 cents to 10 cents, revamping the pension system for new government workers and repealing the corporate loans tax.

The Republican governor's third budget address was expected to focus heavily on pension reform and transportation funding. To see a full copy of the budget, click here.

Corbett had already revealed his plan to privatize the state liquor stores, with proceeds directed to education funding.

This budget cycle and what the governor ultimately gets accomplished could define his term and significantly impact his re-election chances in 2014.

For live updates, follow staff reporter Jason Scott on Twitter, @JScottJournal.