Fumo cited the 'cloud' of indictment as the main reason for his decision to leave office once his term ends in January. He suffered a heart attack March 2 that sent him to the hospital for a week. He was released on Sunday.

Flanked by his family and Gov. Rendell, Fumo made his announcement at a 25-minute press conference at the Pennsylvania Convention Center.

"I did not make the decision to retire because of health issues but I did take time while recovering in the hospital last week to reassess my life and set a few new priorities. To be frank, the stress of being under indictment has taken a very real emotional toll," said Fumo, 64.

"There are a number of reasons why I have chosen to retire but above all I simply don't think it is right for me to ask the voters who have put their faith in me all these years to consider voting for me one more time while there is a cloud hanging over my head."

At times during his speech, Fumo's voice cracked with emotion.

This September, Fumo is scheduled to go on trial on a massive 139-count indictment charging him with defrauding taxpayers and two nonprofit organizations, and with attempting a coverup to obstruct the FBI investigation.

He was facing three opponents in the April 22 primary, including a well-financed campaign from labor leader John Dougherty.

Rendell this morning lauded Fumo's more than 30 years of public service in Pennsylvania, saying, "no one had a more prolonged impact."

Rendell then cited Fumo's long list of successes that he attrbuted to Fumo's legislative leadership.

The governor said he called Fumo in the hospital after his recent heart attack and urged him not to make a hasty decision to step down, telling the senator "I need you and I'm going to need you this year."

Rendell said, "We're all complex people, nobody's one hundred percent good, nobody's one hundred percent bad. We see that every day."

Rendell added, "when you total up the score," with Fumo's lifetime of accomplishments "the balance tips dramatically in favor of Vince Fumo."

Earlier, awaiting the start of a budget hearing in City Hall this morning, Council members expressed disappointment of Fumo's decision to not seek re-election, saying it was a significant loss for the city.

"I'm really sad about what's happening with the senator at this time," Majority Leader Marion Tasco said. "He has been a strong supporter of the Philadelphia for some time, using the power of his office to benefit Philadelphia."

Citing his seniority after serving seven terms in office, she added, "Losing him in that seat will set us way back.. . . It's kind of earth-shaking."

Councilman Bill Green, who last week endorsed Fumo rival John Dougherty for the First Senate District seat, said: "Sen. Fumo's doing what he thinks is best for his family, and we'll certainly miss him fighting for Philadelphia in Harrisburg."

Privately, councilmembers and staff said they were shocked at Fumo's decision not to run, guessing whether his recent heart attack was a turning point for him.

One longtime Fumo ally, Councilman Jim Kenney, said, "It's the best thing he could've done for his family, health, and emotional state," particularly as he awaits his September court trial on corruption charges.

Council has seen its share of political drama, including incidents that have resulted in colleagues going to jail. However, the impact of today's news was much graver, and deeper, something more comparable to the FBI's Abscam investigation in 1980.

"It's a passing of a period where he was a living legend," said Councilman Curtis Jones. "You either loved him or hated him, but all respected him."

Fumo was still maintaining the pretense of running as late as Tuesday night.

At a Liberty City political club candidates forum, the senator's aide Ed Hanlon spoke on Fumo's behalf while the three other candidates made personal appearances.

Staff writer Joseph A. Gambardello contributed to this story.