Gov. Gavin Newsom speaks on Tuesday, May 14, 2024, at the Cordilleras County Mental Health Facility in Redwood City, Calif., about the $3.3 billion from his new mental health bond measure that will soon go toward building more treatment centers and supportive housing for homeless people. Gov. Newsom and legislative leaders announce an agreement to bridge the state budget deficit by dipping into reserves and reducing some spending.
The plan makes $16 billion in cuts, including a blanket 7.95% reduction in funding for nearly all state departments and the elimination of thousands of vacant positions, which are collectively expected to save nearly $3.7 billion.
This will allow the state to protect what Newsom and legislative leaders touted in their announcement as “core programs,” including an expansion of Medi-Cal, California’s health care program for the poor, to all adults regardless of their immigration status, as well as increased funding for behavioral health, welfare grants and supplemental income for seniors. Local governments will receive anotherduring which teachers unions ran a television advertising campaign criticizing Newsom. About $5.
The budget deal proposes legislation, to be taken up in August, that will require the state to set aside a portion of future projected surpluses so that it cannot be spent until the money is collected. It also suggests putting a constitutional amendment before voters in 2026 to grow California’s main reserve account.California Politics |