Prison Spending Cuts Pose a Political Problem and, Therefore, a Math Problem

The budget for the fiscal year that began July 1, assumes that state prison spending will be reduced by nearly $1.2 billion – but doesn’t say how more than $631 million of that savings will be achieved.

Gov. Arnold Schwarzenegger says only that it will be accomplished by new policies – “reforms” — that will lower inmate and parolee populations.    Read more »

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A Look at the July Budget Package “Assumptions”

While not rivaling Clive Cussler, James Patterson or Ian Fleming for pacing or excitement, the Legislative Analyst Office’s appraisal of the budget package signed July 28 is worth perusing – if only to note the number of times the word “assumes” appears.

The package of bills which include eliminating automatic cost-of-living increases in state programs aimed at helping the poor and infirm, were an attempt to close an estimated $24 billion hole in the budget for the fiscal year that began July 1.    Read more »

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No More IOUs

In good news for the California taxpayers and businesses who received $1.5 billion in registered warrants – IOUs – from the state, the state controller and state treasurer announced August 13 that the warrants will be paid back September 4, one month earlier than expected.

The state will seek a $1.5 billion short-term loan to begin redeeming the IOUs.    Read more »

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What Exactly Is An Appropriation?

What is an appropriation?

That is the fundamental issue in the lawsuit filed August 10 by Senate President Pro Tempore Darrell Steinberg seeking to overturn Gov. Arnold Schwarzenegger’s veto of nearly $500 million in spending in the package of bills designed to close a $26 billion hole in the budget for the fiscal year that began July 1.    Read more »

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Whither the Williamson Act?

One of the odder victims of the budget signed by Gov. Arnold Schwarzenegger is the Williamson Act which helps keeps farm and ranch lands from being sold and, potentially, developed.

Of the budget’s spending – some $84.6 billion in the general fund – the Williamson Act represents $27.8 million in state payments to reimburse mainly rural counties who offer property tax subsidies to farmers and ranchers.    Read more »

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A Summary of the Budget Balancing Plan

Floor Report

of the

2009-10 State Budget

As Modified by AB/SB 4X 1

July 22, 2009

Noreen Evans

Chair, Assembly Budget Committee

SUMMARY

This Floor Report summarizes the contents of a majority vote package of bills that provides $24 billion in budgetary savings and achieves a $921 million reserve.

California’s budget reflects the harsh reality of diminished resources forced by the recession and mirrors the difficult decisions millions of our residents must make in these lean times.    Read more »

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Give Early, Give Often

Among the measures used to help balance the budget for the fiscal year that began July 1 is paying more estimated tax payments sooner.

Prior to this year, taxpayers and corporations paid four quarterly payments of their estimated tax liability of 25 percent each. To help balance the budget in February, that payment schedule was changed to 30 percent during the first two quarters and 20 percent during the final two.    Read more »

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What the Budget Deal Means for Public Schools

A major component of the budget deal announced the evening of July 20 is a commitment by the state to pay back public schools $11.2 billion they have been shorted over the past two years.

Proposition 1B on the May ballot, which was defeated by voters, would have required the state to pay back $9.3 billion but the amount owed schools has grown.    Read more »

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DAY 20: FISCAL YEAR 2009-2010 YREKA!!! BUDGET DEAL ANNOUNCED

A deal was announced around 7:15 PM, Pacific Standard Time, between Gov. Arnold Schwarzenegger and the Legislature on closing an estimated $26 billion gap in the budget for the fiscal year that began July 1.

As always, untidy details to follow.

-30-    Read more »

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Day 20: Fiscal Year 2009-2010

SACRAMENTO

4:47 PM, Pacific Standard Time

As of this hour, no deal has been struck between lawmakers and Gov. Arnold Schwarzenegger on closing an estimated $26 billion hole in the budget for the fiscal year that began July 1.

*****

On July 19, Assembly Speaker Karen Bass, a Los Angeles Democrat, predicted a deal would be consummated before the end of the week.    Read more »

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