Gov. Newsom and legislative leaders announce a deal on the California budget that dips into reserves and cuts some spending
Get the news that matters to all Californians. Start every week informed.Gov. Gavin Newsom talks to reporters as he unveils his revised 2024-25 budget proposal at the Capitol Annex Swing Space in Sacramento on May 10, 2024. Photo by Fred Greaves for CalMattersGov. Newsom and legislative leaders announce an agreement to bridge the state budget deficit by dipping into reserves and reducing some spending.
“This agreement sets the state on a path for long-term fiscal stability — addressing the current shortfall and strengthening budget resilience down the road,” Newsom. “We’re making sure to preserve programs that serve millions of Californians, including key funding for education, health care, expanded behavioral health services, and combatting homelessness.
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.
As part of their agreement, Newsom and the Legislature will pursue several additional measures to address the circumstances that led to California’s steep deficit. While the state experienced a, a delay in tax collections last year caused by winter storms shielded the extent of California’s weakening fiscal condition until after the governor and lawmakers had already committed to too much new spending.
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