SCVNews.com | COVID Response Tops Priority List in Massive $227 Billion California Budget | 01-09-2021

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Sacramento-California Governor Gavin Newsom (Gavin Newsom) took advantage of the unexpected windfall brought about by the extraordinary tax performance at the end of 2020, in the budget proposal released on Friday The state’s Covid-19 response and school reopening set aside billions of dollars.

The $227 billion plan includes $164.5 billion in general fund expenditures, which is higher than the current budget of $202 billion and $134 billion. Newsom’s third budget proposal earmarked $14 billion to fight the flu pandemic and resurrect broken businesses and low-income workers, as well as record K-12 education expenditures.

In an almost empty auditorium in downtown Sacramento, Newsom told a group of reporters that the state’s financial situation may have reached 180 in the past year, but its progress has not been worthwhile.

"Mine, a lot has changed," Newsom said. "The numbers have changed dramatically, fluctuating by $60 billion, but our value has not changed."

With a booming economy and 115 consecutive months of job growth, Newsom was ecstatic and spent several hours last January to provide reporters with projects in an ambitious $222 billion budget. The budget was originally the largest in the history of the state. There are several progressive projects scattered on it, including billions of dollars to expand health care for homeless and undocumented Californians, and a proposal to require voters to spend 40%. Billion dollar bonds to address climate change proposals.

However, the plan was short-lived because the coronavirus quickly invaded the West Coast and caused the state's economy to shut down as a whole. In just a few months, Newsom and his advisers have gone from planning a $5.6 billion surplus to preparing for an estimated $41 billion reduction in revenue.

Newsom said in May that “there has been no such number since the Great Depression,” and the statewide unemployment rate is estimated at 18%.

Newsom and Democrats were forced to return to the Cartography Committee and eventually compromised a $2020 billion spending bill that relied on deferring payments to schools and withdrawing from the state’s rainy day fund to make up for drained taxes income. They considered the plan to be "pragmatic" and a boost to the main streets, which included drastic cuts in social programs, judicial and government workers' salaries.

At the same time, state Republicans, who occupy less than one-third of the seats in both the Senate and Congress, warn that the budget is built on a fragile foundation and will put taxpayers into trouble.

The shrinking, pandemic-changing budget is a clear reminder of how turbulent California's fiscal and budget negotiations can be.

But as the pandemic spread into the fall, Newsom’s advisers and legislature clearly exceeded the scope of the deficit.

After the initial statewide blockade was eased, the company quickly reopened and the staff returned to the customer’s spending habits. By November, tax revenue exceeded the budget forecast by more than $11 billion, prompting experts to predict that the state will spend $26 billion in a one-time budget in the 2021-22 budget.

Newsom reiterated his vision for a windfall on Friday, calling for billions of dollars to reopen schools, support small businesses and combat climate change.

The plan includes

Incentives designed to stimulate schools to resume face-to-face learning in the coming months, especially for elementary schools and school districts that provide services to poor students.

The Democratic governor also wants lawmakers to approve a

This includes US$1.5 billion for clean energy transportation, US$575 million for small businesses and nearly US$800 million for job creation. He also requested US$300 million to strengthen the state’s Covid-19 vaccination efforts and proposed a US$4.1 billion environmental spending plan.

Of the US$4.4 billion planned for immediate Covid-19 rescue, US$2 billion will be used for testing, US$473 million for contact testing, and US$372 million for vaccines. Newsom said that the key to California's recovery is to find ways to speed up early vaccinations across the state.

"Our focus on the budget is the reality of getting rid of the freezer and injecting these vaccines into the people. We must do this in order to safely reopen for face-to-face guidance and the reopening of California businesses, large and small," Newsom said.

In order to compensate for the rapid increase in new spending, Newsom hopes to withdraw a total of 34 billion U.S. dollars from its discretionary profits and national reserves. Although the plan assumes a surplus of $15 billion in the next fiscal year, Newsom expects expenditures to quickly exceed tax revenues, and the state may fall into a gap of $11 billion in 2024-25.

Newsom sounds like his predecessor Jerry Brown (Jerry Brown), warning lawmakers to be cautious during negotiations, because the state’s financial outlook is difficult to predict and at best vague. He reiterated that during the economic recession and the global pandemic, it is a particularly bad idea to initiate new permanent spending programs (such as subsidized health care for undocumented elderly people).

He continued: "On the basis of all macroeconomic headwinds, this is very, very fragile. This is based on the recent surge of Covid-19 and the reality of uncertainty. This moment not only marks American history, but also the world. History," he continued. At a press conference of more than 2 hours.

Public education bears the brunt

, But the latest version can restore nearly two-thirds of the deferred budget to balance the budget. Newsom said that K-14 education expenditure will reach 90 billion US dollars, which will hit a record high and greatly exceed the minimum limit set by state law.

The increase in funding is proposed for $400 million for student mental health programs, $250 million for increased transitional kindergarten options, and $545 million for special education for infants and preschoolers.

After a devastating season, the governor proposed another batch of expensive firefighting equipment, which had several of the largest wildfires in the state’s history and burned a record 4.3 million acres. The budget includes $2.9 billion for Cal Fire and $143 million for hiring new firefighters, aerial tankers, helicopters and radar equipment.

Although Newsom hopes to approve several projects related to pandemic relief in the next few weeks,

For tax preparers with an annual income of less than $30,000, Friday’s blueprint is only the beginning of budget negotiations with the Democratic-controlled legislature.

Next, the main budget bill will be introduced in Parliament and the State Senate along with various advance or implementation bills. The nonpartisan Office of Legislative Analysis will then issue a series of reports to guide legislators’ budget committee hearings, while the governor traditionally proposes revised proposals in May.

Parliamentarians must approve the budget by a majority vote by June 15 and then send it to Newsom, who has the power to veto item by item, but cannot increase funding above the level approved by the legislature. In 2011, during the impact of the Great Depression, then Governor Brown vetoed the entire budget proposal a few hours after lawmakers approved the green light.

After the frequently postponed and truncated 2020 meeting, the legislature plans to reconvene in Sacramento and begin processing the budget next week.

National Democratic actor

As the "ideological basis" for budget negotiations.

State Senator Bill Dodd (D-Napa) said: "Despite a difficult year, responsible budgeting puts us in a good position to invest in the most important areas for Californians." "For now, that means. We want to support a strong public health system, which must face unprecedented challenges, and provide help for small businesses that are striving to persevere."

It is foreseeable that Republicans excluded a 2010 initiative from the state’s budget process after voters approved it, which changed the legislative requirement for budget approval from a two-thirds vote to a simple majority.

Vince Fong of R-Bakersfield, deputy chairman of the Congressional Budget Committee, said the budget would put families in trouble and would not help contain many of the state's most embarrassing problems, such as homelessness, power outages and the troubled unemployment sector.

"California is facing crises again and again. Fong said: "We are engaged in a result-oriented business. Under this standard, the governor has failed. No matter how many new plans and working groups are created in his budget, reality will not change. "Increasing bureaucracy will only increase the frustration and anxiety of Californians every day.

Other notable line items include:

US$500 million is used to stimulate housing development on brownfields or previously contaminated land, and US$300 million is used to clean up toxic sites,

US$183 million was spent on flood management and embankment restoration, and US$100 million was spent on restoring the over-permeated groundwater basin in the Central Valley.

Provided $170 million to the Air Resources Board to help farmers replace old equipment with newer, lower-emission options,

$13 billion was allocated to the Department of Corrections and Rehabilitation, which is expected to close the prison in September.

1.2 billion Canadian dollars to support minimum wage increases, and

750 million Canadian dollars is used to promote the purchase of unused motels and other idle buildings and convert them into housing for the homeless.

"Our financial situation is much better than anyone had imagined a few months ago," Newsom concluded.

* * * * *

“The budget reflects the disconnect between the governor’s priorities and the priorities of ordinary Californians. He proposes to spend $3 billion on zero-emission vehicle infrastructure and other climate innovations for state government workers, and Californians want to know their next Where will the meal come from. The benefits of EDD are still frozen, distance learning is a disaster, and small businesses are folded like cards.

"As a member of the Senate Budget Committee, I look forward to dissecting the governor’s plan and ensuring that our state-level resources are focused on what is important to real people-the pandemic, getting kids back to school, getting people back to work, This helped our small businesses to recover and carry out large-scale reforms under the country’s shame on the unemployment insurance institutions.”

“At a time when the global pandemic poses great challenges to our students, families and educators, the next few weeks and months represent the most important public education moments in our lives. The investment we choose must urgently help us Schools, and immediately recovered from this crisis, and accelerated learning for the students and families hardest hit by the global pandemic, which has exacerbated historical inequalities. Our priorities should not only help Our school is safely free from the impact of COVID-19, and should immediately redouble its efforts to establish a level playing field for a generation of students.

"I want to thank Governor Gavin Newsom (Gavin Newsom) for proposing a budget until our educators, school employees, and the community have all received vaccinations, addressing major areas of demand, because public schools are considering How to safely resume face-to-face teaching. Today’s budget proposal also marks a powerful start to address the growing gap in learning and learning among our people of color, low-income families, disabled children, and English-speaking students.

"As the budgeting process progresses, we think there is an opportunity to attract and solicit opinions from California students, families, educators, and partners to explore what we can do to bridge the current learning gap, including discovering more Academic opportunities, expanded learning programs and interventions, and family participation strategies. Increasing investment in mental health is also crucial to solving the severe trauma students suffered in this crisis. We know this will be for their learning and lifelong learning The ability to have a lasting impact.

"We look forward to working with the governor's office, legislature, and all education stakeholders to discuss today's budget proposal and step up investment in a way that makes all 6 million students in California succeed."

"Governor Gavin Newsom (Gavin Newsom) has allocated more funds in the budget to those programs that are dedicated to funding much-needed low-income housing, retaining and preserving jobs, and helping to reduce greenhouse gas emissions. "

“Prioritize the urgent needs of Californians. Make wise investments. Accelerate job creation. Revitalize economic development and innovation. Replenish the rainy day fund and budget reserve. The Governor’s 2021-22 budget is wise and prudent. Now we must do our best. Go ahead to achieve a sense of urgency and fairness."

“Today’s proposed budget shows that as we respond to COVID-19 and help those most affected by the pandemic, California stands ready to continue meetings. My proposal for the governor is in terms of workforce development and alleviating California’s hard-working small businessmen and women Appreciation of the investment. Together with the new tuition increase for UC and CSU, it will only make our recovery stronger."

"The governor’s budget failed to address the most pressing and pressing issues facing Californians, including the failure of EDD, the failure to return children to school, the provision of meaningful support and reforms for small businesses, and the failure to adequately address wildfires and energy crises. , Valadares said on Twitter.

``Governor Newsom's budget proposal from January 21 to 20 22 provides California State University with a welcome reinvestment and demonstrates his contribution to public higher education in training our state's future leaders and A continuing belief in the power to improve the lives of Californians.

"As demonstrated in the past few years, according to the 2025 graduation plan, the state’s investment in Colorado State University has provided students with more opportunities and achieved record-breaking achievements, thereby promptly providing professional graduates with Employment opportunities. We appreciate this thoughtful proposed investment, which will undoubtedly lead to more Californians from all backgrounds to obtain high-quality, life-changing degrees and promote Golden State’s economic recovery."

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