CA Governor's 2016-17 budget proposed, legislature debates

The Daily Journal (San Mateo County), Don Thompson and Juliet 1/8/16. "Brown unveils $122.6B budget: Includes education, health care infrastructure money; increase to rainy-day fund."

Spending priorities, rainy-day fund.

"SACRAMENTO — Gov. Jerry Brown proposed a $122.6 billion budget plan for California on Thursday (1/7/16) that includes billions more in spending for education, health care and state infrastructure, bumps the state rainy-day fund to $8 billion and takes steps to pay down debts.
“Relative to budgets of the past, this budget is in good shape,” Brown said of his 2016-17 spending plan. “We also ought to look at what’s the capacity of the state, and what’s the taxpayer willingness to spend more.”

.... The substantial investments proposed by Brown’s administration underscore the state’s soaring economic recovery. The state faced a $26 billion budget deficit when Brown took office in 2011, forcing deep cuts to social welfare programs, schools and universities. ....  Brown warned again Thursday of the inevitable boom-and-bust cycle, proposing to end the fiscal year with an $8 billion rainy-day fund.

....  Brown’s announcement sets the stage for a months long debate with lawmakers over spending priorities. Despite the large spending increases, Brown acknowledged there is not money for everything on lawmakers’ wish lists.  ....  The budget plan also reflects Brown’s transportation proposal to spend $3.6 billion a year on infrastructure improvements, funded through a combination of vehicle registration fees, increases to the diesel and gas taxes, and diverting money from the fees charged to polluters."  Read article.

Related articles.  The Daily Journal/Associated Press, 1/8/16,"Key 2016-17 state budget proposals": Education, Health Care, Transportation, Rainy-Day Fund, Corrections, Environment.
The Daily Journal/Bill Silverfarb, 1/8/16, "Asemblyman Kevin Mullin: Jerry Brown's budget falls short on housing." ".... Assemblyman Kevin Mullin, D-South San Francisco, said the state needs to do more to address the state’s housing needs since redevelopment agencies were dissolved when the state was deep in debt back in 2011..... "... the budget does not go far enough to address the state’s “inadequate transportation infrastructure.”     

Note photograph by Rich Pedroncelli/AP from San Jose Mercury News, 1/9/14.

Posted by Kathy Meeh