Governor Jerry Brown signed what he called an “honest but painful” balanced budget before the deadline on June 30.
This is only the second balanced budget that has been on time in the last ten years.
The $129 billion budget was passed with a simple majority in the legislature, due to a law that voters passed last year, and then signed by the governor.
The budget signing has been delayed as a result of a $25 million deficit, but was resolved through surplus in projected tax revenues. However, according to the Los Angeles Times, there could be more cuts made to fill in the gap if the projected tax revenues are incorrect.
As is, the budget contains many cuts to state services. These include a 23 percent cut to State University funding as well as increased fees for both community colleges and State Universities.
Governor Brown even dismantled the California Postsecondary Education Commission, which coordinates the California State University system, University of California system and state community colleges, in order to save $1.9 million. According to Brown, the panel was “ineffective.”
Other cuts included cuts to funding of state social programs such as welfare, medical and other services for the poor, the disabled and the elderly. On top of that, about 70 state parks are going to be closed to save money.
“We gave our pound of flesh at the office,” Senate President Pro Tem Darrell Steinberg (D-Sacramento) told the Los Angeles Times. “The governor pushed for a better plan and we support his plan.”
Ana Matosantos, the governor’s budget director, commented Republicans were to blame for most of the cuts because they have been resistant to tax increases. Republicans shot back and criticized Democrats for cutting necessary elements while relying too much on tax increases and revenues.
“This is a hope-without-change budget,” Senate Minority Leader Bob Dutton (R-Rancho Cucamonga) told CBS. “It relies on hope for billions of dollars and does nothing, absolutely nothing, to change government as usual.”
For now, the budget is balanced and working. However, Brown still has plans to gain more revenue throughout the year by rallying his allies to push through voter-approved taxes in a ballot later in the year.
The fight over California’s financial future is still far from over.
