Just in Time: California Has a Budget
|June 29, 2011||Posted by Ashley Cohen under Blog||
Last night, lawmakers approved an $86B package using spending cuts, tax revenues and new fees. Democratic lawmakers used their majority vote to fill in the remaining $9.6B deficit without renewals to state sales and vehicle taxes (set to expire Thursday). The end of these taxes will save the average Californian about $260 a year.
A series of related bills were passed to raise fees and shift prison system responsibilities to local governments. New revenue will come from a $12 increase in annual vehicle registration fees and a $150 annual fee on property owners in rural areas depending on wildfire protection. If the revenues do not reach the projected $4B, $2.5B in additional spending cuts will be made to schools, higher education and social services in the middle of the fiscal year. This includes:
- Authorizing school districts to shorten the school year by seven days
- Increasing community college fees
- Cutting $100M more from IHSS
- Cutting $250M from school bus transportation
- Cutting $1.3B from UC and CSU systems
These cuts are in addition to the $14.6B in cuts agreed to in March.
Brown and Democrats say they plan on putting a tax measure on the November 2012 ballot in order to bypass the required Republican support.
Read more here.