California's budget has billions in cuts to close deficit

California's budget has billions in cuts to close deficit


SACRAMENTO, Calif. (AP) – California Democratic Gov. Gavin Newsom signed a $202.1 billion budget on Monday, reflecting an economy and tax revenues hobbled by the coronavirus pandemic. The budget contains billions of dollars in cuts to state worker salaries, the court system and public colleges and universities. But that spending would be restored if the federal government sends the state more aid by Oct. 15.

Here’s a look at some of the biggest components of the budget:

FALLING REVENUES

Trending: Rush Limbaugh Gives Cancer Update: ‘Very Confident This Is Going To Go Into Extra Innings’

California’s budget went from an anticipated $6 billion surplus in January to an estimated $54.3 billion deficit. The remarkable reversal is blamed on the coronavirus pandemic, which caused state revenues to fall after Newsom issued a stay-at-home order that forced many businesses to close and caused more than 6.7 million Californians to file for unemployment benefits.

FILLING THE BUDGET HOLE

Temporary tax increases on businesses, mostly those that have more than $1 million in annual revenue, will raise about $4.4

Continue reading

You Might Like

Do NOT follow this link or you will be banned from the site!
Send this to a friend