On Thursday, Governor Gavin Newsom unveiled his May Revision of the 2019-20 State Budget (May Revision) – his first since taking office in January. The Governor’s May Revision is an attempt to more accurately reflect revenue and expenditure projections, and then apply those projections to the overall spending package originally proposed in January. The $213.5 billion budget reflects a spending plan that includes $147 billion in General Fund expenditures, as well as $65 billion in funding allocations derived from special funds, federal dollars, and bond proceeds.
Enjoying the inheritance of a budget surplus, in January Governor Newsom highlighted his Administration’s commitment to building budget resiliency, and paying down the state’s unfunded pension liabilities in an effort to “build the foundation for the California dream.” With revenue projections $3.2 billion higher than anticipated in January, these commitments remain, while the Governor’s May Revision also prioritizes one-time investments to tackle the “affordability crisis that California families face on health care, housing, early education and higher education.”
The Rural Rundown, RCRC’s analysis of the Governor’s 2019-20 May Revision of the State Budget, can be accessed here.