RCRC’s Rural Rundown of Governor Newsom’s 2024-25 Proposed Budget

On Wednesday, January 10th, Governor Newson released his Administration’s 2024-25 Proposed Budget. This proposal begins the budget development process between the Governor and Legislature; with the onus on lawmakers who must pass a budget by June 15th for the July 1st start of the 2024-25 fiscal year.   

The Governor’s 2024-25 Proposed Budget of $291 billion reflects a roughly $38 billion budget shortfall, based largely on stock market declines and a delay in income tax reporting.  This $38 billion deficit is far lower than the $68 billion previously projected by the state Legislative Analyst’s Office.  The proposal addresses the shortfall through a variety of measures and includes a proposed $222 billion General Fund, which includes $114 billion in personal income tax, $35 billion in sales and use tax, and $38 billion in corporation tax revenues. 

The Rural Rundown captures highlights of the proposal as it relates to RCRC member counties and can be accessed here.