Governor: Tax hikes needed for $16B CA budget gap
SACRAMENTO, Calif. (AP) –
California Gov. Jerry Brown is proposing more than $8 billion in cuts to
close a widening California budget deficit but also says public schools
will receive more money if voters approve his tax-hike initiative in
November.
Under the latest budget
proposal, Brown wants public employees to take a 5% pay cut and he seeks
cuts to health care and social services.
Brown released his revised
spending plan Monday for the fiscal year starting July 1, saying the
state faces a $15.7 billion deficit. That is roughly 17% of its $91
billion general fund.
It also is far higher than
the $9.2 billion gap Brown anticipated in January. The Democratic
governor says the size of the deficit makes it virtually impossible to
balance the budget with spending cuts alone.
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