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Schwarzenegger: No budget til he leaves office?

July 26, 2010
Gov. Arnold Schwarzenegger caused a stir in the Capitol Monday when he told reporters he wouldn't sign a budget that didn't include long-term reforms, even if it means the state goes without a new spending plan until he leaves office in January.

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Show the Legislature how to balance the budget

June 10, 2010
Next 10, a nonprofit based in the Silicon Valley, does a great job with its online Budget Challenge, which allows anyone to try their hand at balancing the state budget. The challenge offers a variety of cuts and tax increases and explains the background and context of each. Give it a shot and see how well you do at erasing the state's $19 billion shortfall. You can find the challenge here.

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State has cash through October, Chiang warns of IOUs

June 2, 2010
State Controller John Chiang has told the governor that the state's cash flow will remain positive through at least August, even if there is no budget by then. But at that point, he said, he will need to start taking action, possibly including the issuance of IOUs, if lawmakers and the governor have not put a new spending plan in place.

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LAO suggests delaying tax break, trimming it

May 26, 2010
A corporate tax break the Legislature adopted as part of last year's budget package should be scaled back and its implementation delayed, the nonpartisan Legislative Analyst recommends in a new report.

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Democrats propose $4.9 billion tax package

May 24, 2010
Senate Democrats unveiled a $4.9 billion tax increase package Monday, saying that without new revenue California would be forced to make program cuts that they consider unacceptable. The package would extend the life of temporary tax increases passed last year while delaying the roll out of business tax breaks, most of which were part of the same package adopted a year ago on bipartisan votes in the Legislature.

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Poll: Voters favor mix of cuts, taxes

May 19, 2010
By a narrow margin, California voters prefer to balance the state's budget with a mix of spending cuts and tax increases, according to a new independent poll released Wednesday. But almost as many people say they would erase the state's entire deficit mostly with spending cuts.

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LAO: Don’t eliminate welfare

May 18, 2010
The Legislative Analyst office is out with its quick review of Gov. Arnold Schwarzenegger's revised budget, and the nonpartisan analyst recommends scrapping the governor's proposals to eliminate welfare and subsidized child care. Similar savings can be achieved elsewhere in the budget, the office, says, with less pain to people who rely on the the state for survival or to be able to work while someone watches their children.

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The anatomy of a budget shortfall

May 15, 2010
If state revenues are climbing next year, why does California face an $18 billion budget shortfall? For a couple of reasons: mainly the need to retire this year's deficit and cope with costs that are programmed to rise automatically in the year ahead. Daniel Weintraub offers an outline to explain the numbers behind the budget mess.

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Group homes sue state over rate freeze

May 5, 2010
An association of group homes that care for Californians with developmental disabilities has sued the state to in federal court, arguing that a freeze on reimbursement rates since August of last year violates federal law.

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Tax receipts falter in April; ugly budget season coming

April 27, 2010
Three months of higher-than-expected tax receipts, which many in the Capitol had hoped would wipe out a big chunk of the state's budget deficit, appear to be coming to an end. April revenues so far have been several billion dollars below projections, with only five more days of envelopes to open at the Franchise Tax Board and the Employment Development Department. Unless the state sees a big end-of-the-month rally, the coming budget season is going to be a bleak one for people who depend on public services, and, potentially, an ugly one for the politicians in Sacramento.

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