Gov. Newsom would slash 10,000 vacant state jobs to help close $27.6 billion deficit

[Spartan]

California has a budget deficit of $27.6 billion, Gov. Gavin Newsom announced Friday.

The Democratic governor outlined the deficit Friday as part of his proposed $288 billion state budget for the fiscal year that starts July 1. Cutting 10,000 vacant state jobs and suspending some business tax deductions are some of the ways he’s looking to close the gap in the largest budget of any state.

“These are programs, propositions that I’ve long advanced — many of them,” Newsom said. “But you’ve got to do it. We have to be responsible. We have to be accountable.”

The deficit is smaller than the $38 billion Newsom predicted in January, but that’s because it doesn’t include $17.3 billion in cuts and other actions he and lawmakers already agreed on to help close it. Otherwise, it would be closer to $45 billion.

This is the second year in a row the nation’s most populous state is facing a multi-billion dollar shortfall. State revenues have continued to fall amid increasing inflation and a slow-down in the state’s normally robust technology industry. Collections from the state’s three major taxes were more than $6 billion below previous estimates through the end of April.

Newsom says his plan will address both this year’s deficit and a projected $28.4 billion deficit for the following year. He plans to outline more than $32 billion in cuts to make that happen.

The state Legislature must pass a spending plan by June 15.

Newsom and the non-partisan Legislative Analyst’s Office have disagreed on the true size of the state’s deficit this year. The LAO will release its own estimate next week, which will likely be larger.

Newsom, in his last term as governor and widely seen as a future presidential candidate, announced a nearly $38 billion deficit in January, driven by declining revenues. Days later, the nonpartisan Legislative Analyst’s Office said the deficit was actually $58 billion when including some reductions in public education spending.

State officials needed a big rebound in tax collections to improve things, but it hasn’t happened. Through the end of April, state tax collections from its three biggest sources — personal income, corporations and sales — dropped more than $6 billion below the previous estimate.

That means the deficit has likely gotten larger, and Newsom will have to propose more ways to fix it. This is the second year in a row California has had a deficit, and so far the state has avoided the most painful cuts to major ongoing programs and services. Instead, Newsom and lawmakers have slashed one-time spending, delayed other spending and borrowed from other accounts.

A bigger deficit could force tougher choices. In January, Newsom floated the possibility of delaying a minimum wage increase for health care workers that Newsom signed into law to much fanfare just last year.

[Raisins_72]

Mingatam, 10gatam 

[Variety_Pullayya]

atleast opposition ki vote vestharu ana bhayam kuda undadu.... 

[Spartan]

1 minute ago, Variety_Pullayya said:

atleast opposition ki vote vestharu ana bhayam kuda undadu.... 

abbe alantivi ma degara asala ledu

[AndhraneedSCS]

State tax oka 1% penchithe antha set avuddi  antaru. 

[Hitman]

Friend ki 2nd job undi CA state government di. ee news  cheppalaaa vaddaa? Next year extension vastado raado ani tension ivvadam endukule...

[Moon_Walker]

1 hour ago, Spartan said:

California has a budget deficit of $27.6 billion, Gov. Gavin Newsom announced Friday.

The Democratic governor outlined the deficit Friday as part of his proposed $288 billion state budget for the fiscal year that starts July 1. Cutting 10,000 vacant state jobs and suspending some business tax deductions are some of the ways he’s looking to close the gap in the largest budget of any state.

“These are programs, propositions that I’ve long advanced — many of them,” Newsom said. “But you’ve got to do it. We have to be responsible. We have to be accountable.”

The deficit is smaller than the $38 billion Newsom predicted in January, but that’s because it doesn’t include $17.3 billion in cuts and other actions he and lawmakers already agreed on to help close it. Otherwise, it would be closer to $45 billion.

This is the second year in a row the nation’s most populous state is facing a multi-billion dollar shortfall. State revenues have continued to fall amid increasing inflation and a slow-down in the state’s normally robust technology industry. Collections from the state’s three major taxes were more than $6 billion below previous estimates through the end of April.

Newsom says his plan will address both this year’s deficit and a projected $28.4 billion deficit for the following year. He plans to outline more than $32 billion in cuts to make that happen.

The state Legislature must pass a spending plan by June 15.

Newsom and the non-partisan Legislative Analyst’s Office have disagreed on the true size of the state’s deficit this year. The LAO will release its own estimate next week, which will likely be larger.

Newsom, in his last term as governor and widely seen as a future presidential candidate, announced a nearly $38 billion deficit in January, driven by declining revenues. Days later, the nonpartisan Legislative Analyst’s Office said the deficit was actually $58 billion when including some reductions in public education spending.

State officials needed a big rebound in tax collections to improve things, but it hasn’t happened. Through the end of April, state tax collections from its three biggest sources — personal income, corporations and sales — dropped more than $6 billion below the previous estimate.

That means the deficit has likely gotten larger, and Newsom will have to propose more ways to fix it. This is the second year in a row California has had a deficit, and so far the state has avoided the most painful cuts to major ongoing programs and services. Instead, Newsom and lawmakers have slashed one-time spending, delayed other spending and borrowed from other accounts.

A bigger deficit could force tougher choices. In January, Newsom floated the possibility of delaying a minimum wage increase for health care workers that Newsom signed into law to much fanfare just last year.

Eee lafoot gallaki entha tax lu icchina they will end up in deficit. What a f$$ked up state but voters will keep voting them. Daridrapu dem gallu state ni coverted to a s$$t hole.

[Spartan]

1 minute ago, Moon_Walker said:

Eee lafoot gallaki entha tax lu icchina they will end up in deficit. What a f$$ked up state but voters will keep voting them. Daridrapu dem gallu state ni coverted to a s$$t hole.

2022 lo covid money kinda 27B$ oste....fukat lo panchinru andariki..

ave ippudu split cheste..deflicit would have been only 10B per year.

[Spartan]

naaku telisi e deflicit kuda ..panchadaniki account chesina money ye..

else economy is doing fine for all regular operations

DNayallu..deflicit anagane schools lo cut down start chesaru...kaani freebies matram aapamu antunnaru