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Newsom to Unveil California Budget Proposal Today

US
  • California governor Gavin Newsom (D-CA) will unveil his budget proposal for the next fiscal year in Sacramento today. The precise shape of the budget will be clear after revisions and clarifications in May, but it appears likely that California will record a multi-billion dollar budget surplus. The extent of the budget surplus risks breaching the Gann limit which compels the state to return money to the tax payer.
  • Newsom has already revealed plans for a USD$ 2.7 billion Covid-19 package. The proposed package will allocate funds to hospitals, expand vaccination programs, and increase testing facilities.
  • Newsom will reveal more details of how the budget will be allocated in the coming days. It is likely that he will be fiscally cautious and a large portion of the surplus will remain unallocated.

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