Connect with us

California Black Media

California State Budget: Legislature Announces Counter Proposal to Gov’s 2024-25 Plan

Last week, members of both houses of the California legislature discussed plans to close the state’s $27.6 billion budget gap, restore funds to build housing, preserve social services, and help the state save money. The legislative hearings on the budget took place nearly three weeks after Gov. Newsom presented the May revision of his 2024-25 annual spending plan.

Published

on

California Assembly Speaker Robert A. Rivas
California Assembly Speaker Robert A. Rivas.

By California Black Media

Last week, members of both houses of the California legislature discussed plans to close the state’s $27.6 billion budget gap, restore funds to build housing, preserve social services, and help the state save money.

The legislative hearings on the budget took place nearly three weeks after Gov. Newsom presented the May revision of his 2024-25 annual spending plan.

On May 30, Assembly Speaker Robert Rivas (D-Hollister) and Senate Pro Tem Mike McGuire (D-North Coast) announced a joint legislative budget proposal on May 30 that saves approximately half of the state’s reserves for future budget years.

“Fixing California’s deficit means making tough choices, so the Assembly came to these negotiations focused on preserving programs that matter most to Californians: lowering the cost of living, expanding affordable housing access and sustaining public services,” said Rivas.

The Democratic Party Budget Committee reviewed the governor’s proposed spending plan to remove various programs and reduce funding for agencies statewide. Newsom’s proposed cuts to public schools across California prompted teachers’ unions to push back with advertisements pressuring the governor to reconsider his budget plans.

The California Teachers Association argued that public schools could lose billions in the next few years resulting in a loss of teachers and resources in the state.

“This agreement is sound and makes the necessary tough decisions meeting the needs of this critical time, all while maintaining our commitment to strong public schools, investing in desperately needed resources in homelessness and workforce housing, health care access, resources to keep our communities fire safe, key climate investments and more,” said McGuire.

H.D. Palmer, a spokesperson for the Department of Finance, said that Gov. Newsom agreed to a temporary arrangement with the teachers’ union to delay spending cuts. The parties agreed to suspend Proposition 98, a law that guarantees an annual minimum amount of funding for public schools.

“The result of that is an agreement we can both support, and that advances two shared goals: avoid multi-billion-dollar cuts to schools in the near term and provide greater predictability for school budgets in the long term,” said Palmer.

The State Senate held budget hearings this week to finalize the plan due by June 15. By state law, once the budget plan is passed, the Governor will have to finalize it by July 1, the beginning of the new fiscal year.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Antonio‌ ‌Ray‌ ‌Harvey‌

Sen. Steve Glazer Vows Redo After Journalism Tax Bill Placed on Hold

Sen. Steve Glazer (D-Contra Costa County) shared his thoughts expressed his views about Senate Bill (SB) 1327 at Capitol Weekly’s “Covering California: The Future of Journalism in the Golden State” conference, which was held in Sacramento on May 30.

Published

on

Sen. Steve Glazer (D-Contra Costa) was the keynote speaker at Capitol Weekly's Covering California: The Future of Journalism In the Golden State event held in Sacramento on May 30. CBM photo by Antonio Ray Harvey.
Sen. Steve Glazer (D-Contra Costa) was the keynote speaker at Capitol Weekly's Covering California: The Future of Journalism In the Golden State event held in Sacramento on May 30. CBM photo by Antonio Ray Harvey.

By Antonio‌ ‌Ray‌ ‌Harvey‌, California‌ ‌Black‌ ‌Media

Sen. Steve Glazer (D-Contra Costa County) shared his thoughts expressed his views about Senate Bill (SB) 1327 at Capitol Weekly’s “Covering California: The Future of Journalism in the Golden State” conference, which was held in Sacramento on May 30.

During his keynote speech message at the one-day event, Glazer said admitted he couldn’t get the votes he needed to pass the bill SB 1327 that proposes imposing a “mitigation fee” on major digital technology companies to fund journalism jobs.

Despite the challenges, the Senator vows to keep the Legislation alive.

“We have had setbacks, and we have a lot of work to do to fix this, but I certainly am not giving up,” Glazer said at the event near the State Capitol. Glazer is chairperson of the Senate Revenue and Taxation Committee.

In addition to Glazer’s address, Capitol Weekly organized a probing conference that examined three of the most pressing issues facing California reporters.

Media experts, publishers, communications specialists, and political reporters assembled to discuss the preservation of fair, balanced, and accurate journalism. The need for media outlets to deliver high-quality news coverage that bolsters government, the assessment of new business models; and coverage of the State Capitol dominated the 5-hour event.

“It is nothing short of tragic I would say to see what is happening to the journalism industry,” said Tim Foster, Capitol Weekly’s Executive Director. “I’ve been in and around journalism since 1995 and what we are seeing today with the closing of the journalism industry is unprecedented in my lifetime.”

Glazer spoke for 45 minutes about the future of democracy and the role journalism plays in it. However, the Legislature’s failure to advance SB 1327 and why he pulled the bill was the main subject.

If SB 1327 should reemerge and be passed as law, fees collected would provide $500 million in employment tax credits to news organizations across California. The Senate Appropriations Committee voted to pass the bill with a 4-2 vote on May 16, but Glazer still needed a pathway for two-thirds of the votes required to make it off the Senate floor.

Glazer cited several reasons for why SB 1327 is facing opposition from digital tech giants like Google, Meta, Amazon, and publishers. These include concerns about increased advertising, the perceived threat of government influence, discrimination against larger publishers, a fear that the mitigation fee could trickle down to smaller news outlets as they expand, and nonprofit newsrooms that don’t pay taxes getting a share.

“Opponents will always sell the ghost in the closet,” Glazers said of entities that oppose the bill. “The news business is facing an existential threat, and they are fighting with each other over who will be the last passenger on the Death Star.”

California Legislative Black Caucus (CLBC) vice chair Steven Bradford (D-Inglewood) said on May 16 at the State Capitol that his biggest concern about SB 1327 was whether it would benefit Ethnic Media, including Black media platforms. “They’re usually left and still need more assistance,” Bradford said.

Continue Reading

Business

Newsom Admin Takes Steps to Stabilize California’s Troubled Insurance Market

As growing numbers of Insurance companies announce plans to exit California’s insurance market — or cancel customers’ policies — Gov. Gavin Newsom says his administration is taking steps to reverse the trend. Speaking during a news briefing on May 31, Newsom highlighted the plan, which was unveiled as part of a trailer bill on May 28.

Published

on

iStock
iStock

By California Black Media

As growing numbers of Insurance companies announce plans to exit California’s insurance market — or cancel customers’ policies — Gov. Gavin Newsom says his administration is taking steps to reverse the trend. Speaking during a news briefing on May 31, Newsom highlighted the plan, which was unveiled as part of a trailer bill on May 28.

Newsom said the proposal speeds up approvals for rate increases and addresses rising costs resulting from incidents like wildfires. Newsom said, under his plan, the Department of Insurance will be required to decide and respond to rate increase requests within 120 days. The plan also calls for streamlining the process for filing for increases; builds in two 330-deay extensions for finalizing rate changes; and provides room for insurers to appeal decisions.

“We need to stabilize this market,” Newsom said. “We need to send the right signals.

Proponents, mainly insurance industry representatives like the Personal Insurance Federation of California, are praising the Governor’s actions while consumer advocates warn that the plan is a threat to public intervention rights California’s Prop 103, a 1988 state law adopted to protect state residents from “arbitrary insurance rates and practices.”

Insurance Commissioner Ricardo Lara thanked Newsom for backing his office’s plan.

“To safeguard the integrity of the insurance market – composed of consumers, homeowners, and business owners – we must fix a system suffering from decades of deferral and delay,” said Lara in a statement. “This measure is one of several parts of a comprehensive plan to enact long-overdue regulatory reforms. The Legislature can do its part to support my reforms by giving this proposal a fair and full consideration, including public input. By enacting this important part of our strategy in statute, the Legislature can help us meet the urgency of the moment.

Lara is working on a longer-term strategy to shore up the insurance market that is expected to be released in December.

Continue Reading

California Black Media

LAO Releases Multi-Year Outlook: Modest Budget Deficits to Persist

The state budget deficit is projected to increase, which will require the Governor and Legislature to make more budget cuts over the next few years, California’s non-partisan Legislature Analyst’s Office (LAO) stated in a report last week. According to the LAO’s multiyear budget report that makes forecasts about the state’s general fund through the 2027-28 fiscal year, the state’s budget problem is $7 billion higher than expected due to lower revenue and spending estimates.

Published

on

iStock
iStock

By California Black Media

The state budget deficit is projected to increase, which will require the Governor and Legislature to make more budget cuts over the next few years, California’s non-partisan Legislature Analyst’s Office (LAO) stated in a report last week.

According to the LAO’s multiyear budget report that makes forecasts about the state’s general fund through the 2027-28 fiscal year, the state’s budget problem is $7 billion higher than expected due to lower revenue and spending estimates.

“Under our office’s revenue and spending projections, and assuming the Governor’s May Revision policies are adopted, the budget problem for this year is $7 billion larger,” the report reads.  “Put another way, the Legislature would need to take $7 billion in additional budget actions to balance the budget.”

This shortfall requires the Governor to reduce government spending by an additional $7 billion to balance the state’s deficit. However, if the legislature does approve the governor’s May Revisions the budget problems will carry over into the 2025-2026 fiscal year, increasing the existing budget deficit by nearly $10 billion.

California’s budget deficit could be as high as $73 billion, requiring the Legislature to consider harsh budget buts that can help the state economy recover long-term. However, the LAO’s spending estimates are lower than that of the state’s Department of Finance.

“The main reason that our estimates of the state’s operating deficits are slightly smaller than the administration’s is that our estimate of General Fund spending is lower than the administration’s estimates,” stated the LAO in the multiyear budget report.

The LAO’s estimates exclude spending on schools and community colleges, and lower estimated expenditures for Health and Human Services (HHS) programs. Based on the LAO’s estimates, Health programs grow annually by an average of 5.1 percent compared to the Newsom Administration’s estimated 8 percent.

“Our office has little insight into the components of, or assumptions underlying, the administration’s projections in HHS. As a result, we cannot identify the precise source of these differences—or the comparative reliability of our respective estimates — with confidence,” the LAO report stated.

Given the projections, the LAO recommends that the Legislature maintain an overall structure similar to the Governor’s May revisions in the final budget package.

Continue Reading

Subscribe to receive news and updates from the Oakland Post

* indicates required

CHECK OUT THE LATEST ISSUE OF THE OAKLAND POST

ADVERTISEMENT

WORK FROM HOME

Home-based business with potential monthly income of $10K+ per month. A proven training system and website provided to maximize business effectiveness. Perfect job to earn side and primary income. Contact Lynne for more details: Lynne4npusa@gmail.com 800-334-0540

Facebook

Attorney General Bonta and his team are working to review the decision and consider all options that will protect SB 9 as a state law. Bonta said the law has helped provide affordable housing for residents in California.
City Government1 month ago

Court Throws Out Law That Allowed Californians to Build Duplexes, Triplexes and RDUs on Their Properties

Rev. Amos C. Brown, president of the San Francisco NAACP and pastor of Third Baptist Church. Photo courtesy Third Baptist Church.
Activism1 month ago

S.F. Black Leaders Rally to Protest, Discuss ‘Epidemic’ of Racial Slurs Against Black Students in SF Public School System

Vibe Bistro Logo
Community1 month ago

Opening Soon: Vibe Bistro Is Richmond’s New Hub for Coffee, Cuisine, Community and Culture

Oak Days shelter, once a Days Hotel, resides in the Hegenberger corridor of Oakland. It is used as a temporary home to 60 residents who have experienced chronic homelessness or are medically vulnerable. Photo by Magaly Muñoz.
Alameda County1 month ago

An Oakland Homeless Shelter Is Showing How a Housing and Healthcare First Approach Can Work: Part 1

Activism1 month ago

Oakland Post: Week of May 8 – 14, 2024

Gov. Gavin Newsom and Attorney General Rob Bonta.
Community1 month ago

Gov. Newsom, Attorney General Bonta Back Bill to Allow California to Host Arizona Abortion Care

Courtesy City of Vallejo.
City Government1 month ago

Vallejo Continues to Accept Applications for Boards, Committees and Commissions

Shutterstock
California Black Media1 month ago

Cinco De Mayo: Five Interesting Facts You Should Know About the Popular Mexican American Holiday

Outdoor community events are integral to San Francisco’s vibrant culture and sense of community. iStock image.
Bay Area1 month ago

Mayor Breed Proposes Waiving City Fees for Night Markets, Block Parties, Farmers’ Markets, Other Outdoor Community Events

California Supreme Court (iStock Photo)
Business4 weeks ago

Cal. Supreme Court Could Strip Gov and Legislature of Power to Raise Taxes

Rajah Kirby Caruth, an American professional stock car racing driver. (File Photo)
Community1 month ago

Rajah Caruth: Young Trailblazer of NASCAR

ELITE Sit in 1 & 2: ELITE Public School staff and students staged a sit-in at Vallejo City Hall on Wednesday afternoon to protest the City Council’s decision to vote against their Major Use Permit to expand into downtown. Photo by Magaly Muñoz.
Community1 month ago

ELITE Charter School Conducts Sit-In Protest at Vallejo City Hall After City Council Vote

San Francisco Mayor London N. Breed (File Photo)
Bay Area1 month ago

Mayor London Breed: State Awards San Francisco Over $37M for Affordable Housing

Peggy Moore and Hope Wood, photo from their hopeactionchnage.com website
California Black Media4 weeks ago

Activist and Organizer Peggy Moore and Wife Die in Fatal Car Crash

Calif. Gov. Gavin Newsom (File Photo)
Community1 month ago

Gov. Newsom Issues Proclamation Declaring Day of Remembrance for the Armenian Genocide

Trending

Copyright ©2021 Post News Group, Inc. All Rights Reserved.