December 13, 2011
Today the Governor announced the
budget reductions "trigger cuts" that were agreed upon as part of the budget settlement reached earlier this year. The reductions were announced as a result of the estimated $2.2 billion shortage in revenue below the forecast contained in the enacted budget. While the reductions were not as dire as some feared, more budget reductions are on the horizon if voters do not pass Governor Brown's ballot initiative in November, 2012 which
seeks to generate $7 billion through tax increases.
The Child Support Program was not impacted by the trigger reductions taken by the Governor.
June 30, 2011
The Governor has signed the
2011-12 state budget. The state essentially adopted two budgets, one in March with about $11 billion in program reductions, and a second in June to close the remaining $10 billion deficit. Included in the attachment are items in the budget which the Governor vetoed, or used his blue pencil authority to reduce funding.
The Governor took no further actions regarding California's Child Support Program. For more information about budget specifics relative to the child support program, please download the attached
fact sheet.
May 19, 2011
Earlier this week, the Governor released the May Revision to the 2011-12 budget. The May Revision made no changes to the
Child Support Program budget. Child Support is still included in Phase II realignment and is still assumed to move forward.
April 4, 2011
There is growing frustration at the State Capital that a bi-partisan budget solution seems unlikely. At this point, most agree that a June ballot to extend taxes and realign programs (Phase I) may not be possible at this late date. There is talk about reconvening the Joint Budget Committee to look at an "all cuts" budget, as well as speculation that perhaps the tax package could be qualified by signatures and put on the November ballot.
March 25, 2011
The Legislature has sent to the Governor both the budget bill,
SB 69 (Leno) and a large number of budget trailer bills. In an untraditional move, the Governor has actually signed a number of the trailer bills - which by definition are supposed to "trail" the budget bill - while apparently has not signed the actual budget bill. The Governor and the Legislature are wrestling to close a $26 billion deficit. According to the DOF, the budget and trailer bills sent to the Governor Thursday address approximately $11.2 billion of the current deficit by reducing program expenditures by $8.2 billion, increasing revenue by $300 million and by internal borrowing and transfer that account for $2.6 billion.
Clearly, the remaining piece of the puzzle is the Governor's attempt to place tax extensions on the ballot. If tax extensions are not approved, county government would likely be the recipient of the majority of the additional $12 billion in program reductions that would be necessary to close the budget gap.
To read the rest of this article, please click on the link for the latest edition of the
CSDA Newsletter.
March 9, 2011
Last week the Conference Committee approved the
final budget plan for FY 2011-12 which addresses the State's $26.6 billion budget by approving $12.5 billion in expenditure reductions, $12 billion in revenue solutions, $3 billion in special fund borrowing and establishes a $1.1 billion reserve. The budget is expected to before the full Senate for a vote later this week. It is not yet specified if they will vote on the full budget or just the cuts.
The following are the key issues included in the budget proposal:
- $11.2 billion in revenue solutions, subject to voter-approval
- $6 billion in cuts to various HHS programs
- $5.9 billion from the shift of program and financial responsibilities as stated in the
Governor's Realignment proposal. The Conference Committee action approves the
framework of the Governor's proposal, but is subject to a voter approval of a 5 year
extension of existing sales tax and VLF fees.
- $1.7 billion in State General Fund savings from the elimination of redevelopment
agencies.
- $861 million from the redirection of Mental Health Services Act (Prop 63) funds from
counties to cover state costs for various programs.
February 24, 2011
Today CSDA Executive Director
David Oppenheim reported that both the Senate and Assembly Budget Committees have approved the Governor's recommended budget which includes a basic administrative allocation for LCSAs at the 2010-11 level and continues the $18.6 million dedicated to Revenue Stabilization Funding. The budget also includes the back fill of the loss of federal matching incentives. Both chambers also approved the redirection of the county share of recoupment, approximately $24 million, to the State General Fund on a one-time basis. Finally, the budget committees also approved a recommendation from the Administration to delay approximately $3.8 million in additional state and local technology refresh. For a full report on the budget update, see Oppenheim's February
newsletter article. Also, the New York Times published an published an interesting article "
California's Tax Aversion Complicates Budget Math" on the efforts of Governor Brown to pass the tax increase.
January 10, 2011
Today Governor Jerry Brown released his
2011-12 budget proposal. The budget addresses the state's $28 billion deficit through a series of program reductions, extension of existing revenue streams and realignment proposals between the state and the counties.
Two significant proposed changes were introduced in the Governor's budget:
1- Suspension of County Share of Collections: This proposes to suspend the county share of public assistance collections for 2011-12. Currently the counties are entitled to retain 2.5% of public assistance collections. In SFY 2011-12 they are estimated to total $24.4 million.
2-
Realignment of the Child Support Program: Currently considered to be a concept that is contingent on funding and support, the transition is expected to begin in 2012-13. More details about the realignment are expected to emerge later this spring.
For more information about the child support budget, and specific details surrounding some of its implications, please click on the following link to download CSDA Executive Director David Oppenheim
Budget Memo that was sent to the CSDA Membership on January 10, 2011.
Budget Hearing Archive
Related Budget Materials
| Date |
Organization/Agency |
Materials |
| 02/22/11 |
LAO |
|
| 02/24/11 |
CSAC |
|
| 01/10/11 |
Governor's Office |
Budget Presentation Slides |
| 02/24/11 |
CA Budget Project |
|
For additional research and information, please visit the CSDA
State Legislation webpage and our
Realignment webpage (member only). We encourage our members to visit this page regularly for the most current and up-to-date information.