Ad for vote.gov

California Senate Sings the Budget Blues


PUBLISHED JAN 20, 2023 10:05 A.M.
Share this:  
Gov. Gavin Newsom unveils his budget proposal for the 2023-24 fiscal year during a press briefing at the California Natural Resources Agency in Sacramento on Jan. 10, 2023.

Gov. Gavin Newsom unveils his budget proposal for the 2023-24 fiscal year during a press briefing at the California Natural Resources Agency in Sacramento on Jan. 10, 2023.   Photo by Miguel Gutierrez Jr., CalMatters

BY BEN CHRISTOPHER

In its first formal response to Gov. Gavin Newsom’s $297 billion spending plan, the Legislature offered some pointed feedback on Wednesday: The governor’s fiscal forecasters are being too optimistic and the state needs to prepare for a worsening budgetary outlook.

But Newsom shouldn’t cut climate spending. Or mental health programs. And especially not anything related to housing.

Nobody said balancing a budget during economic lean times would be easy.

Remember: Last week Newsom rolled out his pared down fiscal framework meant to bridge a projected $22.5 billion shortfall with cuts and delays to climate, public health and transit programs, plus a bit of fancy financial footwork. 

Putting in a word for frugality at Wednesday’s Senate Budget and Fiscal Review Committee: The Legislative Analyst’s Office, the nonpartisan number-cruncher that issued its initial review of the governor’s plan last week. 

Legislative Analyst Gabriel Petek urged lawmakers to consider $14 billion in additional cuts and delays to one-time and temporary spending programs.

The senators, most of them Democrats, didn’t take issue with that recommendation. Still, they complained about the cuts that Newsom did include:

In response, Li said that the administration hoped to backfill some of these cuts with federal money courtesy of last year’s Inflation Reduction Act.

And anyhow, she stressed, this is just the beginning of a months-long haggling session between the branches of government until the final budget is approved in June.

  • Li: “The governor’s budget is always the starting point for discussions…We look forward to having more discussions on this — and on all — aspects of the budget.”

One budgetary critique in particular might be on Newsom’s mind today as he accompanies President Joe Biden, FEMA Administrator Deanne Criswell and Sen. Alex Padilla on a disaster tour of the water-logged Santa Cruz Mountains and the Central Coast.

Sen. John Laird, a Santa Cruz Democrat, pointed to the recent devastation along the coast of his district and questioned why the governor’s budget cut spending for coastal protection and planning by 43%.

  • Laird: “What do you actually rebuild? What don’t you rebuild? What do you have to consider in stepping back from the ocean? So the major pot that was cut was planning money for local governments to answer these questions.”

    Biden’s visit comes a day after the White House made federal disaster assistance available to residents, business owners and governments in Monterey, San Joaquin, San Luis Obispo and Santa Barbara counties. Last week, the administration offered help to Merced, Santa Cruz and Sacramento counties.

CalMatters.org is a nonprofit, nonpartisan media venture explaining California policies and politics.

Support California Local

$10 • $25 • $50 • Our Impact
Signal Booster

Articles which extol the virtues of a report or article put out by a local newsroom.

Related Articles
Sen. Dianne Feinstein at the Capitol on Oct 20, 2020.
Scramble Begins for Feinstein’s U.S. Senate Seat
Dianne Feinstein, who has been a U.S. senator from California for three decades, hasn't yet said whether she'll seek another term in 2024, but would-be successors are already standing in line.
Key Issues that Will Shape California in 2023
Welcome to 2023 — a year that may prove decisive in California’s attempts to address some major challenges, from housing and homelessness to climate change.
Key Issues that Will Shape California in 2023
Welcome to 2023 — a year that may prove decisive in California’s attempts to address some major challenges, from housing and homelessness to climate change.
Gov. Gavin Newsom has proposed $6 billion in cuts to programs designed to fight climate change.
As Storm Batters California, Newsom Calls for Climate Cuts
Coming budget shortfall may claim some climate change programs as victims.
Join Us Today!