What’s happening: In a high-level preview to reporters on Jan. 6, Gov. Gavin Newsom shared that his budget proposal features improved revenue projections, which help to keep the $322 billion spending plan in balance.
What else to know: The preview took place during Newsom’s tour of the Central Valley to promote his economic vision for the state, which includes key themes of government accountability, reducing the cost of living, and keeping California competitive.
Notably, the preview revealed improved expectations around the state’s fiscal condition, with revenues projected to be $16.5 billion higher than previously estimated. While the proposed budget is balanced, a flagging economy or loss of federal funding from Washington, D.C., could place the state in the red, potentially necessitating cuts before the budget is finalized in June.
Among the major themes addressed, the governor touted the Office of Health Care Affordability as an important effort aimed at relieving Californians’ pocketbooks in the face of rising costs. Newsom also unveiled the creation of a dashboard to provide real-time data on homelessness, housing development, and behavioral health, the goal of which is to show progress and accountability on these priorities.
No detail was provided on any specific budget proposal. More information will be revealed at the budget proposal’s formal release on Jan. 10.
Contact Adam Dorsey at adorsey@calhospital.org and Ben Johnson at bjohnson@calhospital.org with any questions.
