In the midst of a global health crisis, a robust and balanced state budget is critical in ensuring the safety of our communities and fostering a successful recovery of our economy.  The California state budget is the financial blueprint and statement of values that will guide our state through an unprecedented and uncertain time.

In recent years, the state has focused on building up our emergency budget reserves, along with prioritizing significant investments in education, healthcare, and safety-net services that have helped protect the livelihood and health of our community. Now months into the onset of the COVID-19 pandemic, we are faced with the task of passing a balanced budget that continues to uphold those investments in our most vulnerable communities, while addressing an unexpected and significant budget shortfall.

Our state is a leader in the world economy, and in addition to meeting the needs of Californians today, we will strive to achieve an accelerated financial recovery for tomorrow. We are pioneers at making change and adopting focused and strategic measures that overcome the challenges we face.

My colleagues and I passed an on-time and balanced budget that responsibly addresses the budget shortfall, while investing in our state’s small businesses harmed by the pandemic and protecting critical funding for education, health and human services, and other important investments in our communities. This budget relies on spending reductions, drawdowns on existing reserves, temporary new revenues, deferrals, and anticipated additional federal support.

I invite you to familiarize yourself with the legislature’s proposed budget that has been sent to the Governor for his signature by reading some highlights listed below and the online resources provided. As always, if you have any questions, comments or concerns, please do not hesitate to reach out to my office.

All my best,

Lena Gonzalez

33^rd State Senate District

The 2020-21 California State Budget will:  

• Direct billions in funding from the federal CARES Act to cities and counties to help fund the local services and the public health work that are critical in fighting the impacts of the COVID-19 Pandemic.
• Fund $70.5 Billion to K-12 education and avoid painful proposed cuts to our schools and community colleges. The budget also ensures that the teachers and employees that keep our schools running will be able to continue to serve our communities through the uncertain times ahead.
• Provide new investments in our communities by providing $300 million in funds for homelessness programs and provides a financial boost to working families through the expansion of the Earned Income Tax Credit to Californians and small business owners with children that file their taxes using Individual Taxpayer Identification Numbers.
• Expand the CalWORKs program back to the 60-month timeclock that existed prior to the Great Recession to better benefit California families and children living through uncertain economic times.
• Reject proposed reductions to critical health and aging programs including the elimination of Medi-Cal optional benefits, the multipurpose senior services program benefit, and the community-based adult services program, which provide care and supervision for senior individuals with disabilities and increased health risks who need to stay at home.
• Reject proposed draconian cuts to the critically needed In-Home Supportive Services program, and other cuts to senior services such as nutrition programs and programs that help keep seniors at home.
• Reject proposed reductions to childcare programs and direct federal funding to provide additional childcare services for essential workers.
• Fund new state positions in the California Geologic Energy Management Division to strengthen oversight and enforcement of oil and gas operations in California.
• Direct $100 million to support the California Infrastructure Economic Development Bank’s loan guarantee program that provides financial assistance to small businesses.
• Approve new staff positions at the State Water Board to help implement California’s new Safe and Affordable Drinking Water program which is tasked with providing safe drinking water to the 1 million Californians without access to it.
• Create savings in the budget through efficiencies and cost cutting in state agencies, and realize additional cost savings through working with state bargaining units to reduce pay.
• Maintain up to $1 billion in county realignment funds.
• Draw down a significant portion of the state’s three existing reserve accounts to help cover a portion of the deficit, but maintains a total reserve of $11.3 billion to help balance potential shortfalls in coming budget years.
• Contain a number of spending reductions in order to cover an unprecedented budget deficit, but allows for an immediate restoration of those funding reductions should the state receive an anticipated $14 billion of additional federal support.

To read more about each section of the Governor’s proposed 2020-21 budget you may visit: http://www.ebudget.ca.gov

To learn more about the California Legislature Budget process click here: https://www.senate.ca.gov/sites/senate.ca.gov/files/the_budget_process.pdf

For current Senate updates, visit the Senate Website’s section for the Standing Committee on Budget and Fiscal Review which can be found here: https://sbud.senate.ca.gov