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California Governor Jerry Brown pauses as he speaks to reporters as he announces his proposed budget at the California State Capitol on January 10, 2011 in Sacramento, California.
A report out today from California's Legislative Analyst's Office called Governor Brown’s budget plan "a good starting point." The report also credits the plan with reducing the state’s persistent budget shortfall.
In its report the non-partisan fiscal analyst says Brown’s plan to close a $25 billion deficit merits “serious legislative deliberations.”
Brown’s proposed to cut $12 billion from state services and raise $12 billion in revenues by extending temporary tax increases another five years. Brown plans to divert roughly half of the money to local government to take over some state services.
The legislative analyst calls the idea “bold.” The report also embraces Brown’s plan to eliminate agencies that invest local property taxes in neighborhoods to reduce blight.
“This makes sense,” the legislative analyst writes, because California’s cost to support redevelopment agencies has grown significantly in recent years – yet the analyst notes, there’s “no reliable evidence” redevelopment agencies have improved the state’s economy. The report also gives Brown credit for coming up with a spending plan that would go “a long way toward eliminating” California’s chronic budget gap.
Full budget document: