Gov. Gavin Newsom released his May budget revision Thursday and discussed the impact of the coronavirus pandemic on the state's finances moving forward.
The May budget revision proposed general fund shows a 9.3% decrease from last year's budget, Newsom said, with a 5.4% decrease in the overall budget. It reflects a 22.3% drop in revenue from the governor's budget proposed in January, Newsom said. It's a $133.9 billion general fund budget, part of a $203.3 billion overall budget. The drop in revenue is due to three major categories: lower revenues from personal taxes, corporate taxes, and sales taxes, with sales taxes taking the biggest hit, Newsom said. Sales tax revenues are projected to be down 27.2% due to people not being able to make purchases the way they were before the coronavirus epidemic. Personal income tax revenues are projected to be down 22.5%, corporate tax revenues down by 22.7%. Today on AirTalk we get reaction to the governor’s budget revisions and discuss the wide-reaching impacts. Do you have questions? Call 866-893-5722.
With files from LAist. Read the full story here
Jay Obernolte (R-Big Bear), vice chair of the Assembly Budget Committee, he represents the 33rd State Assembly District, which covers a wide swath of the High Desert and San Bernardino County including Hesperia, Victorville, Barstow and the Mojave Desert; he tweets @JayObernolte
Holly Mitchell (D-Los Angeles), chair of the California Senate’s Budget Committee, she represents the 30th district, which includes Culver City, Ladera Heights, and Westmont and the Crenshaw, Downtown, and Florence neighborhoods of Los Angeles; she tweets @HollyJMitchell
Jon Coupal, president of the Howard Jarvis Taxpayers Association, a taxpayer rights group