California Gov. Newsom Passes Rainbows, Butterflies, and Unicorns Budget

Written by Chriss W. Street

California Democrat Governor Newsom and the Democrat speakers of the State Senate and Assembly facing deficits for each of the next five years, agreed to a proposed FY 2024-25budget, based on Democrat super-majorities approving 19 spending bills.

Democrats controlling California’s executive, legislative and judicial branches of government have blamed everything from the pandemic, to drops in technology stocks to explain state revenues dropping by about a third.  But the good news for the party is that Newsom’s budget continues to spend like it is all rainbows, butterflies, and unicorns.    

Rather than adopting a policy to drastically curtail spending over the next five years, the governor and legislative leaders have adopted modest cuts in state operations, delayed spending, shifted spending to other state funds and draining all state reserves to zero.  

The final $211.5 billion General Fund for 2024-25 based on very-optimistic economic projections, still projects a $28 billion projected budget deficit this year and substantial deficits for each of the next five years. Furthermore, budget hopes for receipt of $153 billion of federal funding and the ability to spend $86.4 billion from other state funds.  

Jason Sisney that advises Assembly Speaker Robert Rivas and Assembly Democrats posted the Senate Budget Committee Floor Report provides analyses of the budget-related bills, including the 19 joint-proposed final spending bills listed below:

• SB 108/AB 108: Amendments to Budget Act of 2024 (“Budget Bill Jr.” #1 of 2024)

• SB 109/AB 109: Amendments to Budget Act of 2023 (“Budget Bill Jr.” #5 of 2023)

• SB 153/AB 153: Education finance: education omnibus budget trailer bill

• SB 155/AB 155: Higher education budget trailer bill

• SB 156/AB 156: Public resources: omnibus budget trailer bill

• SB 159/AB 159 (pending): Health

• SB 160/AB 160: Medi-Cal managed care organization provider tax

• SB 161/AB 161: Human services

• SB 162/AB 162: Developmental services

• SB 163/AB 163: Early learning and childcare

• SB 164/AB 164: State government

• SB 166/AB 166: Housing

• SB 168/AB 168: Public safety

• SB 169/AB 169: Public safety juvenile justice trailer bill

• SB 170/AB 170: Courts

• SB 171/AB 171: Employment

• SB 173/AB 173: Transportation budget trailer bill

• SB 174/AB 174: Public resources: California Environmental Quality Act: exemptions: native fish and wildlife: Capitol Annex

• SB 175/AB 175: Taxatio

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