In the revised $183.4 billion budget he released Thursday, Goverenor Brown proposed that legislators agree to a plan, devised with help from Treasurer John Chiang, to pay down California’s pension debt by $6 billion.
The state’s overall liability is $279 billion.
Brown’s budget analysts believe sales and corporate tax revenue will flatten in the coming year. But they predict $2.5 billion more than was expected in January, thanks to higher-than-expected personal income tax payments, and that is thanks to the capital gains of rich Californians.
Brown proposes a sober approach, giving $1.4 billion more to schools. That would raise public school spending to $74.6 billion, $18 billion more than a decade ago. Brown also offers $500 million more for child care for poor parents, and $600 million for in-home supportive services workers who care for the infirm.
Mostly, he anticipates an economic downturn.
Read the whole story in the Sacramento Bee