SACRAMENTO — Gov. Gavin Newsom’s $300.6-billion state budget proposal was sent to the California Legislature on Friday, a far-reaching plan to use a historic tax surplus to boost both government services and the size of the state’s cash reserves.
Lawmakers are required to send a final plan to Newsom’s desk by June 15. California government’s fiscal year begins on July 1.
The governor’s proposal spans both long-term investments and immediate cash rebates, largely made possible by a towering $97.5-billion tax surplus through next summer. Over the last decade, the state’s economy has produced tax revenues that erased years of budget deficits. Other new services would be paid for through traditional state general fund programs.
