Calif. Budget Debate Turns To Spending, Not Cuts

SACRAMENTO (AP) — California’s financial fortunes are more optimistic than they have been in years, but Gov. Jerry Brown says he will propose a budget calling for continued frugality.

That could put him at odds with his fellow Democrats, who control both houses of the Legislature and want to restore state services lost during the recession.

Brown said this week that the state budget he will release Thursday for the coming fiscal year will include more money for K-12 schools and higher education. The increase is largely thanks to voter approval of Brown’s Proposition 30, which raises taxes and will generate about $6 billion a year.

The state legislative analyst has pegged the deficit at less than $2 billion, after years of double digit budget gaps.

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