California Assembly Proposes $4.3 Billion In New Spending

SACRAMENTO, Calif. (AP) — California Assembly Democrats say they want to use the windfall from a growing economy to expand a tax credit for the working poor and extend health coverage to immigrants living in the country illegally.

Assembly Budget Chair Phil Ting proposed $4.3 billion in new spending Wednesday, kicking off six months of wrangling over the next state budget. The San Francisco Democrat also proposes devoting $3.2 billion more than required to reserves, including the state's Rainy Day Fund.

The nonpartisan legislative analyst projects a big boost in revenue during the fiscal year that begins July 1.

But Gov. Jerry Brown is often more conservative in his own revenue forecast. He'll release his own budget proposal next month.

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