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[Gov. Brown] – Gov. Edmund G. Brown Jr. released a revised state budget Thursday that pays down debt and saves billions of dollars while carefully directing funding to improve schools, help low-income Californians, prevent tuition increases and respond to drought and climate change.

“Another recession is on the way – we just don’t know when. That’s why this budget locks billions into the Rainy Day Fund and pays down debt,” said Governor Brown. “At the same time, this budget spends more than ever on schools and creates a new tax credit to help California’s working poor.”

The May Revision also continues to focus on the key elements of the January budget – carrying out the Local Control Funding Formula (LCFF), federal health care reform, public safety realignment, the Water Action Plan and the cap-and-trade expenditure plan.

When Governor Brown took office, the state faced a massive $26.6 billion budget deficit and estimated annual shortfalls of roughly $20 billion. These deficits, built up over a decade, have now been eliminated by a combination of budget cuts, temporary taxes and the recovering economy.

Significant details of the May Revision:

Paying Down Debt and Saving for a Rainy Day
The May Revision sets aside $3.8 billion in 2015-16 consistent with the voter-approved Proposition 2 Rainy Day Fund. Of this amount, $1.9 billion is directed to pay down existing debt and long-term liabilities. The other $1.9 billion will be saved in the state’s Rainy Day Fund, bringing its balance to $3.5 billion. In addition, the May Revision repays $765 million owed to local governments.

Boosting K-14 School Funding
For K-12 schools, funding will increase by more than $3,000 per student in 2015-16 over 2011-12 levels – up 45 percent over four years. Compared to the Governor’s January budget, the May Revision increases spending for K-12 schools and community colleges by $6 billion ($5.5 billion General Fund). Funding for the Local Control Funding Formula – which directs education money to students in poverty, English learners and foster youth – stands at $53.1 billion this coming year. The May Revision also fully repays past-year school deferrals and adds $150 million on top of the $250 million proposed in January to expand career-technical education.

Helping Low-Income Californians
The May Revision establishes a state Earned Income Tax Credit (EITC), designed to complement the federal EITC, to provide fiscal relief for Californians with incomes less than $6,580 and no dependents or $13,870 with three or more dependents. The credit is expected to benefit 2 million individuals, with an average household benefit of $460 and a maximum benefit of $2,653. This investment builds on other important action from the Governor to: dramatically expand Medi-Cal health care coverage, raise the minimum wage, extend paid sick leave to millions of Californians, expand California Work Opportunity and Responsibility to Kids (CalWORKs) program grants and direct billions more in funding to students with the greatest needs through the LCFF.

Preventing Tuition Increases
The May Revision maintains flat tuition at the state’s universities for California undergraduates and increases opportunities for students to transfer to the universities. It commits $38 million in ongoing funding for California State University, for a total of $158 million in new funding. As part of an agreement with the University of California, the state will provide temporary funding from Proposition 2 debt funds to assist in paying down its unfunded pension liability – as it imposes a pension cap consistent with the state’s 2012 reform law. For community colleges in 2015-16, the May Revision provides more than $600 million above the Governor’s January proposal to expand student success.

Expanding Efforts to Combat Climate Change
The May Revision adds $1.2 billion from cap-and-trade auction proceeds, for a total of $2.2 billion, to expand California’s programs to reduce greenhouse gas emissions. These programs further the state’s efforts to meet the Governor’s target of reducing greenhouse gas emissions by 40 percent below 1990 levels by 2030.

Responding to the Ongoing Drought
As California continues to confront the effects of severe drought conditions, the May Revision includes a total of $2.2 billion for programs to conserve water, respond to emergency conditions and expand local water supplies.

Additional details on the May Revision can be found at: www.ebudget.ca.gov.

Tom Torlakson

State Schools Chief Tom Torlakson Applauds May State Budget Revision

SACRAMENTO—State Superintendent of Public Instruction Tom Torlakson issued the following statement regarding Governor Jerry Brown’s May Revision of the state budget:

“Governor Brown’s May Revision continues the great progress we have been making to better fund California’s public schools and better prepare students for careers and college in the 21st century. I applaud the Governor for his leadership on education.

“As the governor noted, while the increase in education funding is impressive, we are still making up for devastating cuts leveled during the Great Recession, when 30,000 teachers were laid off, class sizes swelled, and school years shrunk.

“In particular, I am pleased the Governor has funded career technical education at a total of $400 million this year. This investment is in addition to the successful California Career Pathways Trust program, which has become a national model through funding innovative partnerships built among employers, schools and community colleges to train and prepare students for the modern economy.

“I also appreciate the Governor’s support for the California Statewide Task Force on Special Education. I look forward to expanding the help we provide special needs students and to implementing the groundbreaking recommendations of this report.”

The California Department of Education (CDE) is a state agency led by State Superintendent of Public Instruction Tom Torlakson. You may also follow him through CDE’s mobile Web site, Twitter, Facebook, and YouTube.

George Runner

George Runner Responds to May Revise

Sacramento – George Runner today issued the following statement in response to the Governor’s revised budget proposal:

“The Governor is right to recognize that much of the money currently pouring into Sacramento is one-time dollars. Whether the Legislature will show similar spending restraint is an open question.

“One thing is clear: given the current revenue windfall, tax increases are off the table. Instead of proposing tax hikes, the Legislature should spend its time ensuring taxpayers receive value for their money.

“There’s no question government is doing well. We now need to make sure the people who fund government with their hard-earned dollars have a chance to prosper too.”

George Runner represents more than nine million Californians as an elected member and Vice Chair of the State Board of Equalization. For more information, visit www.boe.ca.gov/Runner.

Sen. Sharon Runner

Sharon Runner Responds to May Revise

SACRAMENTO – Senator Sharon Runner (R-Lancaster) today issued the following statement in response to the Governor’s proposed budget revision:

“California families deserve a budget that prioritizes education, paying down our debts and saving money for a rainy day.

“Unfortunately, Governor Brown keeps pursuing the ill-conceived bullet train by alloting $500 million from Cap and Trade funds to high speed rail. I cannot support a budget that continues to dump money into this failing project.

“We need to stand behind budget policies that recognize the importance of private sector growth, education and public safety. The Legislature must resist the temptation to spend one time revenue on questionable programs rather than reducing state debt. I look forward to working with my collegues on a budget that moves California in the right direction.”

Elected in March 2015, Sharon Runner represents portions of Los Angeles and San Bernardino Counties as Senator for the 21^st District. Her district includes the Antelope Valley, Victor Valley and portions of the Santa Clarita Valley. For more information, visit http://district21.cssrc.us/.

Assemblyman Scott Wilk

Wilk Responds to Governor Brown’s May Revise Budget Proposal

SACRAMENTO –Assemblyman Scott Wilk, R-Santa Clarita, responded to the release of Governor Brown’s May revision of the 2015-16 budget:

“I’m committed to working with Governor Brown to make additional investments in education and to pay down government debt, so we don’t saddle our children with the errors of our ways.

Although I’m supportive of the additional $5.5 billion to K-14, it needs to be coupled with real reform so we can equip the next generation to compete in a global economy.

As co-author of the legislation that produced Proposition 2, the ‘Rainy Day Fund’, I’m pleased the fund will receive $633 million. It is important to keep faith with voters and not divert money from the reserve for impulse spending.

However, I’m concerned the Governor is earmarking $500 million from Cap and Trade funds to finance the High Speed Rail Project. This matter is being litigated and I believe it will be ruled an illegal use of AB 32 funds. It’s time to have an honest discussion of the viability of the ‘train to nowhere’.

The Governor’s low-income tax credit is a step in the right direction in assisting the working class. However, we need to be addressing workers’ compensation, tort reform and reducing the regulatory burden so entrepreneurs are willing to invest their capital so we can have true job creation.  So far the Governor has been AWOL on these issues.  The best social program is a job.”

The 38th Assembly District encompasses Simi Valley, the northwestern section of the San Fernando Valley and most of the Santa Clarita Valley.

– See more at: http://ad38.asmrc.org/press-release/5524#sthash.5votULrZ.dpuf

CSU Chancellor Timothy P. White

The following statement is from CSU Chancellor Timothy P. White

“Today’s announcement by Governor Brown acknowledges the California State University’s vital mission in serving the students of California. The May Revision supports existing CSU priorities by expanding student enrollments and programs that increase degree completion. The governor’s proposal is an important step towards reinvestment in a well-educated California citizenry and knowledge-based economy. The CSU will redouble its efforts by working with state elected leaders to further prioritize public higher education funding and achieve a final budget that provides appropriate educational opportunity, quality and success to the students of California.”