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2024 California budget whiplash caused by volatile taxes - CalMatters When Gov Gavin Newsom was asked to explain how the state has a record surplus one year and has to make budget cuts the next, he answered “progressive taxation ” He was referring to the way California’s tax law is structured so that wealthy residents pay far more than anybody else
How One Obvious Mistake Created California’s Budget Crisis California’s budget went from an assumed $98 billion surplus, in which there was so much cash in state coffers that Gov Gavin Newsom was giving away $50,000 to randomly selected individuals to get a COVID-19 vaccine, to a projected $73 billion deficit in only about two years
From big surpluses to projected deficits. . . People frequently ask how California’s state budget went from record projected surpluses to a future outlook of structural deficits over just a few years This note responds to that question A summary of key points is provided, followed by more historical detail for those who are interested
California’s Budget Black Hole: Where Did the $97. 5 Billion Surplus Go? Facing a $22 billion deficit, Governor Newsom’s budget continues his misguided habit to overspend with little accountability Newsom’s budget again fails to adequately build water storage and conveyance infrastructure to store water and move it across the state