California has a multibillion-dollar budget deficit. Here's what you need to know
California has a multibillion-dollar budget deficit that could force Democratic leaders to end a number of safety net programs and permanently cut 10,000 vacant state jobs. Gov. Gavin Newsom says the state’s budget deficit is $27.6 billion, but it doesn’t include $17.3 billion in cuts and other actions he and lawmakers already agreed earlier this year. He is now proposing to help balance the budget through a combination of spending cuts, delays and deferrals. This is the second year in a row California is facing a multibillion-dollar shortfall. The Democratic governor says some of those cuts will also help balance next year’s budget, as state revenues are projected to keep falling. The state Legislature must pass a spending plan by June 15.