State Budget Condition Publications

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Report

The 1993-94 Budget: Perspectives and Issues

February 24, 1993 - The 1993-94 Governor's Budget recognizes a decline in the state's fiscal fortunes for the fifth consecutive year. The continuing state recession has once again undermined the state's current-year spending plan, and will force the Legislature and the Administration into more painful choices as they struggle to balance the budget for the 1993-94 fiscal year. Even without attempting to provide for a prudent reserve, this task will require spending cuts or revenue increases conservatively estimated at $8.6 billion over the next 18 months. Given the magnitude of actions already taken in recent years, resolving this year's fiscal crisis requires a fundamental rethinking of governmental responsibilities in California. Here we assess the state's current fiscal outlook and evaluate the Governor's response to the situation. We also examine the implications of the 1994-95 outlook on possible budget strategies for 1993-94.

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State Fiscal Picture 1993-94

February 1, 1993 - State Fiscal Picture 1993-94

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Perspectives on the Economy 1993-94

February 1, 1993 - Perspectives on the Economy 1993-94

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Analysis of the 1993-94 Budget Bill: Summary of Findings and Recommendations

January 1, 1993 - This document summarizes, by program area, the principal findings and recommendations set forth in the Analysis and the Perspectives and Issues.

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Overview of the Governor's Budget 1993-94

January 1, 1993 - As has been the case in each of the past four years, the 1993-94 Governor’s Budget recognizes a substantial decline in the state’s fiscal fortunes. The continuing state recession has once again undermined the state’s current-year spending plan, and will force the Legislature and the Administration into more painful choices as they struggle to balance the budget for the 1993-94 fiscal year. Even without attempting to provide for a prudent reserve, this task will require spending cuts or revenue increases conservatively estimated at $8.6 billion over the next 18 months. Given the magnitude of actions already taken in recent years, resolving this year’s fiscal crisis requires a fundamental rethinking of governmental responsibilities in California.

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State Spending Plan for 1992-93: The 1992 Budget Act and Related Legislation

November 1, 1992 - The 1992-93 budget situation presented the Legislature and the Governor with a second consecutive year of massive budget funding gaps due to the ongoing economic problems in California and the nation. Last year, the Legislature resolved a 1991-92 budget funding gap of $14.3 billion through the enactment of $7.2 billion of tax increases, $3.4 billion of spending reductions, and $3.7 billion in other actions. At that time, both the Legislature and the administration anticipated that their actions would balance the state’s spending needs with its expected revenues not only in 1991-92, but for 1992-93 as well. That expectation, however, assumed that California’s economy would resume its growth in mid-1991. Instead, the recession continued to drag down state revenues while simultaneously boosting spending needs for various programs.

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Supplemental Report of the 1992 Budget Act

October 6, 1992 - Supplemental Report of the 1992 Budget Act

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Focus Budget 1992: Highlighting Major Features of the 1992 California Budget

September 8, 1992 - On September 2, 1992, Governor Wilson signed into law the 1992 Budget Act and related legislation. The $57.4 billion budget package ended a period of more than two months during which the state government operated without a budget. In addition to the Budget Act itself, the budget package includes 23 other measures that make the law changes necessary to achieve budgeted savings. This implementing legislation makes a wide variety of significant changes that affect most of the state’s major programs as well as state assistance to schools and local governments. This report is part of a series that highlights the impacts of the budget package.

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The 1992-93 Budget: Perspectives and Issues

February 1, 1992 - The outlook for the 1992-93 budget is dominated by the continued poor performance of the state and national economies. Even if recovery from the recession is now underway, as anticipated by the 1992-93 Governor’s Budget, state revenues will not be sufficient to both pay off the accumulated budget deficits and fund state services at current levels. Further delays in the timing of the state’s recovery will compound the problem faced by the Legislature in crafting a budget for 1992-93. The Governor’s Budget realistically addresses only a portion of the state’s budget problem. Although it would make some significant reductions in major state programs, it relies upon optimistic assumptions as to the availability of federal and other funds to bring the budget into balance, and does not offer an adequate reserve fund to protect the budget against unanticipated changes.

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Options for Addressing the State's Fiscal Problem

January 1, 1992 - In order to bring revenues and spending into balance on a permanent basis, the Legislature will need to make significant reductions in spending on major programs, as well as reexamine the coverage and structure of the state's tax system. An early start is needed to lay the groundwork for these difficult decisions. The purpose of this document is to provide the Legislature with a variety of spending and revenue options that can begin this process.

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Supplemental Report Language Agenda 1992-93 Budget Conference Committee

January 1, 1992 - Supplemental Report Language Agenda 1992-93 Budget Conference Committee

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Overview of the 1992-93 Governor's Budget

January 1, 1992 - This policy brief summarizes the current fiscal outlook and the major proposals in the Governor's budget plan. It provides an assessment of that plan and describes additional steps that need to be taken to arrive at a fiscally sound 1992-93 budget.

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The State's Fiscal Problem

December 1, 1991 - This policy brief presents an overview of the State's short-term and long-term fiscal problems.

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State Spending Plan for 1991-92: The 1991 Budget Act and Related Legislation

September 1, 1991 - This report summarizes the fiscal effect of the 1991 Budget Act (Ch 118/91-AB 222, Vasconcellos) including the effects of major legislation accompanying the budget which were enacted as part of the overall state spending plan for 1991-92.

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Supplemental Report of the 1991 Budget Act

July 1, 1991 - Supplemental Report of the 1991 Budget Act

State Budget Condition Staff
Ann Hollingshead
(916) 319-8305
State Budget and Federal Funding
 
Carolyn Chu
(916) 319-8326
Chief Deputy Legislative Analyst