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March 1, 1994 - A major portion of state government expenditures is for compensation of state employees. Expenditures for state employee compensation (excluding higher education employees) will approach $10 billion in 1994-95. In this reprint from the Analysis of the 1994-95 Budget Bill, we discuss the employee compensation issues and options the Legislature should consider in enacting a Budget for 1994-95.
March 1, 1994 - In this analysis, we examine the state of Califonia's probation system.
March 1, 1994 - California Update: California’s Cash Crunch
February 23, 1994 - Highlights of the 1994-95 Analysis and P&I
February 23, 1994 - Transportation Programming and Funding
February 23, 1994 - The 1994-95 Governor's Budget recognizes that the two-year budget plan adopted last June has been undermined by the continuing stubborn state recession. Faced with an $8 billion budget funding gap for 1993-94, the Legislature and Governor adopted a two-year plan to achieve a balanced budget in 1994-95. That plan now is $4.9 billion out of balance based on the state's current revenue and spending trends identified in the 1994-95 Governor's Budget. Perhaps the most important policy proposal in the budget is the Governor's plan for restructuring the state/county fiscal relationship, which is intended to give counties a significant cost share in the health and welfare programs that they administer in order to provide appropriate incentives to make those programs more efficient and effective.
February 23, 1994 - Special Education Pupil Assessment
February 23, 1994 - The 1994-95 Governor's Budget proposes a major restructuring of the fiscal relationship between the state and California's 58 county governments. This proposal would increase county governments' responsibilities for funding a variety of health and welfare programs, and transfer a corresponding amount of state resources to the counties. The Governor's proposal is similar in many respects to a restructuring proposal offered by this office last year. To assist the Legislature in pursuing its restructuring agenda, we outline the elements of the Governor's proposal, and evaluate its fiscal implications. We offer modifications to the proposal to correct the weaknesses we identify. Finally, we suggest that the Legislature needs to consider the state's restructuring needs within a long-term context.
February 23, 1994 - We suggest an approach to K-12 education funding that would increase local control over the level of general-purpose education revenues and local accountability for outcomes, without compromising the state's fundamental interest in ensuring an adequate education for all.
February 23, 1994 - Much of the blame for the state's continuing budget shortfalls over the past three years can be placed on the dismal performance of the California economy. The substantial population increases of recent years have maintained constant upward pressure on demands for state services. At the same time, declining employment levels, lower real per capita incomes, and falling property values have limited the ability of the state's major revenue sources to meet these demands. Despite substantial gains in the national economy over the past year, economic activity in most regions of California continues to decline or stagnate.
February 23, 1994 - The Governor's Budget proposes spending $52.5 billion from the General Fund and state special funds in 1994-95, as shown in Figure 1. This expenditure level is only slightly more than estimated current-year spending of $52.3 billion—an increase of $228 million, or 0.4 percent. General Fund spending shown in the budget declines by 1.4 percent, while spending from special funds increases by 6.1 percent. However, as we discuss in greater detail later in this part, this reflects a shift in how programs are financed rather than a change in program spending priorities or in underlying revenue trends. This shift in financing results from the Governor's state-county restructuring proposal.
February 23, 1994 - General Fund revenues are expected to support 73 percent of the proposed $55.6 billion total 1994-95 spending plan. This is a decline from the 78 percent share these revenues represented in fiscal year 1992-93, in part due to the continuing slow growth of General Fund revenues relative to special fund revenues, but primarily because of past and proposed shifts of revenues from the General Fund to special fund accounts.
February 23, 1994 - The 1994-95 Governor's Budget recognizes that the two-year budget plan adopted last June has been undermined by the continuing stubborn state recession. Faced with an $8 billion budget funding gap for 1993-94, the Legislature and Governor adopted a two-year plan to achieve a balanced budget in 1994-95. That plan now is $4.9 billion out of balance based on the state's current revenue and spending trends identified in the 1994-95 Governor's Budget.
February 23, 1994 - Higher Education Outcome Measures: focus more directly on the outcomes of higher education, rather than the inputs or processes. If the Legislature can develop measures that accurately and reliably gauge these outcomes, it could hold the segments accountable for their performance.
February 23, 1994 - UC Medical Residents: recommend adoption of legislation requiring the UC to ensure specific increases in the number and percentage of medical residents enrolled in primary care and family practice specialties by 1998-99 and 2001-02.