Governor Jerry Brown and fellow leaders in Sacramento have reached an agreement on actions for the 2012-2013 budget that the Legislature will continue working on until finalization sometime in the coming week.
Details were few following the deal's announcement Thursday, but deep cuts were expected as revenues continue to fall. The agreement mostly protects education spending while reforming the welfare system. In addition to the mentioned items, the agreement also contains changes to the state's prison system.
Aid for college students will be slashed beginning in the 2013-2014 school year. The agreement also eliminates the Healthy Families program and would move the 880,000 children covered by that program to Medi-Cal, according to a Huffington Post article.
K-12 funding could remain flat compared to this year's levels, but the flat funding is dependent on voters approving the Governor's November tax increases on sales and those with an income of $250,000 or more. If the tax increases are defeated, "trigger" language in the state's budget could slash current ADA by $441, according to the Department of Finance.
“This agreement strongly positions the state to withstand the economic challenges and uncertainties ahead,” Brown said in a statement on his web site.
“We have worked cooperatively and productively with the Governor and our colleagues in the Senate to put forward a budget that reflects the commitment we made in January to eliminate the deficit, protect education and put California’s fiscal house in order by our Constitutional deadline,” said Speaker Pérez.
The state Legislature had passed a budget June 15 worth about $92 billion, but Brown prodded his own party members to reconsider their requests for more spending in Welfare programs, according to the article.