STATE BUDGET. CHANGES CALIFORNIA BUDGET PROCESS. LIMITS STATE SPENDING. INCREASES “RAINY DAY” BUDGET STABILIZATION FUND. Increases size of state “rainy day” fund from 5% to 12.5% of the General Fund. A portion of the annual deposits into that fund would be dedicated to savings for future economic downturns, and the remainder would be available to fund education, infrastructure, and debt repayment, or for use in a declared emergency. Requires additional revenue above historic trends to be deposited into state “rainy day” fund, limiting spending. Summary of Legislative Analyst’s Estimate of Net State and Local Government Fiscal Impact: Higher state tax revenues of roughly $16 billion from 2010-11 through 2012-13 to help balance the state budget. In many years, increased amounts of money in state “rainy day” reserve fund. Potentially less ups and downs in state spending over time. Possible greater state spending on repaying budgetary borrowing and debt, infrastructure projects, and temporary tax relief. In some cases, this would mean less money available for ongoing spending.
Legislative Vote Results
FINAL VOTES CAST BY THE LEGISLATURE ON ACA 1 (PROPOSITION 1A) -- Senate: Ayes 30 Noes 8 -- Assembly: Ayes 74 Noes 6 -- FINAL VOTES CAST BY THE LEGISLATURE ON SCA 13 (PROPOSITION 1A) -- Senate: Ayes 39 Noes 0 -- Assembly: Ayes 64 Noes 6 --
Popular Vote Results
Legislative Constitutional Amendment
TERESA CASAZZA, President, California Taxpayers' Association; ED BONNER, President, California State Sheriffs' Association; DR. GLEN W. THOMAS, California, Secretary of Education
HANK LACAYO, State President, Congress of California Seniors; LILLIAN TAIZ, President, California Faculty Association; RICHARD HOLOBER, Executive Director, Consumer Federation of California
Rebuttal Against Author
ALLAN ZAREMBERG, President, California Chamber of Commerce; JOHN T. KEHOE, President, California Senior Advocates League; JAMES N. EARP, Executive Director, California Alliance for Jobs
STATE BUDGET. CHANGES CALIFORNIA BUDGET PROCESS. LIMITS STATE SPENDING. INCREASES "RAINY DAY" BUDGET STABILIZATION FUND. California Proposition 1a (2009).