On Thursday, Governor Newsom, together with Assembly Speaker Robert Rivas (D-Salinas) and Senate President pro Tempore Mike McGuire (D-North Coast), announced an agreement to reduce the 2024 State Budget by taking early action to reduce the shortfall by $17 billion. These moves incorporate roughly two-thirds of the budget-balancing maneuvers contained in the Governor’s Proposed Budget of January 10th. However, even if these actions are adopted it continues to leave many difficult proposals for the June budget discussion.
The Legislature is expected to take up the budget measures, contained in Assembly Bill 106 or Senate Bill 106, in what’s referred to as a “Budget Bill Junior” sometime next week (likely Thursday, April 11). It is customary for budget vehicles to have both a Senate and Assembly version which “mirror” on another, as is the case with AB 106 and SB 106, in order that they receive concurrent consideration on the respective floors. In the meantime, budget committee hearings will be held over the next few legislative days to allow for “public review and comment”. AB 106 and SB 106 are expected to be amended to reflect the early action proposal in the coming few days.