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California Gov. Gavin Newsom. | Nic Coury / AP With California’s finances buoyed by unanticipated tax revenues and a $27 billion boost from the American Rescue Plan, Gov. Gavin Newsom on May 14 rolled out a proposed $267.8 billion budget he called “historic” and “transformational,” with infusions of funding for housing, education, healthcare, infrastructure, environmental justice, and immediate relief for families and small businesses. Incorporating parts of the upcoming 2021-22 budget as well as anticipated spending in future years is the governor’s $100 billion California Comeback Plan, termed “the biggest economic recovery package in California’s history.” This year’s “May Revise,” updating Newsom’s January budget proposals, reflects an expected $75 billion in tax revenue paid mostly by the state’s high earners. It contrasts sharply with the picture a year ago when in the early months of the COVID-19 pandemic a $54 billion budget hole was projected.

United statesSan francisco bayLos angelesGavin newsomE toby boydAnthony wrightJeff freitasMarilyn bechtelUniversity of californiaRainy day fundEthnic health networkNonprofit housing association of northern californiaHealth access californiaCalifornia community collegeCalifornia federation of teachersCalifornia state university