State Assembly passes budget…
The State Assembly passed the final budget bill and a briefing is below.
What’s in the Budget - cuts to local government
- - Prop 1A Borrowing $1.8B
- - Redevelopment take $1.7B this year $350M next - 2 year total $2.05B
What’s out of the Budget - not coming from local government?
- - HUTA (gas tax) take $2.B
- - City of Industry - redevelopment tax increment securitization proposals ranging $3B to $7.4B
Local Government - especially city representatives, fought long and hard to get the local government provisions deleted or altered. While we did not win all the battles, we certainly made our voices know and played a key role in the negotiations and shaping of the final package. The budget provisions dealing with local government, Prop 1A borrowing, HUTA (gas tax) take and RDA take were among the most contentious and unresolved issue to the end.
Assembly concurred all the Senate amendments with the exception of HUTA (gas tax) take. However, the budget does not have to go back to the Senate for concurrence; they are taking the funds that the are not taking from HUTA and reducing the reserve and instructing the Governor to take the rest through line item vetoes.