May 14, 2008: Governor Releases May Revision
Today Governor Schwarzenegger released his 2008 May Revision for both the 2007-08 current year State Budget and 2008-09 State Budget. The May Revision contains both good news and bad news for schools. First . . . read more
LAO Special Session Report- Lower Cuts for Education
The Legislative Analyst has released his Analysis of the Governor’s proposed special session revenue and expenditure changes. While the Legislative Analyst’s Office (LAO) generally agrees with the Governor’s overall . . . read more
11.06.08: Governor's Press Conference on Budget
Following is a summary of key points discussed at the Governor’s Press Conference today: Close the current year gap: --$11.2 revenue shortfall. --Cut $4.5 billion from programs including education, health . . . read more
10.30.08: Tax Increase in Special Session? Don’t Bet On It...
Governor Schwarzenegger has indicated his desire for a sales tax increase to be enacted during the special session he is calling commencing November 5. He previously asked for a sales tax increase that was not . . . read more
10.29.08: What’s on the Special Session Agenda and How Big Is the Deficit?
Governor Schwarzenegger has called for a special session commencing on November 5 to deal with the state’s fiscal problems. As indicated in our prior update, while a lame duck session may have more political flexibility than would . . . read more
10.22.2008: California Special Session in November?
Governor Schwarzenegger’s spokesperson has indicated the Governor’s interest in calling for a Special Session on the budget in November. A lame duck session would include more than 30 members who have been termed-out of office, at . . . read more
10.07.08: More Challenges Ahead
Just Passed 2008 Budget At-Risk As the national and state economic situation continues to deteriorate, it becomes more obvious that the revenue and expenditure assumptions used for the 2008-09 State Budget are overly . . . read more
09.23.08: Governor's Enacted Budget - Total K-12 Funding
California ’s school districts, charter schools and county offices of education provide instruction and a variety of programs and support services for pre-Kindergarten through grade twelve (K-12) students. These programs . . . read more
09.19.08: Budget Deal Reached
Both Houses of the Legislature will begin work at 4:00 p.m. today on the latest State Budget Compromise. The Legislature had approved a budget by the required 2/3 vote in the wee hours of Tuesday morning only to have the Governor . . . read more
09.16.08: 2008-09 Budget Passed – Time Bomb for 2009-10
Last night and this morning, the Legislature passed a 2008-09 State Budget that relies on: 1) accounting changes for one-time money; 2) advancing income tax payments (which will have to be restored in later refunds); 3) expenditure . . . read more
State Budget Detail and Veto
No New Flexibility As expected, if the 2008-09 funding level was greater than 2007-08, the Legislature would not provide budget flexibility. The preliminary flexibility proposals were: Transfer categorical aid . . . read more
09.11.08: Budget Update
Rumors are circulating that a compromise budget vote could occur tomorrow in the State Senate and, if successful, then in the Assembly later that day or Saturday. Real discussions have been happening since last week. If it happens we . . . read more
09.09.08: Senate Rejects Republican Budget Proposal
The Senate rejected a Republican borrow and spend get-out-of-town budget that included using school lottery funds to bond a one-time $1.9 billion for schools. The proposal was to dedicate $140 million per year for the next 40 . . . read more
09.04.08: Assembly Budget Committee Hears Republican Budget Proposal
The afternoon of September 3, the Assembly Budget Committee heard the Republican proposal for the 2008-09 State Budget. This proposal relies on bonding lottery revenues for $1.9 billion in one-time money to fund . . . read more
09.02.08: State Budget Update
The Senate Republican State Budget proposal includes a proposal for lottery securitization (slightly less than $2 billion) in an amount sufficient to keep education funding at the 2007-08 level. The proposal is not a specific dollar . . . read more
August 22, 2008: Budget Update
The Assembly has adjourned for the weekend and will be back Monday but will be out Tuesday, Wednesday and Thursday of next week. They will be back in on Friday. The Senate also is out for the weekend and will be back Monday. They did . . . read more
July 21, 2008: State Ends 2007-08 Barely Above Estimates
The final 2007-08 General Fund revenues were released by the Department of Finance on May 18, 2008. The final numbers show General Fund revenues were just barely above the May Revision estimate. The trend . . . read more
July 9, 2008: Budget Conference Committee Acts: Don’t Believe It
Last night the Budget Conference Committee completed their actions on the state budget. Included in those actions was a 2.4% COLA for education programs, no categorical aid program cuts and over $8 billion in new revenues. . . . read more
June 24, 2008: Conference Committee Adopts Second Cash Flow Hit
The Legislative Analyst’s Office (LAO) compromise, adopted by the Budget Conference Committee, defers $2.8 billion in February K-12 payments and provides them in April. The February principal apportionment payment would be . . . read more
June 19, 2008: New Cash Flow Proposal Gathers Steam
Late yesterday, it appeared that the Administration’s May Revision cash flow proposal was receiving serious consideration by the Budget Conference Committee. The Administration’s cash flow proposal was to delay a number of . . . read more
June 16, 2008: Budget Update
Tomorrow June 17 th , the Budget Conference Committee will start discussing the K-12 education budget. No major actions are expected tomorrow during the first discussions because of the complexity of balancing the Proposition 98 . . . read more
June 4, 2008: State Budget Subcommittee Update
Today the Senate Budget Subcommittee finished action on the K-12 Education 2008-09 State Budget. The Senate acted to reject the Governor’s January and May Revision categorical aid program cuts. The Senate also . . . read more
June 3, 2008: State Budget Update and Recommendations
Assembly Budget Subcommittee on Education The Assembly Budget Subcommittee on Education proposed $2.3 billion in new K-14 spending. The new funds would: 1) restore the proposed categorical aid program cuts in the . . . read more
LAO Releases Analysis of May Revision
The Legislative Analyst’s Office (LAO) has released their analysis of the Governor’s May Revision. While generally concurring with the revenue and expenditure provisions contained in the May Revision, the Analyst . . . read more
May 15, 2008: More Detail on May Revision
Yesterday we published an update on the May Revision’s most significant changes. There were, however, a number of other changes included within the May Revision. There are also significant policy issues . . . read more
April 30, 2008 - School District Budget Development
The Governor’s Budget May Revision will be released on May 14, 2008. While there may be some good news for the current year, the May Revision does not look like it will have a positive surprise for next year’s state General Fund . . . read more
25% of All Districts With Qualified Budgets?
In testimony before the Assembly Budget Subcommittee No. 2 and Senate Budget Subcommittee No. 1, a representative from the Fiscal Crisis and Management Assistance Team (FCMAT) stated that up to 250 school districts could have . . . read more
March 17, 2008 - February General Fund Revenues Reported
The California Department of Finance reported the State General Fund revenues for February. The report reflects the uncertainty in the California economy. While personal income tax withholding receipts were greater than estimated, sales . . . read more
March 17, 2008 - Legislative Budget Hearings Start
The Assembly Budget Subcommittee No. 2 on Education held its first hearing on Tuesday. The hearing related to an overview of the Governor’s proposals regarding Proposition 98 funding as well as the Legislative Analyst’s Office . . . read more
SSDA Responds to Legislative Analyst’s Recommendations
The Small School Districts’ Association (SSDA) has reviewed the Legislative Analyst’s Office (LAO) response to the Governor’s 2008-09 State Budget proposal and makes the following recommendations regarding the LAO . . . read more
LAO Response to Governor Schwarzenegger's January State Budget Proposals
February 20, 2008 Just as Governor Schwarzenegger starts the annual State Budget dance, the Legislative Analyst’s Office (LAO) releases her response on how the dance should progress. Today the LAO made the . . . read more
February 19, 2008- 2008-09 State Budget Draft Resolution
SSDA encourages all SSDA member districts to pass School Board resolutions and send them to their members of the Legislature in both the Assembly and the Senate. SSDA thanks the San Bruno Park School District for . . . read more
February 18, 2008 - New Revenue Figures Released by Department of Finance
The Department of Finance has released its new revenue report that reflects the December and January revenues. This report is based on adjusted July to January revenues and the 2008-09 mid-year revenue estimates revision. . . . read more
2008-09 State Budget Update
Please click the following link to view Dave Walrath's presentation on the Governor's Proposed 2008-09 State Budget: 2008-09 State Budget Update read more
February 14, 2008 - State Budget Update
February 14, 2008 UPDATED WITH ASSEMBLY ACTIONS TAKEN TODAY Today the Assembly followed the Senate actions regarding reducing the current year budget by almost $500 million for K-12 education by approving the Public Transportation . . . read more
Recommendations to SSDA member districts regarding response to the Governor’s Proposed State Budget
While I believe that the Governor’s proposed budget will not be the final enacted budget, it does not mean school districts should behave as if the deep severe cuts will not occur. Consequently, SSDA is making the . . . read more
More Money for K-14 Schools
May 14, 2007
Today the Governor released his May Revision which included a substantial number of new programs along with expanding existing programs. This update is being broken into two pieces with some of the more significant actions . . . read more
Governor Releases Proposed State Budget
Governor Schwarzenegger has released his 2008-09 Proposed State Budget. He proposes a suspension of Proposition 98 with a $4.4 billion K-12 cut for 2008-09. The Governor is also proposing approximately $400 million in current . . . read more
Mid-Year Cut Threats
As SSDA reported earlier, the Governor has requested the Legislature to make mid-year reductions of $360 million in K-12 funding. SSDA advises school districts to be cautious in committing new categorical funds that have . . . read more
Deficit Figure Keeps Rising
In August when the 2007-08 budget was passed, the structural deficit was expected to be $6 billion for 2008-09. By the middle of November this had grown to $10 billion when the Legislative Analyst released her projections. . . . read more
State Budget Update
NOVEMBER 6, 2007 Today Governor Schwarzenegger announced that he is requesting state agencies to prepare 10% cuts in their budget. While I have been predicting next year will be an ugly year, I do not . . . read more
May Revision Part 2
May 15, 2007
NOTE: The Legislative Analyst's Office released their Analysis of the Governor's May revision today and correctly identified a technical error in the may revision. The effect is that ongoing revenue limit funding was underestimated by . . . read more
