Budget Overview
According to the California Legislative Analyst’s Office, the 2012-13 state spending plan assumes total budget expenditures of $130.7 billion from the General Fund and special funds. This consists of $91.3 billion from the General Fund and the Education Protection Account (which was created by Proposition 30), as well as $39.4 billion from other special funds. Together, spending from these funds is assumed to increase by around 7 percent over 2011–12. Federal funds spending are projected to be about $83 billion for 2012–13, an increase of 6 percent over 2011–12. (Unless otherwise specified, figures in this publication generally reflect the administration’s official scoring as of late June 2012.)
Budget Reform
Any attempt to curb the state’s passion for spending, will likely be addressed with a variety of legislative measures, introduced by Republicans when the legislative reconvenes in January. It may be time for legislators and the governor to adopt reform measures such as “performance based budgeting,” which would be aimed at establishing the most effective and efficient way to deliver essential services, given the projected revenues for the state.