News
Jan. 9, 2018
SOURCE: Adam Ashton – Sacramento Bee

But these are not necessarily flush times, warn the liberal policy advocates who normally would be urging Brown to put the surplus into new government services.

They see two strong headwinds they expect Brown to cite when he reveals a budget that salts away revenue and avoids expensive commitments.

One comes from aftershocks created by the tax overhaul President Donald Trump signed last month.

Because Trump’s plan slashes federal revenue, California leaders expect Congress to next cut funding for social services that they consider critical. That, in turn, could blow a hole in parts of the state’s budget that depend on federal funding, like Medi-Cal.



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