Governor Newsom Signs State Budget

Governor Gavin Newsom has signed a $202 billion state budget that largely avoids widespread cuts to public services and seeks to erase a multi-billion-dollar deficit caused by the COVID-19 crisis. The budget maintains spending on schools and health and safety net programs. It also includes delayed payment plans, borrowing from special funds and relies heavily on tapping in on cash reserves. The budget also gives Newsom power to withhold over $2 billion from cities and counties that don’t follow the state’s coronavirus rules designed to prevent the spread of the virus. It will take effect tomorrow.