Andrew Nixon / Capital Public Radio

 California Governor Jerry Brown’s revised budget proposal shows clear intent for a state-based Medi-Cal expansion under the Affordable Care Act. January’s budget suggested a possible county-led expansion.  

California Health and Human Services Secretary Diana Dooley says the budget also proposes a way the state will seek to capture money counties currently use to treat the uninsured.   

Andrew Nixon / Capital Public Radio

California Governor Jerry Brown has released an updated budget proposal that includes more money for schools this year, and less overall spending next year. 

His spending plan for the fiscal year that starts in July includes about $1.3 billion less than his January proposal.  Brown says the state’s economic picture has weakened due to the federal sequester and the federal payroll tax change.

“We have climbed out of a hole with a Proposition 30 tax. That is good, but this is not the time to break out the champagne,” says Brown.

City of Fresno

On this week’s Valley Edition, host Juanita Stevenson takes a look into whether a tax to pay for public safety is right for the City of Fresno. Stevenson begins with a report from the South Valley discussing the City of Visalia’s decision to implement a public safety tax and whether Fresno should follow suit.

Joining a conversation about a possible public safety tax and the state of Fresno’s finances are Fresno City Manager Mark Scott and Fresno Bee Editorial Page Editor Bill McEwen.  

Joe Moore / Valley Public Radio

The hustle and bustle of downtown Visalia, a place alive with activity. Local residents point to it with pride. City Manager Steve Salomon says it has a lot to do with the community’s vision for its city.  

“The city council in this city for decades and decades has been able to have a long term view of what they thought this city should be, and done things that were not necessarily going to have an immediate result for them, but a long term result,” says Salomon.

Photo used under Creative Commons from Andy Patterson / Modern Relics / http://www.flickr.com/photos/modernrelics/4461010654/

Most California lawmakers say they agree with Governor Jerry Brown that now is the time for fiscal discipline in light of a balanced budget.

But as Amy Quinton reports from Sacramento, Democratic lawmakers have not ruled out restoring some cuts.

Legislative Democratic leaders expressed relief at the announcement of a balanced budget. They say the extra $2.7 billion in education funding is also a step in the right direction.

Senate Budget Chair Mark Leno says lawmakers are now in a position to talk about policy rather than cuts.

Jerry Brown
Andrew Nixon / Capital Public Radio

The annual California budget cycle begins anew tomorrow as Governor Jerry Brown unveils his proposed spending plan.

As part of his budget, the governor is expected to propose major changes to the state’s education funding system. 

They include removing state spending requirements so districts have more flexibility, and introducing a weighted funding formula that gives more money to schools in poorer areas.

Republican Assemblyman Jeff Gorell  says he could support that proposal with some adjustments – such as making sure all schools get a minimum amount of money.

Joe Moore / Valley Public Radio

The California Attorney General’s office has released its investigation into the funding surplus at the state Parks Department.

As Amy Quinton reports from Sacramento, it shows that only part of the $54 million dollars found in two funds were intentionally hidden from the Department of Finance.

The audit shows senior management at the parks department intentionally underreported as much as 20 million dollars beginning in 1996. It found that $34 million concealed in one fund was unintentional. But it’s a different story for the State Parks and Recreation Fund.

Ben Adler / Capital Public Radio

California’s once-enormous budget deficit has shrunk to just under $2 billion, and the state could soon have a surplus.  But Mac Taylor, California’s non-partisan legislative analyst is urging caution as state finances improve.

Not long ago, California hit rock bottom, with a massive budget deficit. 

Nearly four years ago Governor Arnold Schwarzenegger told a crowd, “the $42 billion deficit is a rock upon our chest that we cannot breathe until we get it off.” 

Cal Fire Burning Through Its Budget

Aug 20, 2012
Sierra National Forest

Fire season in California is about half over, but the state has already spent more than two-thirds of its $93 million firefighting budget.

H.D. Palmer is with the California Department of Finance. He says the state is prepared to pay, whatever the cost.

“If we do spend more for fire suppression than is in the budget, that doesn’t mean that the tankers don’t fly, that doesn’t mean the hand crews aren’t out there, that doesn’t mean the trucks don’t show up, we will have emergency appropriation authority to do that.”

Joe Moore / Valley Public Radio

The City of Fresno's precarious financial position is leading to more repercussions in the investment community. On Friday, the firm Standard & Poor's downgraded the city's credit rating from "A" to "BBB." Last month, the two other major credit ratings agencies, Fitch and Moody's issued similar downgrades.

The rating of "BBB" is Standard & Poor's next to lowest "investment grade" rating. The firm also gave Fresno's  financial outlook a "negative" rating, meaning future downgrades are possible.