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Fact Sheet

California’s State Budget: The Governor’s Proposal

By Radhika Mehlotra, Patrick Murphy

Governor Newsom’s first budget proposal would build up budget reserves and pay down debt—while increasing funding for housing, education, and health and human services.

blog post

The Coronavirus Pandemic Will Test the State’s Budget Reserves

By Radhika Mehlotra, Jennifer Paluch

State reserve policies enacted since the Great Recession have boosted the capacity of California’s budget to weather a downturn, but a major recession due to COVID-19 would pose significant fiscal challenges.

blog post

Budget Surplus Divides Californians

By Dean Bonner

While most Californians hold an optimistic view of the state budget, they are divided on how to spend a historically large surplus.

Statewide Survey

PPIC Statewide Survey: Special Survey on the California State Budget

By Mark Baldassare

Some findings of the current survey

  • A vast majority of Californians (71%) view the state’s multibillion dollar fiscal gap between revenues and spending as a big problem.
  • Only 7% of the state’s residents think the governor and legislature have made a lot of progress in solving the state’s budget problems.
  • Most Californians (72%) express concern about the effects of budget cuts in the governor’s fiscal plans.
  • 72 percent of Californians believe voters should make decisions about the budget and governmental reforms rather than abdicate that responsibility to the governor and legislature.
  • Californians continue to express profound distrust of their state government: Only 29 % say they trust the government to do what is right just about always or most of the time. Most Californians say that state government is run by a few big interests—a view held by majorities of Democrats (72), Republicans (67%), and independents (64%).
  • More residents say the state is headed in the wrong direction than the right direction (57% to 35%) and say they expect bad economic times rather than good times in the next 12 months (49% to 39%).

This survey is the fifth in a series of special PPIC Statewide Surveys on the California State Budget and Fiscal System, begun in June 2003 and conducted in collaboration with The James Irvine Foundation. The intent of this series is to raise public awareness, inform decisionmakers, and stimulate public discussion about the current state budget and the underlying state and local finance system.

Report

Perceptions of Local Fiscal Stress During a State Budget Crisis

By Max Neiman, Daniel Krimm

City and county governments in California have been hit hard by the state’s budgetary and economic difficulties, which have meant high unemployment and cuts to public services. This research details just how local governments are dealing with these fiscal troubles, using a survey of local officials. Among the most common local responses: even more cuts in public services, hiring freezes, and reduced contributions to reserves.

This research was supported with funding from the California State Association of Counties.

Statewide Survey

PPIC Statewide Survey: Special Survey on the California State Budget

By Mark Baldassare

Some findings of the current survey

  • A vast majority of California’s likely voters (76%) view the state’s multibillion dollar fiscal gap between revenues and spending as a big problem.
  • Californians are fed up with the state’s fiscal fiasco, and they don’t trust the governor or legislature to resolve the problem: An overwhelming majority (68%) believe that voters should make decisions about the budget process at the ballot box, rather than abdicate that responsibility to the governor and legislature.
  • A majority of residents (69%) support raising the tax rate on the state’s top income bracket.
  • Most residents (73%) express concern about the effects of budget cuts in the governor’s plan.
  • Few residents (29%) believe that the Social Security program is in crisis, although 42% do agree that the program has major problems.
  • 46% of the state’s residents think that the Bush administration’s proposal to allow people to invest their Social Security contributions in the stock market is a bad idea.

This survey is the fourth in a series of special PPIC Statewide Surveys on the California State Budget and Fiscal System, begun in June 2003 and conducted in collaboration with The James Irvine Foundation. The intent of this series is to raise public awareness, inform decisionmakers, and stimulate public discussion about the current state budget and the underlying state and local finance system.

Statewide Survey

PPIC Statewide Survey: Special Survey on the California State Budget

By Mark Baldassare

This survey is the third in a series of special PPIC Statewide Surveys on the California State Budget and Fiscal System, begun in June 2003 and conducted in collaboration with The James Irvine Foundation. The intent of this series is to raise public awareness, inform decisionmakers, and stimulate public discussion about the current state budget and the underlying state and local finance system.

Some findings of the current survey
  • Three-quarters of Californians (73%) say the state budget gap is a big problem.
  • Residents are concerned about the efficiency of their state government. Nearly three-quarters (71%) believe it could spend less and still provide the same level of services.
  • A strong majority of likely voters (60%) support this November’s ballot measure that requires voter approval for any state-level legislation that reduces local government revenue.
  • A large majority of likely voters (69%) approve of Governor Schwarzenegger’s job performance.
  • Only about one-third of likely voters (35%) approve of the California legislature’s job performance. “Partisan gridlock and inaction in Sacramento has been very exasperating for Californians,” says Mark Baldassare, the survey’s director and Director of Research at PPIC.

Statewide Survey

PPIC Statewide Survey: Special Survey on the California State Budget

By Mark Baldassare

This survey – the first in a series of special surveys on the California state budget, conducted in collaboration with The James Irvine Foundation – is a special edition of the PPIC Statewide Survey. The intent of this series is to raise public awareness, inform decisionmakers, and stimulate public discussion about the current state budget and the underlying state and local finance system.

Some findings of the current survey

  • Nearly all Californians (94%) say that the state's budget deficit is a big problem (73%) or somewhat of a problem (21%).
  • Most Californians are opposed to spending cuts in public programs as well as to increases in taxes or fees.
  • Only 34% of all adults say that they trust the government in Sacramento to do what is right just about always or most of the time.
  • 75% of likely voters disapprove of the way Governor Davis is handling his job, and 57% of the state's residents disapprove of the way the legislature is handling budget issues.
  • Nearly six in 10 respondents believe that the better way to improve the national economy is to reduce the deficit rather than cut tax (58% to 34%).

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