SACRAMENTO – Senate Republican Leader Bob Huff (R-Diamond Bar) offered the following reaction to the Legislative Analyst’s Office (LAO) fiscal forecast for California’s 2014-15 State Budget:
“The good news is that California is no longer running multi-billion dollar budget deficits. That said, the LAO stressed a clear need for continued spending restraint, as well as paying off budgetary debts and unfunded public employee retirement and health liabilities. The Proposition 30 tax hikes have generated more revenue than what supporters claimed was needed to simply protect school funding. If that money is spent on new state programs, California could easily slip back into budget deficits from $6.5 – $8 billion in the event of a mild recession.
“Californians deserve a government that works for them, and Sacramento can adopt policies that help people get jobs and grow the economy. The LAO recommends a cautious approach of building a strong rainy-day …read more
Source: State Senator Bob Huff