Governor Jerry Brown revealed his revised 2014-15 budget proposal Tuesday morning at the state Capitol.
The State Treasury has brought in an unexpected $2 billion in revenue since January, something the governor was quick to point out would be followed by huge deficits.
The governor’s revised budget includes a rainy day fund that has been approved by Democratic and Republican legislative leaders.
The Legislature is expected to vote on the rainy day proposal sometime next week, with the measure then going to voters in November.
The plan essentially sets aside a small amount of annual tax revenue to the state’s general fund.
Half of the savings would go into reserve; the other half would pay down long-term debt.
Governor Brown says he is proud of the large numbers of Californians now covered by healthcare, but noted it cost the state one billion dollars it hadn’t counted on.
Brown shored up teachers pensions and expressed his support for high speed rail, as well as the Delta Tunnel Project. Both are important projects to the governor, and he dodged questions asking him to chose one or the other.
The Legislature is required to pass the next budget by June 15. It goes into effect July 1, once the governor signs it.