Senator Portantino’s Statement on the Governor’s May Revise

For Immediate Release: May 10, 2024

Contact: Lerna Shirinian, (818) 409-0400

Senator Portantino’s Statement on the Governor’s May Revise

Sacramento, California – Senator Anthony J. Portantino (D – Burbank) released the following statement regarding Governor Newsom’s May Revision to the proposed 2024-25 State Budget:

“I applaud the Governor for his thoughtful and innovative approach in addressing the budget deficit and appreciate his openness to work with the Legislature on the final product. Given the fiscal challenges we are facing, it was important that we made some progress earlier this year to shrink the budget shortfall.

The shortfall grew by $7 billion, but early action by the Legislature reduced the overall deficit by $17.3 billion. Although it still stands at $27.6 billion, I am pleased that the revision process preserves many essential services and safety net programs such as education, housing, health care, and food assistance. However, it is concerning that the proposal includes a one-time $426 million reduction to the Children & Youth Behavioral Health Initiative. Mental health has long been a priority issue for me, and it is important to address the behavioral health challenges that today’s youth are facing.

I also want to note that the proposal to create an Excess Revenue Investment Capture Account is an innovative way to increase our revenue during economic upswings. This includes amendments to Proposition 2 (2014) to allow increased deposits into the Budget Stabilization Account and sets aside additional anticipated surplus funds.

Additionally, I am pleased to see that the proposed insurance trailer bill was included to expedite the rate filing process and other reforms to stabilize the market. I look forward to seeing the details of this proposal to further understand how it will help our constituents.

With a multiyear approach to balancing the budget and create a leaner government, I am confident we can ensure the long-term stability of the 5th largest economy in the world. I look forward to working with the Governor and my colleagues on passing a responsible budget next month that is true to our values and priorities as Californians.

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