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Brown: State's Deficit Now $16 Billion; More Cuts Coming

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(Sacramento, CA)
Sunday, May 13, 2012

In a two-and-a-half-minute YouTube video released over the weekend, Brown lays out some grim news for California:

Brown: "Tax receipts are coming in lower than expected.  And the federal government and the courts have blocked us from making billions in necessary budget reductions.  The result is that we're now facing a $16 billion hole - not the $9 billion we thought in January."

The governor did not hint at any of the specific cuts he will propose Monday morning - but he does warn they'll be far greater than what he asked for at the beginning of the year.  Legislative Democrats have already rejected some of Brown's earlier proposals - such as restructuring California's welfare program and reducing financial aid for college students.

The governor is counting on voters to approve a tax initiative in November to avoid even deeper cuts.

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