State Budget Cuts Will Be Devistating

Here is a look at how the pending budget cuts might hit california counties. These cuts will be devistating to local services. Click HERE for the full document.

General Revenues  


Borrow property taxes pursuant to Proposition 1A; $1.982B impact to all locals, allocation unknown May Revision

$1.982 billion

Delay usual payments to counties to preserve state cash – February to March 2009 Cash Management

~$500 million

Defer July & August payments for health and human service programs to most counties and aid recipients 2009-10 Budget

$1.3 billion

Defer unspecified further payments to local agencies LAO/May Revision

$ billions

Eliminate Williamson Act subventions to local agencies (on top of existing 10% reduction) May Revision

$34.7 million

Defer payment for pre-2004 mandates 2009-10 Budget

$91 million

Require counties to conduct May 19 special election 2009-10 Budget

$68 million

Health and Human Services  


Eliminate mental health managed care for adults; ~$200 million GF savings plus ~$800 million federal May Revision

~$1 billion

Eliminate CalWORKs; would increase county GA costs substantially May Revision

$ hundreds of millions

Suspend CalWORKs Pay for Performance program 2009-10 Budget

$40 million

Impose 60-month time limit on child-only CalWORKs cases; separately, modify Safety Net aspect of CalWORKs so children lose assistance when parents reach 60-month limit; increase county GA costs May Revision

$ tens of millions

Eliminate state funding for Prop. 36 May Revision

~$100 million

Eliminate CAPI benefits for legal immigrants; would increase county GA costs May Revision

$ tens of millions

Reduce child welfare allocations to counties; counties would also lose associated federal funds May Revision

$70 million

Reduce state child welfare costs; no detail provided, so county impact unknown May Revision

$60 million

Sweep some federal Medi-Cal funds intended for public hospitals 2009-10 Budget

$54.2 million

Eliminate 2009-10 County Medi-Cal Cost of Doing Business Adjustment 2009-10 Budget

$49.4 million

Seek $750 million in federal waivers for unspecified Medi-Cal changes May Revision

$ tens of millions

Reduce Medi-Cal scope of benefits for legal immigrants; increases costs to public hospitals & clinics May Revision

$ few million

Suspend General Fund support for immunization assistance to local agencies LAO

$18 million

Establish 30% county share for Transitional Housing Program Plus for emancipated foster youth LAO

$12.3 million

Reduce state participation in IHSS wages from $11.50 to $8/hr; no relief from collective bargaining 2009-10 Budget/ May Revision

$ tens of millions

Eliminate $24.6 million of local funding for HIV Education and Prevention May Revision

$ millions

Eliminate $10 million of local funding for Maternal, Child and Adolescent Health Grants May Revision

$ millions




Borrow all 2009-10 HUTA distributions (gas tax subventions) to locals with no interest LAO

$500 million

Sweep three-fourths of local HUTA funds permanently May Revision

$375 million

Delay January through March HUTA payments until April payment is made in May 2009 2009-10 Budget

$125 million

Repeal Prop. 42 for 2010-11 and all out-years ($325 million/year) LAO

$325 million

Suspend most of Prop. 42 in 2009-10 LAO

$225 million



Redirect half of 0.15 VLF rate increase; eliminate COPS, rural and small county sheriff assistance, booking fees, and all CalEMA local assistance programs LAO

$250 million

Make certain wobblers subject only to jail time May Revision

$99.9 million

Phase in competitive bidding for court security LAO

$20 million

Charge state and local agencies for forensic lab services LAO

$40 million

  9 comments for “State Budget Cuts Will Be Devistating

  1. Allan Bartlett
    May 28, 2009 at 10:24 am

    Looks like the Dems in the Lege have chosen their public employee union masters over the poor, sick, disabled, and children. They know butters their bread. They’re not gonna upset that apple cart.

  2. May 28, 2009 at 11:16 am


    I believe these proposals are coming mostly from the Governor’s office. The “unions” you deride are looking at thousands of layoffs resulting from the custs in services. So your comment really is nothing more than union hating drivel without any substance.

  3. Allan Bartlett
    May 28, 2009 at 12:24 pm

    Yeah Chris, while it’s nice to blame the gov, you guys have had total control of the Lege for the last decade. Your party is a wholly owned subsidiary of the public employee unions and I’m sad to say some Republicans are to.

  4. May 28, 2009 at 1:10 pm


    While the Dems have a majority, the Republicans simply abstruct any reasonable budget solutions because of the 2/3 rule.

    Nice try though.

  5. Ltpar
    May 29, 2009 at 6:52 pm

    Yea Chris, big time, reasonable, budget solutions; more tax and spend. Abraham Lincoln had it right, “You can fool some of the people all of the time, and all of the people some of the time, but you can not fool all of the people all of the time.” It’s time to pay the piper.

  6. Adam
    May 30, 2009 at 10:35 am

    I know this is the “Liberal” OC, but what about the idea of some kind of tax break for charitable contributions that offset these cuts? I don’t know how such a tax break would be funded (more cuts?), but since we’re talking about people’s lives, wouldn’t getting them care from a charitable organization be better than just cutting them loose?

  7. May 30, 2009 at 1:47 pm

    Since charitable contributions are already tax deductable I’m not realy sure what other tax break there could be. Also, the combined infrastructure of charitable organizations cannot match the scope needed to offset these cuts. They are far too wide and deep.

  8. S
    May 30, 2009 at 10:43 pm

    I think the state should find new revenue sources rather than cutting down everything.

    Some of them I can think of are…
    1) Legalize gay marriages: Legalizing gay marriages will create additional revenue of around $64M. Gay couples are projected to spend $684 million on flowers, cakes, hotels, photographers and other wedding services over the next three years if it were legal to get married.

    2) Legalizing Marijuana: Legalizing marijuana can generate an additional $1.3 billion a year.

    I am sure there are other ways to increase revenue sources. I think increased dependency on high tech industry and property taxes made CA budget very volatile. It’s time to think again and diversify the revenue streams.

    just my 2 cents….

  9. lefty
    May 31, 2009 at 4:22 pm

    “I think the state should find new revenue sources rather than cutting down everything.” – CP

    No doubt.

    California’s NOTORIOUS anti-USA business climate – the worst “anti-USA business” reputation in the country – has finally hit home, & hard.

    Exported $$$ come-back (at most) pennies on the dollar.

    USA/ California families/ companies jobs = USA/ California taxpayers.


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