‘They’re in a Panic.’: Newsom Critics React to Budget Crisis As Deadline Approaches

Critics of Newsom have criticized the proposal as desperate and a reversal of what a Newsom spokesperson originally told Fox News that there were “no cuts to law enforcement.”

“The Governor is solving two years of budget problems in a single budget, tightening the state’s belt to get the budget back to normal after the tumultuous years of the COVID-19 pandemic,” said a governor’s office statement in May.

Due to this, $38 billion in reserves have had to be set aside to help with any shortfalls, which only contributes further to California’s budget deficit problems.

Recent budget proposal cuts point towards making cuts on issues of public safety, but still has plans to commit to climate change within the state budget, which is something many aren’t happy about.

In 2022, the Golden State had a $300 billion budget, with the surplus being on top of that. This surplus was expected to be used to future proof California, but clearly this plan didn’t work.

To try and close this gap, Newsom is planning on using $4.2 billion of California’s reserves, as well as borrowing money. While this might seem like a good idea for now, it could cause more trouble in the long-term.

“The budget proposes numerous ways to make government more efficient and reduce costs for taxpayers, including cuts on inmate spending. Since Governor Newsom took office in 2019, the state has made record investments in law enforcement, including $1.1 billion to tackle crime, support police, and hold criminals accountable,” the spokesperson said at the time.

These cuts included a $97 million cut to trial courts, $10 million to the Division of Law Enforcement, and an $80 million cut to the Department of Corrections and Rehabilitation.

“What’s happening in California is just the greatest disrespect of taxpayer’s resources in the history of America,” said Florida’s chief financial officer, Jimmy T. Patronis. “They’re in a panic. They’re in a free fall. They’re looking for money to make up this enormous budget deficit they’ve got right now.”

The governor’s own estimates at the time were lower, but still in the tens of billions. The LAO cited declining tax revenues as the primary factor for the budget shortfall.

Despite various proposals for solving the budget deficit and shortfalls, there is currently no clear plan for where this money will go or which services will lose money.

However, core programs are still in danger of having their funds slashed or taken away entirely, with many hoping that the poorest and most vulnerable in society will still be looked after.

Many have shared their disappointment that Newsom hasn’t looked at solving the deficit from additional revenue and is instead bringing cuts to supportive services, including cuts to housing and homelessness, during an ongoing housing crisis in the Golden State.

According to the California Budget and Policy Center, one major reason was Federal Reserve interest rate hikes in 2022 that inhibited the economy and made tax revenues volatile. There was also a delay in tax collection that held up government funding.

“Ultimately, this vicious cycle where you’ve got a weaker prison system” will cause “weaker incarceration, which has been kind of the narrative that’s been coming out of California now,” Patronis said. “San Francisco has been kind of like the poster child for businesses fleeing a once-prosperous city.”

“The one that you have to hold responsible is Gavin Newsom,” said Patronis. “When you create a safe environment, people want to relocate their businesses.”

In the same speech, he also made it clear that he has to balance the budget, but it is likely that some people and services will be left feeling disappointed.

However, these promises are now in jeopardy as the budget deficit requires cuts in multiple areas, and Newsom has suggested that he is willing to take money away from these areas to help solve it.

Newsom is also believed to have presidential ambitions. If this is true, the issues he’s been having with California’s budget deficit could form a shadow over these ambitions.

The pressure on Newsom forced a new deal to be reached that would add billions to California’s school districts in future funding.

“Despite a steep #CABudget deficit and the climate crisis, CA is still wasting money on fossil fuels. Instead of spending billions on oil and gas subsidies and unnecessary backup fossil fuel generators, we should prioritize #CleanEnergy investments,” wrote Steven King, a clean energy advocate for Environment California on X.

The hope is that this will be done without raising any taxes and to prevent this from happening. It also means that there will be fewer redundancies in government.

“We’re in LA and San Francisco today advocating for a rollback of proposed budget cuts to essential care programs for aging and disabled people in California,” said care advocacy group Caring Across Generations on X.

This shows the dangers of what society’s most struggling people are set to endure over the next few years and suggests that Newsom and others in government should be trying their hardest to get the budgets under control to help protect the people they govern.