Money

By Dakota Smith, Los Angeles Daily News
Posted: 01/09/14, 6:09 PM PST |

In Los Angeles Thursday afternoon to unveil his annual state budget, Gov. Jerry Brown called his fiscal plan conservative, one that sets aside billions in a rainy day fund.

California had gotten beyond the “decade of intractable deficits” Brown told reporters, adding that the state is “poised to take advantage of the recovery.”

Among other things, his budget increases funding for mapping earthquake faults, an issue critically important to Southern California. In explaining the additional reported $1.5 million funding in annual map funding, Brown warned that “earthquakes are just around the corner.”

“There is a 50-50 chance that we will have a catastrophic earthquake in California that will kill thousands of people and be enormously fiscally devastating,” Brown said. “That is true. The only question is when.”

The funding for earthquake mapping is a major issue for the city of Los Angeles, which has approved buildings in Hollywood without updated current maps, leading to worries that approved buildings may be sitting directly on fault lines.

Los Angeles was one of three different stops throughout California Brown made to unveil his 2014 fiscal budget.

He also weighed in on possibly expanding the state’s $100 million annual tax credit program for film and television, incentives the state grants to try and stop runaway movie production.

His budget doesn’t make any mention of the tax incentive program, but Brown told reporters that he wants to retain production in the state.

“I am resistant to spending more money than is in my budget, so the budget speaks for itself. We have given tax credits, and on that subject, like others, we’re listening, but we have to be careful. The desires are endless, and they become needs very quickly. And it is a bit of an arms race between one state and another state.

“But I feel very loyal to the movie industry,” Brown added. “And it’s part of California, and Hollywood is synonymous with what California is. We certainly want to keep as much production as we possibly can.”

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