Jerry Brown

Gov. Jerry Brown carries notebook paper outlining his proposed 2016-17 state budget after a news conference at the California State Capitol Thursday, Jan. 7, 2016, in Sacramento, Calif. (Renee C. Byer rbyer@sacbee.com)

Capitol Alert
By David Siders
dsiders@sacbee.com
January 11, 2016 11:38 AM

  • Legislative Analyst’s Office warns of possible economic downturn
  • Brown’s estimates for local property tax revenue about $1 billion too low

The Legislature’s nonpartisan fiscal analyst on Monday called Gov. Jerry Brown’s latest budget proposal a “prudent” spending plan, while arguing he may underestimate the amount of available revenue.

The review follows Thursday’s release of a $170.6 billion state spending plan that includes increases in school funding but rejects calls for more robust, permanent spending increases in social service programs.

The budget proposal, touching off months of negotiations at the Capitol, includes several hundred million dollars in one-time spending and diverts several billion dollars into reserves.

In its overview of the plan, the Legislative Analyst’s Office said Brown’s “emphasis on reserves is appropriate.”

Planning for the next downturn — including setting aside budget reserves — is an important priority

Legislative Analyst’s Office

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