"California faces $32 billion budget deficit, Newsom proposes cuts to offset"

California Governor Gavin Newsom announced a revised budget proposal of $306.5 billion, with a budget deficit of $31.5 billion, $9 billion more than previously projected. The May revision includes $3.3 billion in shifts of spending commitments from the state’s general fund to other funds, $3.7 billion in revenue and borrowing, and $450 million withdrawal from the Safety Net Reserve. The revised proposal also includes hefty cuts in specific programs, such as billions of dollars of reductions in climate investments. Newsom emphasized the importance of maintaining and investing in different core programs, including K-12 education, higher education, health care, housing and homelessness, and infrastructure.