California Faces $74 Billion Budget Deficit, Prompting Controversial Cuts

Governor Newsom's revised budget aligns with nonpartisan estimates but triggers backlash over spending reductions.

Governor Newsom's initial deficit projection of $38 billion was revised to $74 billion based on nonpartisan analysis.
The budget shortfall has led to significant cuts, including reductions in health care, education, and climate programs.
Advocacy groups criticize the cuts, arguing they disproportionately affect low-income and vulnerable populations.
Newsom's plan includes eliminating unfilled government positions and reducing state operations by 8%.
The governor has ruled out general tax hikes, opting instead for a mix of spending cuts, deferrals, and reserve funds.