Governor Brown’s May Revise Budget Proposal

Subject: Governor Brown's May Revise Budget Proposal

May 17, 2011

MEMO TO: PORAC Board of Directors
FROM: Aaron Read & Randy Perry
SUBJECT: Governor Brown’s May Revise Budget Proposal

Yesterday, Governor Brown released his 2011-2012 May Revise Budget Proposal. When he took office, California’s budget deficit was $25.4 billion for 2011-12. However, increased revenues from April’s income tax receipts have decreased the deficit by $2.9 billion, which he is now using to provide increased support for education and public safety.

To date, Governor Brown has signed $11 billion in cuts and other solutions. The Legislature also adopted a budget bill that contains $2.4 billion in solutions, including reducing CDCR’s inmate population by 39,750 or 24.5 percent, once realignment is fully implemented. To balance the budget, $10.8 billion in budget solutions need to be adopted to take care of the deficit and rebuild a modest $1.2 billion reserve.

May Revision Highlights Related to Public Safety

Public Safety Realignment: Governor Brown is proposing a reduction by 25% of state operations positions and funding for various departments that will have programs realigned to counties in 2011-12.

Vehicle License Fee: The revision proposes that the Legislature implement a five year extension of the current Vehicle License Fee rate and one-cent sales tax increase, which the voters will then ratify during a statewide special election.

The revision also stipulates that .4 percent of the VLF increase be allocated for realignment, with the other .1 percent going to the General Fund. The previous proposal had all the monies going to the realignment, but the revise figure takes into account POST, STC and other programs that are being removed from the realignment proposal and placed back into the General Fund.

Parole Revocation Hearings: The revised proposal includes an increase of $41.8 million for court workload resulting from the shift of responsibility for parole and post-release supervision revocation hearings to the Judicial Brach. $2.5 million of this is added to the court security realignment total. The final court security funding estimate for 2011-12 is $497.8 million.

Commission on Peace Officer Standards and Training: Governor Brown’s January budget included $21 million for peace officer training funds to be administered by the Commission on Peace Officer Standards and Training (POST) as part of the realignment. This proposal is no longer included in the realignment and will be paid through the General Fund.

Community Corrections Performance Incentive Grants: The May Revision includes an increase of $30 million from the General Fund for the California Community Corrections Performance Incentive Act. The Act established a system of performance-based funding that shares state General Fund savings with county probation departments when they demonstrate success in reducing the number of felony probationers committing new crimes or violating probation. As of the May Revision, approximately 6,200 probationers were successfully kept out of state prison as a result of this program.

Elimination of Boards: In an effort to cut state government spending, the Governor eliminated numerous Boards and Commissions. Below is a list of those related to public safety:

California Council on Criminal Justice
Office of Gang and Youth Violence Prevention
Commission on Emergency Medical Services
Commission on Emergency Operations Executive Council
California Emergency Council
Rehabilitation Appeals Board
California Anti-Terrorism Information Center

Leadership Surveys
Third student rape reported to Cal Poly