June 16, 2015

TO:                  CLA MEMBERS/ SYSTEMS/ NETWORK CONTACTS

FROM:           Mike Dillon, CLA Lobbyist
                        Christina DiCaro, CLA Lobbyist

RE:                 News From the Capitol

BUDGET RE-OPENED AS PART OF “DEAL”:  GOVERNOR STICKS TO MAY REVISION NUMBERS,
SMALL ADJUSTMENT FOR LIBRARIES

This afternoon Governor Jerry Brown, Assembly Speaker Toni Atkins, and Senate President pro Tem Kevin De Leon held a joint press conference at the State Capitol to announce that they had reopened the negotiations on the 2015-16 Budget and had reached a formal agreement.  Yesterday the State Senate and Assembly both passed this year’s Budget bill by their constitutional deadline of June 15^th, but the Budget assumed higher revenue estimates than what the Governor used in his May Revision of the Budget, released in mid-May.

The agreement reached by the Governor and the two Democrat leaders uses the Governor’s May Revision allocations and only $61 million in additional spending.  Once again, demonstrating his desire to produce a balanced budget that pays down debt and increases the “rainy day” contingency fund, the Governor held firm to his desire to craft a prudent Budget.  The Governor agreed to reduce some programs supported by the Democrats and increase others, such as slots for preschool and day care, but it was still short of the amounts approved for each issue during the Budget Conference Committee process. 

The library funding was similarly adjusted to reflect the Governor’s May Revision proposal, unfortunately eliminating the $4 million for the California Library Services Act the legislature had included in the Budget, and reducing the broadband connection grants slightly as well.  Here is what we understand will be included for public libraries in this year’s 2015-16 Budget deal agreed to this afternoon:

$6.2 million in NEW funding for public libraries in the 2015-16 Budget bill:

• $2 million in new funding for the state literacy program. 
• $2.5 million in new funding for broadband connection grants for public libraries to join the CENIC high-speed “backbone.”  (an additional $1 million beyond May Revision)
• $225,000 in administration costs to run the broadband program for the public libraries.
• $1 million for the Career Online High School program.  (Originally not included in May Revision)
• $521,000 for State Library related library preservation activities.

It is believed that the Legislature will vote on the amended Budget bill later this week.