California Budget Ends With Surplus
Sonora, CA — It’s been a rarity over the past decade, but California ended the past fiscal year with a surplus of revenue.
The new budget took effect on July 1st, and California still had nearly $2 billion unspent.
“This hasn’t happened since 2007,” says State Controller John Chiang. “If you remember back in 2009 I had to hold back tax refunds, and issue IOU’s, so that the state didn’t default on its debt. So, it’s nice not having to operate on borrowed money. We’re making progress.”
California still has billions of dollars in bond related debts and unfunded liabilities.
Chiang added, “We can’t go on a wild spending binge, and we have to pay down these other types of debt. But, at least we have money in the bank, and we’re not outspending what we have.”
Last year’s fiscal budget was $101.6 billion.