Here are the highlights of Gov. Jerry Brown’s proposed $164.7 billion budget:
▪ Revenue from July 2014 through June 2016 is projected to exceed previous estimates by $4 billion. Major growth in income and corporation taxes.
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▪ $65.7 billion for schools and community colleges, an increase of almost $8 billion.
▪ $532 million from water bond for water conservation, recycling, storage and other projects.
▪ An additional $119.5 million for the University of California, but only if it caps out-of-state enrollment and freezes tuition. California State University also gets $120 million, plus $25 million for degree-completion efforts.
▪ Additional $750 million in grants for adult education and career technical education to improve job training.
▪ $300 million to help pay for $85,000-per-treatment Hepatitis C drugs for prison inmates, Medi-Cal participants and others.
▪ Medi-Cal caseloads grow to almost 12.2 million, costing the general fund $18.6 billion, an increase of 4.3 percent.
▪ Restores 7 percent cut in service hours for in-home care program, at a cost of $483.1 million.
▪ $533 million toward reimbursing cities and counties for pre-2004 state mandates.
▪ Includes $9.4 million for a pilot program to gauge workability of a “road usage charge,” instead of the current reliance on gas taxes.
Major policy changes
▪ Reduces $72 billion unfunded retiree health care liability by seeking agreement for employees to pay more and have more years of service for the benefit.
▪ Creates a new tax on managed care plans, generating $1.1 billion in 2015-16, to help pay for in-home care and other programs.
▪ Moves the state closer to getting out of the school construction and modernization business.
▪ Reduces the state’s role overseeing the dissolution of former redevelopment agencies.