Today, Sen. Roger Niello (R-Fair Oaks), vice chair of the Senate Budget Committee, criticized the latest round of budget bills passed on the Senate Floor as another step in the majority party's fake budget process and a failure to address Californians’ basic needs.
“The budget the legislature passed on June 15 was done purely to meet a constitutional deadline. Now, a new version of the budget is being rammed through the legislative process with little to no transparency,” said Senator Niello. “This so-called budget is frankly delusional, borrowing from the future, and creates multiple new taxes. At the same time, it fails to address families’ basic needs.”
This year’s budget will spend approximately $353 billion. It includes $14 billion tax increases on computer and phone services that will be passed on to consumers and a new healthcare tax that will increase insurance costs for families.
In their budget request letter to Governor Newsom, Senator Niello and Senate Republicans asked for the federal unemployment insurance (UI) debt to be paid down, full funding for Proposition 36, and help for distressed hospitals. This year’s budget fails to adequately address all three of those critical items.
As a result, in the case of the federal UI debt, California employers will soon face a tax increase of 250% per employee.
“Record spending does not equate to better quality of life, and anyone living in California for the last decade would likely agree. This budget is bad for job creators and workers. It’s bad for public safety and affordability. The governor can claim he has a ‘balanced’ budget on his way out the door, but really, he's just leaving us with his tab,” Niello concluded.