Assembly Speaker John A. Pérez unveiled a "blueprint for a responsible budget" Wednesday that appears to spend most, if not all, of the state's projected surplus in the 2014-15 fiscal year and may conflict with Gov. Jerry Brown's priorities.
Pérez didn't place a price tag on the new spending, which he termed "investment," but said he and his fellow Assembly Democrats want to boost state aid to colleges and expand safety net services to the poor, including a boost in welfare grants.
Speaking to reporters at the Capitol, Pérez and Assemblywoman Nancy Skinner, D-Berkeley, chair of the Assembly Budget Committee, said they want to end the 2014-15 fiscal year with a $2 billion reserve and build that to as much as $10 billion over the next several years.
Mac Taylor, the Legislature's budget analyst, forecasts that without new spending, the state would end the year with a $5.6 billion surplus, thus indicating that the price tag for the Assembly's expansion plans would be at least several billion dollars.
Pérez and Skinner said they want to restore money to some programs that were slashed during recession-induced budget deficits, especially those in education and safety net services.
The new spending would include a expansion of the earned income tax credit, expanded eligibility for welfare payments to low-income workers, expanding the "CalFresh" program of food benefits, raising Medi-Cal reimbursement rates, expanding child care, and making transitional kindergarten universally available to all four-year-old children.