Pa 581 Case Analysis State or Local Government Budget
California recently released its budget and it is important to analyze. The total budget for 2021-2022 is estimated at $267.6 billion which is an increase of 4% over the previous year’s budget. 100 billion dollars will be allocated towards K-12 Education, which is a 6 percent increase over the previous year’s budget. Additional funds are also being allocated for career and technical programs as well mental health services. The amount also includes significant funding for other sectors such as housing, healthcare, transportation, and environmental protection.
When it comes revenue generation , largest portion i.e 64% will come from taxes & fees collected on individuals & businesses while remaining 36% be generated by other sources like sales tax receipts etc . The amount of money set aside for reserves has also doubled, from 5.2 percent to 10.4 per cent since the last fiscal year. It also proposes to increase the minimum wage by $15/hr per hour in 2023, and provide refunds for seniors who are exempted from paying tuition at certain state universities.
The latest budget proposal from the CA government focuses on increasing quality of life for its citizens by allocating additional funds to key areas such as education and healthcare, while also raising the minimum wage so that low-income earners will benefit.