With a projected budget deficit of $54 billion as a backdrop, Gov. Gavin Newsom reminded Californians of the state’s strong financial position going into this recession.
The governor began his presentation on his revised state budget by pointing out that before the coronavirus-induced recession began, California stashed away $16 billion in a rainy day fund and paid down billions in debt.
But with unemployment in the state expected to peak at nearly 25%, unfortunately, the current COVID-19 rainy day has made short work of that fund.