Republicans call for special session to fix state deficit

Spending cuts are needed immediately, Republicans argue, to fix the $68 billion deficit.

Assembly Republicans are calling on California Gov. Gavin Newsom to call a  special session of the legislature to address the looming $68 billion deficit. 

Republican Leader James Gallagher (R–Yuba City) wrote a letter to Newsom on Thursday asking for a special session. 

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The backstory: The nonpartisan California Legislative Analyst’s Office revealed that the state is facing a $68 billion deficit due to tax revenue coming in much worse than anticipated. 

  • Wednesday, the Newsom Administration ordered state departments to freeze all unnecessary spending, only using funds on items critical to keeping the state running. 

The they’re saying: In the letter, Gallagher says waiting to address the deficit will only result in further financial pain for Californians. 

  • “The Administration’s initial step to freeze spending is not enough,” Gallagher wrote. “The budget hole is simply too massive. The Legislature must come back to take action to implement the cuts.” 
  • Gallagher noted that nearly half of the estimated deficit applies to a fiscal year that has already ended. 
  • “Urgent action now is necessary to roll back one-time and limited-term spending programs in the current year,” Gallagher wrote. “Californians cannot risk more financial uncertainty, so immediate action now will help maximize the effect of current year solutions, and hopefully avoid the need for more difficult solutions later.” 
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