"California has faced 10 recessions since World War II and we must prepare for the 11th", Brown wrote.
"If it were to pass, it would be a blow to California's economy", Brown said of the repeal drive. Brown's budget propounded $131.7 billion in prevalent fund revenue. Cities and towns will see significantly more money in their coffers - $2.7 billion compared to $1.6 billion a year ago - to pay for local street and road repairs, thanks to the gas tax. The state recorded deficits throughout Gov. Arnold Schwarzenegger's tenure and in the first years of Brown's terms.
Previously, Gov. Brown asked California Community Colleges chancellor Eloy Ortiz Oakley to "take whatever steps are necessary" to establish an institution that only offers online programs. But half of future additional funding would be tied to enrollment size; a quarter would depend on how many students receive state financial aid based on being from low-income families; and the remaining quarter would be tied to the number of degrees and certificates granted and the share of students who completed them within three years.
"As it relates to poverty, the governor stated that unlike other states, California has a good system of support, but it is modest", said Sen.More news: Peter Thiel's fund owns 'hundreds of millions' worth of Bitcoin
Seven years later, the state's fortunes have flipped, thanks to one of the longest economic expansions in modern history and to voters' decision to pass the Proposition 30 tax hikes in 2012.
The Legislature's Democratic majorities have signaled that they think some of the surplus should be used to bolster social programs, particularly those for the very poor.
The $132 billion spending proposal includes notable investments in education for foster youth in the state; a new home visiting program for moms receiving welfare; and a bid to divert some young adults from prisons into juvenile facilities.
Brown is using some of a projected surplus to speed up the full funding of his 2013 education reform, the Local Control Funding Formula. I am pleased he plans to release $640 million in bond funds to pay for critical school facilities.More news: Steelers backups keep Browns 0-for
Proposition 2, approved by California voters in 2014, established a constitutional goal of reserving 10 percent of tax revenues in a Rainy Day Fund.
The Legislative Analyst's Office projects general fund revenue of $135 billion for the upcoming budget year, nearly $40 billion more than the state collected eight years ago.
In addition, Brown continues to warn that the next recession could devastate state revenues, and could force painful spending cuts and even cuts to public employee pensions.
The governor's spending plan would allocate $4.6 billion in new transportation funding in fiscal 2018-19 including $2.8 billion to fix neighborhood roads, state highways and bridges, $556 million for trade and commute corridors, $200 million for high-priority transportation projects and $721 million for passenger rail and public transit modernization.More news: Nissan's auto of the future can read your brain
The proposed budget - the starting point for five months of negotiations with the state Legislature - comes as the state is on track to end the 2018-19 fiscal year with one of the largest surpluses in the last decade. The two payments would bring the total Rainy Day Fund to $13.5 billion.