Gov. Jerry Brown to propose billions in new spending [View all]

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By Chris Megerian and Anthony York
January 8, 2014, 10:29 p.m.

SACRAMENTO — When he unveils his new budget plan Thursday, Gov. Jerry Brown will propose billions of dollars in new spending on schools, healthcare, social services and environmental programs as California reaps the benefits of an economic turnaround.

The governor's $155-billion blueprint would increase general-fund spending by more than 8%, to $106.8 billion. Brown also wants to repay $11 billion in debts incurred during years of state financial crisis, and he would stash $1.6 billion in a reserve fund as a buffer against future economic turmoil.

"Wisdom and prudence should be the order of the day," Brown wrote in an introductory message to his 271-page plan, which was leaked ahead of his official announcement, originally scheduled for Friday.

The document is also stuffed with far-reaching policy prescriptions, some likely to draw controversy. Brown wants to make it easier for local governments to issue bonds to pay for public-works projects, and he has reversed his opposition to releasing some elderly, sick and other low-risk inmates to help meet court-ordered limits on the state prison population.
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http://www.latimes.com/local/la-me-state-budget-20140109,0,5211648.story