US EditionCalifornia Lawmakers Halt Hundreds of Bills with New Spending as Deficits Loom
- California lawmakers halted hundreds of bills in 2025 as the state grapples with a worsening $12 billion budget deficit and ongoing spending challenges.
- The Legislature's measures address projected budget shortfalls ranging between $10 billion and $20 billion annually over multiple years, as outlined in a report issued by the Legislative Analyst's Office during the Memorial Day weekend.
- The report highlights the state's growing reliance on one-time measures such as borrowing, which increased by $5 billion in the May Revision, raising the total amount borrowed to $17 billion, up from $12 billion previously.
- The LAO warned that persistent deficits stem from a structural imbalance and said lawmakers must pursue "least disruptive" solutions involving revenue increases or spending cuts, though these trade-offs become harder.
- These fiscal pressures threaten California's future budgets and will challenge the next governor, while lawmakers continue budget debates and postpone some policy issues to negotiations.
52 Articles
52 Articles
Pasadena Star News
California lawmakers halt hundreds of bills with new spending as deficits loom
By Jeanne Kuang and Yue Stella Yu | CalMatters Tax credits for the parents of young children. A state-funded scientific research institute. Exempting service workers’ tips from state income tax. Those are among the hundreds of proposals California lawmakers swiftly rejected Friday under the banner of cost savings, as they cited the state’s $12 billion budget deficit — a worsening figure due to the threat of unprecedented federal funding cuts and…
Cal Matters
CA lawmakers halt hundreds of bills with new spending as deficits loom
Assemblymembers meet during a suspense file hearing at the Capitol Annex Swing Space in Sacramento on May 23, 2025. Photo by Fred Greaves for CalMatters State legislators on Friday halted hundreds of bills with new spending attached from advancing. Why? The Legislature again underwent its relatively opaque process known as the “suspense file.” Hanging over lawmakers’ heads is the expected $12 billion state budget deficit that is projected to wo…
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