Posted 12/1/2023, 7:30:44 PM
California Faces $58 Billion Revenue Shortfall Over 3 Years Due to Economic Downturn
- California projected to have $58 billion revenue shortfall over 3 years due to economic downturn
- Report cites multiple factors - higher interest rates, falling home sales, drop in tech IPOs and investment
- State entered a downturn in 2022 with rising unemployment and falling incomes
- Tax deadline extensions obscured full extent of revenue declines until now
- Both parties express concern, but Democratic leaders say record budget reserves can handle challenges