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Jerry Brown to unveil taxes and cuts in California budget package

January 10, 2011 |  7:00 am

Gov. Jerry Brown will propose severe cuts and extending tax hikes on Californians’ vehicles, sales and incomes Monday morning when he details his budget plan to address the state’s persistent deficits.

Brown’s proposal, aimed at closing California’s $28-billion budget gap over the next 18 months, will roll back services for the needy and make medical care for the poor more expensive, according to people familiar with his plans.

Almost no state program is expected to be spared the budget knife.

Brown, who has not yet spoken publicly about his plan, has scheduled an 11 a.m. news conference in the state Capitol.

The austere package Brown will propose faces not only ratification by state legislators, but also the voters. Brown repeatedly vowed during his campaign, and since, that voters must sign off on any tax increases.

Brown also has said he wants to fundamentally overhaul how Californians receive government services, sending more money and responsibility to municipal governments.

His plan faces an uphill battle. Democrats have long resisted the kind of deep cutbacks Brown will request of them; Republicans have battled against increased taxes.

In his inaugural address, Brown challenged them to compromise. "They remain in their respective comfort zones, rehearsing and rehashing old political positions," he said.

To emphasize his message of shared sacrifice, Brown announced Friday he would be slashing his own office budget by 25%.

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Gov. Jerry Brown wants to tame budget with tax extensions, deep cuts

-- Shane Goldmacher in Sacramento

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