Mercury News Editorial
Posted: 11/16/2011

The nonpartisan Legislative Analyst’s Office on Wednesday released its budget forecast for this year and beyond. The grim bottom line: Revenue for the current fiscal year is projected to fall $3.7 billion short. If the state finance department concurs in its report due next month — a likely scenario — the deficit will trigger at least $2 billion in midyear cuts, including more than $1.3 billion to public education. That would translate to five school furlough days between February and June and the elimination of bus transportation.

Meanwhile, the Legislature remains in recess until early next year. Brown should call lawmakers back into a special session to deal with this calamity.

Plenty of people saw it coming. Economists said the revenue projections for the state budget were wildly optimistic, and several reports earlier this year raised alarm. Yet Brown and Finance Director Ana Matosantos expressed confidence that the midyear trigger wouldn’t need to be pulled.   Read more