Overview of General Fund Revenues and Expenditures
Health and Human Services

Expenditures are proposed to increase by $50.7 million, or 0.2 percent. The major adjustments are as follows:

  • Caseload and other workload increases totaling $1.4 billion, of which $979.8 million is in the Medi-Cal program.
  • Savings of $324.4 million resulting from CalWORKs changes that strengthen work requirements, reduce reliance on aid, increase accountability for recipients and counties, and improve the state's ability to meet federal welfare requirements.
  • Savings of $268.9 million resulting from utilization of Proposition 98 funding for CalWORKs Stage 2 child care.
  • A decrease of $251.7 million to reflect the removal of one-time funding from 2006-07 associated with unpaid prior year claims in the Early and Periodic Screening, Diagnosis and Treatment and San Mateo Pharmacy and Laboratory Services programs.
  • A decrease of $245.5 million in Child Support Administration expenditures due to a reduction of $220 million in federal automation penalties that will be held in abeyance while federal certification of California's statewide child support automation system is in process and a reduction of $25.5 million to reflect the expiration of one-time payments and automation system enhancements in 2006-07.
  • A decrease of $160.4 million in the Department of Public Health budget to reflect the removal of one-time funding for health care surge capacity.
  • One-time savings of $144 million from using Public Transportation Account funds for Regional Center transportation costs.
  • Savings of $140.3 million by suspending the CalWORKs cost-of-living adjustment.
image of backward arrow image of forward arrow
CHAPTER HIGHLIGHTS for Overview of General Fund Revenues and Expenditures Back to Top

 Executive
 Legislature
 Judicial
 State and Consumer Services
 Business, Transportation, and Housing
 Resources and Environmental Protection
image of black pointing arrowHealth and Human Services
 Corrections and Rehabilitation
 Non-Proposition 98 Education
 Labor and Workforce Development
 General Government
 Proposition 98

BUDGET OVERVIEW Back to Top
Introduction
When Governor Schwarzenegger took office in November of 2003, the state faced a structural budget crisis of unprecedented proportions. A review of state finances projected that California was on a path to spend $16.5 billion more than the General Fund revenue it would take in this year. In contrast, the Governor's Budget for 2007-08 proposes to limit General Fund spending to the amount of revenue the state will collect, with the exception that it proposes to use $840 million of funds available from previous years to pre-pay debt. By eliminating the state's net operating deficit, by setting aside a total reserve of $2.1 billion and by eschewing tax increases and new budgetary borrowing, this budget puts California on the path to full fiscal recovery.

 Budget Summary Improvements
As part of the Administration's effort to improve the understanding and comparability of budget expenditure data, the 2007-08 Governor's Budget Summary will now follow a more traditional agency format. In the past, some content in the Governor's Budget Summary was arranged by major program areas rather than by agency. Budget expenditure data will be displayed in both a summary format and a new agency change table format. The change tables are intended to provide the reader a snapshot of proposed expenditure and position adjustments in each agency, why those changes are being proposed, and their dollar and position impact.
PRINTABLE BUDGET DOCUMENTS Back to Top
Budget Summary - Overview of General Fund Revenues and Expenditures (pdf * - 30K) -
Provides this entire Overview of General Fund Revenues and Expenditures Chapter in pdf format.