Overview of General Fund Revenues and Expenditures
Corrections and Rehabilitation

Expenditures are proposed to increase by $806.3 million, or 8.8 percent. This increase consists primarily of population and other workload increases totaling $571.9 million, as well as $52.6 million in policy adjustments, and $181.8 million in increased capital outlay. The major adjustments are as follows:

  • A net increase of $200.5 million for the full year cost of new or expanded programs, including an increase of $41.1 million to augment programs designed to reduce recidivism.
  • An increase of $148.9 million in 2007-08 to comply with court orders and lawsuits, including the health care Receiver in the case of Plata v. Schwarzenegger.
  • An increase of $94.5 million in 2007-08 for the California Department of Corrections and Rehabilitation (CDCR) to implement Proposition 83 and recommendations of the Governor's High Risk Sex Offender Task Force. Funding is included to provide Global Positioning System monitoring and reduced parole agent caseload ratios for all registered sex offender parolees, additional screenings of inmates for potential referral as Sexually Violent Predators, treatment to High Risk Sex Offender parolees, training for Parole Agents on the Sex Offender Containment Model and polygraph testing, biannual polygraph tests for high risk sex offenders on parole, and additional parole agents to coordinate with Sexual Assault Felony Enforcement (SAFE) Teams by parole region.
  • Estimated savings of $52.5 million resulting from modifications to the parole structure, which will allow law enforcement to focus on those who pose the greatest risk of committing another crime. This includes automatic discharge from parole for individuals with 12 months of "clean time", and no parole after completion of sentence for low-level offenders. This savings grows to $70 million in 2008-09 and ongoing.
  • An increase of $50 million in local assistance for adult probation grants to target the at-risk 18-25 year old probation population. This investment will increase to $100 million in 2008-09.
  • An increase of $46 million for facility maintenance and repair, including maintenance of transformers, generators, and high-voltage switchgear, ongoing preventative maintenance for roofing, repair and replacement of roads and parking lots, and other critical deferred maintenance.
  • A net savings of $32.9 million related to the shift of juvenile offenders to the counties. Another $10 million savings resulting from the elimination of funding for the Juvenile Justice Community Reentry Challenge Grant.
  • A net increase of $32.5 million in 2007-08 for the CDCR to implement the Consolidated Information Technology Infrastructure Project (CITIP), which will provide a "backbone" of infrastructure for multiple information technology projects currently planned or underway at the CDCR. The 2007-08 estimated project cost for CITIP is $118.5 million; however, the Budget assumes that up to $86 million of this amount can be financed using GS $mart.
  • An increase of $23 million in 2007-08 to replace equipment including buses, telephone systems, and radio systems.
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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
 Health and Human Services
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 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) -
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