On June 27, Governor Brown signed the 2017-18 state budget bill. This year’s budget agreement includes a number of improvements over earlier proposals, though the overall scope of state investments remains constrained by uncertainty about potential federal policy changes. The 2017-18 budget package:
- Expands the California Earned Income Tax Credit (CalEITC) to well over 1 million additional families by expanding the credit to the self-employed and increasing the income eligibility limits.
- Reflects an agreement between the Governor and legislative leaders over how to spend Proposition 56 tobacco tax revenues for Medi-Cal, with this funding going to supplemental payments for Medi-Cal providers and also to covering ordinary spending growth in the program.