The following statement was issued Jan. 7 by the coalition that drafted the initiative to extend Proposition 30, now under review by the Office of the California Attorney General. Groups in the coalition include the California Teachers Association, the California Federation of Teachers, the Service Employees International Union and the California Hospital Association. The Governor’s proposed budget released today underscores the critical need to build on the important milestones California has been able to achieve due in part to Proposition 30. While California now finds itself in more stable economic times, we cannot afford to go back to imbalanced budgets and devastating cuts to education, healthcare and other critical services. The state budget plan released today shows that Proposition 30 has worked and continues to work, helping balance our budget and increasing funding for our public schools as well as vital services like healthcare for poor children and seniors. During the last recession our schools and colleges lost $50 billion in funding that will never be repaid to our students. California continues to lag behind the majority of the nation in per-pupil spending despite the fact that public school funding is now back to where it was before the recession. Most concerning, according to the budget released today, and the Governor’s comments regarding an inevitable future economic downturn, highlighted by the Governor’s own chart, are the budget deficits California could face in future years. Without a Prop 30 extension, our students will lose once again and public schools will potentially face $5 billion dollars in cuts annually beginning in 2019. Temporarily extending the Prop 30 income tax rates on the wealthiest Californians – those couples earning a half million dollars or more - will ensure that essential funding goes to our public schools and services like healthcare that benefit all Californians, including our students and our most vulnerable populations. An extension of these Prop 30 revenues is a critical component to keeping our state on track and not letting us slide back into years of deficits and cuts. We look forward to more conversations with the Governor and are hopeful we can address his concerns.