Intergovernmental Affairs Committee
August 1, 2023

Item #5: FY 24 State Budget
Intergovernmental Affairs Committee
August 1, 2023
$310.8 billion total budget
• $37.8 billion in budgetary reserves
• $22.3 billion in the general rainy-day
fund
$31.7 billion shortfall
• Fund shifts
• Reductions and pullbacks
• Delays
• Revenue and internal borrowing
• Trigger reductions
Adopted FY 24 State Budget Overview
2 • $1.25 million to bolster the City’s homelessness emergency activities, prevention efforts, and services for community members at risk of or experiencing homelessness
• $750,000 to support the City Prosecutor’s Reentry Services Program, providing services to formerly incarcerated community members and their families • $4 million to maintain and renew Rancho Los Cerritos and Rancho Los Alamitos facilities
• $500,000 for arts programs through the Arts Council for Long Beach • $10 million for the Museum of Latin American Art, which provides educational, cultural, and career growth opportunities within modern and contemporary Latin American and Latino art
$6 million in funding for Long Beach projects
Long Beach Funding
$10.5 million in funding for Long Beach Community projects 3 Homelessness
Adds $3.5 billion to the State’s multi-year $15.3 billion investment to address homelessness
• $1 billion in one-time funding for a fifth round of Homeless Housing, Assistance and Prevention (HHAP) Program grants
o Statutory language focusing on regional coordination and accountability o City is eligible to receive funding as both a large city and a Continuum of Care, but allocation amounts have not been finalized o The City continues to advocate for an equitable share of HHAP dollars through the emergency effort
• $400 million in one-time funding for a third round of Encampment Resolution Funding grants
• Maintains $1.5 billion over three years for the Behavioral Health Bridge Housing Program
4 Housing
Maintains previous multi-year budget commitments and includes a housing package of $14.7 billion for 2023-24
• Invests an additional $100 million for the Multifamily Housing Program for a total of $325 million
• Maintains $500 million for the Dream for All Program
• Reduces by $50 million the CalHome Program, leaving $300 million for this program
5 Includes total funding of $248.1 billion for all programs under the Health and Human Services Agency
Public and Behavioral Health
• Maintains $97.5 million over four years to support public health workforce training and development programs
• Includes $43 million one-time funding for innovative solutions to address major health problems
• Includes $74.8 million in 2023-24 to expand the Naloxone Distribution Project with a total of $159.5 million over the next four budget cycles • Includes $19 million to support eligible 988 call center behavioral health crisis services with a total of $31.5 million in multi-year ongoing commitments • Provides $67.3 million to support county behavioral health department costs for the CARE Act, including an additional one-time $15 million for Los Angeles County to implement the CARE Act one year early
6 Public Safety
Builds on the State's effort to promote safer communities by including the following one-time investments
• Reallocates $21 million one-time General Fund to the Office of Emergency Services to reduce gun violence
• Includes $20 million in one-time funding to provide security assistance to nonprofit organizations at risk of hate-motivated violence • Invests $5 million in one-time funding to create the Southern California Reentry Hub in Los Angeles County
7 Eliminates $2.6 billion in climate spending from the State's climate agenda, leaving $52.3 billion over six years
• Includes $630 million in reductions and $85 million in delays across a number of climate-related programs, leaving a total of $1.5 billion in investments over multiple years
• Includes $184 million in reductions for coastal protection and adaptation programs, totaling $1.1 billion for coastal resilience over multiple years • Reduced programs will be included in a $15.5 billion climate resilience bond under consideration in the Legislature
• Includes $135 million one-time funding as a flood contingency set aside to support costs associated with preparedness, response, recovery,and other activities related to the 2023 storms
• Provides $135.5 million over two years to support local agencies working to reduce urban flood risk
Climate
8 Includes $16.1 billion for new transportation infrastructure programs and projects, which is an increase of $1.1 billion compared to 2022 • Includes an additional $5.1 billion for transit infrastructure and zero-emission vehicle projects for a total of $8.8 billion over multiple years • Provides $500 million for Active Transportation Program projects • Delays $350 million in funding for grade separation projects until 2025-2026 • Maintains $10.1 billion over six years in investments to the State’s zero-emission vehicles agenda
• Includes $1.1 billion Greenhouse Gas Reduction Fund and Public Transportation Account funding for the new Zero-Emission Transit Capital Program Transportation
9 Workforce Development
Continues to build on earlier investments for workforce development, specifically focused on young adults, women, people of color, and others who face employment barriers
• Includes $314.7 million for health workforce programs in 2023-24 with a total of $988.4 million across multiple fiscal years
• Provides $78.1 million ongoing General Fund to continue the Youth Jobs Corps Program
o The City is eligible for an annual allocation through this program to support the Long Beach Climate Corps and other youth jobs programs • The Budget restores $15 million for the Department of Industrial Relation's Women in Construction Priority Unit
10 Next Steps
• Specific details of the funding programs will continue to be finalized in budget trailer bills through September 14th, the end of the legislative session
• City staff will continue to monitor the impacts of trailer bills on the City and will provide follow-up information as appropriate
11 Thank you
Tyler Bonanno-Curley
Acting Deputy City Manager
[email protected]
Nicholas Cabeza
Government Affairs Analyst
[email protected]
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