Capri & Clay - The Governor released the May revision to the budget in mid-May and not surprising the budget outlook remains dismal. The revenue forecasts from January were not realized by about $600 million and the current overall deficit is $19.1 billion accounting for a $1.2 billion reserve. The deficit carryover from FY 2009/10 is $9.3 billion and for FY 2010/11 the anticipated deficit will be $9.8 billion. With the May revise now released we will be getting into the heart of budget session as sub-committees meet and review issues. The Assembly Democrats have released a budget package they would like to see and the Senate Democrats will be doing this as well. Issues remain in flux and with Speaker Perez stating he doesn’t like the “Big 5″ budget process it will be interesting to see how the budget negotiations progress.

May 28th is the last day for bills to pass fiscal committees and June 4 is the last day for bills to pass out of the house of origin. Policy committee hearings may resume on June 7th.