SACRAMENTO, Calif. (AP) — California Gov. Gavin Newsom's proposal to give money back to taxpayers is rooted in a 1979 spending law that requires the government to give money to the taxpayers once appropriations reach a certain limit.
The threshold has only been exceeded once — in 1987.
Monday, the Newsom administration estimated the state would be $16 billion past the limit that's named after Paul Gann, a conservative political activist who campaigned for the law.
Newsom likely would have proposed the spending regardless of the limit. But his administration says the proposal satisfies the law's requirements.