Newsom and California legislators claim the budget is balanced. They need a reality check

Governor Gavin Newsom and California legislators claim the 2026-27 budget is balanced, but analysts argue it hides a $20 billion deficit by relying on emergency reserves, delayed payments, and loans. The budget analyst warns of structural imbalances and unsustainable spending since 2022, with projections of ongoing deficits and a growing 'wall of debt' exceeding $150 billion.