The Latest on California Gov. Gavin Newsom’s budget proposal (all times local):

11 a.m.

California Gov. Gavin Newsom has proposed a $213.5 billion state government spending plan that boosts spending on homelessness, wildfire prevention and K-12 education.

Gov. Gavin Newsom discusses a proposal to eliminate the state sales tax on tampons and diapers in his upcoming state budget during a news conference, Tuesday, May 7, 2019, in Sacramento, Calif. (AP Photo/Rich Pedroncelli)
Gov. Gavin Newsom discusses a proposal to eliminate the state sales tax on tampons and diapers in his upcoming state budget during a news conference, Tuesday, May 7, 2019, in Sacramento, Calif. (AP Photo/Rich Pedroncelli)

His proposal announced Thursday is up $4.5 billion from his first budget plan released in January. It includes a $21.5 billion surplus that is unchanged from January but remains the largest surplus in at least 20 years.

He now hands the proposal to state lawmakers, who must pass a budget by June 15 or lose pay.

The Democratic governor’s proposal puts $15 billion toward state reserves and paying down debt, up $1.4 billion from January.

Newsom has added about $150 million in grants to local governments to deal with homelessness, calling the problem “a stain on the state.”

He’s added $40 million to deal with wildfires and natural disasters.

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6 a.m.

California Gov. Gavin Newsom is preparing to reveal a revised plan for how the state should spend its more than $200 billion state budget.

The Democratic governor’s plan will be announced Thursday and kick off weeks of negotiations with lawmakers, who have until June 15 to pass a budget.

His first plan announced in January predicted a $21.5 billion surplus, the state’s largest in 20 years. It could increase after the state received several billion dollars more than predicted in April income taxes.

Newsom’s first spending plan included new investments in schools, welfare and housing. But he also preached discipline, setting aside $13.6 billion in reserve.

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