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$100 Million in State Mandate Reimbursements Included in FY 2014-15 State Budget

July 7, 2014
The signed FY 2014-15 State Budget includes $100 million to begin repayment to cities, counties and special districts for state mandated costs owed. 
 
The state owes a total $900 million for pre-2004 state mandate reimbursements to local governments. The budget includes a provision that up to an additional $800 million may be paid if state revenues exceed forecasts. The Department of Finance (DOF) will have the administrative authority to make this determination in the 2015 May Revise.

Last week, the Director of Finance issued a memorandum to the State Controller delineating the specific payment amounts that are to be paid to each county, city and special district. These amounts were determined based on a proportionate share of the state mandated costs owed to each agency. Only agencies that filed and were approved for state mandated costs through the Commission on State Mandates process will receive payments. The DOF letter with specific agency amounts may be found online.
 
Visit Legislative Analyst’s Office website for background information.


 
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