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A Deficit-Sized Math Error In California

CarbonNYC / Flickr
 

CarbonNYC / Flickr

An unforeseen deficit now projected for the next California budget is due, in part, to a math error.

The Brown Administration notified state lawmakers that it incorrectly calculated some state health care costs and savings last year.

H.D. Palmer with the governor’s Department of Finance offered this mea culpa.

"Savings were double-counted," he says. "There’s no way to state it other than straight up, it was an accounting error, and the Administration definitely regrets it."

The unexpected spending was included in Brown’s proposed budget Jan. 10. It will cost the state $1.4 billion.

The Brown Administration still largely blames slowing revenue for a projected $1.6 billion deficit.

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