California Gov. Gavin Newsom's Budget Surplus and Spending Plans

California Gov. Gavin Newsom claims state will have a modest budget surplus next year but plans to raid 'rainy day' fund and warns of potential spending cuts by President-elect Donald Trump. Newsom attributes the improvement to stock market gains by the state's wealthiest taxpayers and cuts in previous years. Despite predicting a surplus, Newsom plans to withdraw $7.1 billion from state's 'rainy day' reserves.