Governor Brown’s proposed budget for the 2013-14 state fiscal year, released today, reflects $97.7 billion in spending, including the creation of a $1 billion reserve.  The proposal reflects a balanced budget, by a narrow margin, for the next few years.The budget plan  includes steps to reduce the state’s debt by $4.2 billion and to implement federal health care reform.  CHA is concerned, however, by provisions that may impact the sustainability of hospital services including hospital payment reductions that were not previously implemented and are the subject of ongoing litigation.