California Governor Gavin Newsom has said the state's budget deficit is expected to soar to almost $32 billion, nearly $10 billion more than he had projected in January.

Newsom on Friday revealed his revised budget plan for the fiscal year starting on July 1, proposing a plan that to cover the shortfall while potentially leaving the state with multibillion-dollar deficits in the future.

'This was not an easy budget, but I hope you see we will try to do our best to hold the line and take care of the most vulnerable and most needy, but still maintain prudence,' Newsom said.

To cover the projected shortfall, Newsom proposed a combination of modest spending cuts, increased borrowing, and a plan to push some expenses into future budget years, creating a projected $14 billion annual deficit by 2027.

Republicans in the state legislature slammed Newsom's plan, with GOP Assembly Leader James Gallagher saying it was 'dangerous'.

He said: 'His cuts to drought programs are dangerous, his 'fiscal gimmicks' are shortsighted, and his words about good government and efficiency are yet another empty promise. Californians deserve better.'