SAN FRANCISCO – California’s budget watchdog said it expects $3.2 billion more in state revenues than projected in Gov. Jerry Brown’s revised budget, a surplus that it said could be used to tackle the state’s debts.

“We do not agree with the administration’s view of the state’s revenue situation,” the Legislative Analyst’s Office said in report Friday. “Given the improved fiscal forecast, we believe this is an ideal time for the Legislature to begin addressing its huge budgetary and retirement liabilities.”

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