As officials report that inflation last month hit a 40-year high, Californians meanwhile may be getting billions back in rebates, with the state estimated to have a staggering $68 billion surplus. 

And now, California's government just has to figure out how to spend it.. 

For more, KCBS Radio's Holly Quan and Jason Brooks spoke with KCBS Radio Insider Phil Matier and former San Francisco Mayor Willie Brown.