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March 2, 2017 - Under the State Constitution, state tax revenues in excess of the Prop 4 (1979) state appropriations limit, or Gann Limit, must be split between taxpayer rebates and additional school spending. The Governor now proposes a new calculation methodology that creates $22 billion in additional state spending capacity. We find that the Governor's proposal violates the spirit of Proposition 4 and—in our view—is highly vulnerable to legal challenges. We recommend that the Legislature reject the proposal and offer options for legislative consideration.
March 2, 2017 - Presented to: Senate Budget and Fiscal Review Subcommittee No. 1 on Education
March 1, 2017 - Since 2013-14, the state has experienced a disconnect between the funding allocated for special education and the funding level specified by state law. In this web post, we explain the source of this disconnect and offer two options for rectifying it.
March 1, 2017 - Assembly Budget Subcommittee No. 1 on Health and Human Services
March 1, 2017 - In this web post, we provide an overview of the California Department of Corrections and Rehabilitation (CDCR) and the level of funding proposed for the department in the Governor's 2017-18 budget. We also assess and make recommendations on various CDCR budget proposals, including a $12.6 million proposed augmentation related to changes in the adult inmate and parolee populations. In addition, we assess and provide recommendations on three proposals related to inmate mental health care: a $250 million shift of inpatient psychiatric programs from the Department of State Hospitals to CDCR, an $11.4 million proposal to convert 74 existing outpatient mental health beds into inpatient psychiatric program beds, and a $112 million proposal to construct 100 additional Mental Health Crisis Beds. Finally, we assess and provide recommendations on five other CDCR proposals: an $11.7 million proposal to install video surveillance cameras, the delayed activation of an infill facility, a proposal to reduce the department’s budget by $8.3 million to reflect housing unit conversions and the reallocation of health care access staff, a $299,000 proposal to modify a fence at a minimum support facility, and proposed budget trailer legislation related to California Prison Industry Authority employee retiree health benefits.
March 1, 2017 - Presented to Senate Education Committee
February 28, 2017 - The Governor's budget proposes $14 million total funds across various departments to strengthen information security. In this analysis, we discuss our findings and recommendations regarding the state's approach towards strengthening information security.
February 28, 2017 - Presented to: Assembly Budget Subcommittee No. 2 on Education Finance
February 28, 2017 - In this web post, we assess the Governor’s 2017-18 budget proposal to fortify the California Department of Food and Agriculture’s plant pest prevention system. The proposal includes 190.5 permanent positions in 2017-18. We recommend the Legislature approve 25.5 new permanent positions. However, we recommend approving only half of the 165 positions requested to be shifted from temporary status to permanent status.
February 28, 2017 - The State Controller’s Office (SCO) has recently renewed its effort to replace the state’s payroll system. In this year’s budget, the Governor proposes $3 million to begin an analysis of proposed alternatives for replacing the system. It makes sense for the state to assess the potential problems, both in terms of functionality and stability, with the state’s payroll system and to explore solutions to these problems. The appropriate selection of a project alternative will be critical to the success of the future payroll project. As such, we recommend the Legislature require the SCO to present its full findings from the alternatives analysis before it is granted additional funding for subsequent analyses. This would provide the Legislature with a clear opportunity to provide meaningful input and weigh in with its own priorities for the payroll system before a solution is procured.
February 28, 2017 - Presented to: Assembly Budget Subcommittee No. 2 on Education Finance
February 28, 2017 -
In this set of budget posts, we provide an overview of the Governor's 2017-18 budget for human services programs. We also describe the budget proposal in detail for the In-Home Supportive Services, Supplemental Security Income/State Supplementary Payment, and CalWORKs programs.
February 27, 2017 - Presented to: Assembly Budget Subcommittee No. 5 on Public Safety
February 27, 2017 - In this analysis, we discuss our findings and recommendations regarding the Governor's proposals regarding the California Competes tax credit program. This affects two departments: (1) the Governor's Office of Business and Economic Development (GO-Biz) and (2) Franchise Tax Board.
February 27, 2017 - In this report we provide (1) background on the health care and Long‑Term Services and Supports (LTSS) issues that the Coordinated Care Initiative (CCI) was intended to address, (2) an update on the CCI’s results and challenges to date, (3) an assessment of the Governor’s elimination of the CCI and budget proposal to extend certain CCI components, and (4) options for the Legislature on how to move forward. As ending the In‑Home Supportive Services (IHSS) has major, and rather complex, implications for 1991 realignment, we include a technical appendix at the end of this report that provides an in‑depth analysis of these implications.