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LAO Report

Report

An Initial Look at Effects of the COVID-19 Pandemic on Local Government Fiscal Condition

May 12, 2021 - In this analysis we examine what is known about the effects of the coronavirus disease 2019 pandemic on local governments’ fiscal condition.


Report

The State Appropriations Limit

April 21, 2021 - This report: (1) describes how appropriations limits work for the state, school districts, and local governments in California; (2) explains why the limit is a constraint for state government; and (3) concludes with a variety of short- and long-term policy options—both of which we think the Legislature will need to take—in response to the issue.


Report

Improving Parolee Substance Use Disorder Treatment Through Medi-Cal

April 14, 2021 - This report provides background on the ways parolees access substance use disorder treatment (SUDT) through providers who are typically either funded by the California Department of Corrections and Rehabilitation or through Medi-Cal (the state’s Medicaid program). It assesses the trade-offs between these two approaches and recommends steps to improve the quality of service and create savings by increasing the utilization of Medi-Cal for parolee SUDT.


Report

The 2021-22 Budget: Department of Toxic Substances Control

March 19, 2021 - Discusses the Governor's proposal to implement fiscal and governance reforms for the Department of Toxic Substances Control, as well as the proposal to provide $300 million in one-time General Fund to clean up brownfields across the state.


Report

Strengthening the CalSTRS Funding Plan

March 10, 2021 - This report provides an overview of the 2014 California State Teachers’ Retirement System (CalSTRS) funding plan, and analyzes the various challenges and complexities of the plan that have come to light that may impede CalSTRS’ ability to successfully eliminate the system’s unfunded actuarial obligation (UAO) by 2046. We offer several short- and longer-term recommendations for the Legislature to consider to help strengthen CalSTRS’ ability to eliminate current and future UAO, achieve long-term savings, and improve legislative oversight.


Report

The 2021-22 Budget: Improving Legislative Oversight of Emergency Spending Authorities

March 2, 2021 - In this publication, we provide an overview of the Governor’s emergency spending authorities. We assess the Governor’s 2021-22 January budget proposals to extend, modify, and expand emergency spending authorities to continue to respond to the coronavirus disease 2019 (COVID-19) pandemic. Finally, we recommend ways to improve the oversight of emergency spending for COVID-19 as well as future emergencies.


Report

Updating Special Education Out-of-Home Care Funding

February 23, 2021 - In the Supplemental Report of the 2020-21 Budget Act, the Legislature tasked our office with convening a work group and providing recommendations for updating the special education Out-of-Home Care formula by March 1, 2021. This report provides background on the issue, describes the assessment and recommendations of the work group, and includes our office’s comments for the Legislature as it considers updating the formula.


Report

The 2021-22 Budget: California Community Colleges

February 16, 2021 - This report analyzes the Governor’s major budget proposals for the community colleges, covering base apportionments, enrollment, students’ basic needs, online tools, apprenticeships and work-based learning, instructional materials, and faculty professional development.


Report

A Review of State Standards and Inspections for Local Detention Facilities

February 16, 2021 - In this publication, we provide an overview of local detention facilities (such as county jails) in California. We also assess the state’s program for setting minimum facility standards and inspecting these facilities. Finally, we recommend steps to help ensure the success of the program going forward, such as establishing a clear mission and goals for the program and requiring a plan to align the program with this mission and goals.


Report

The 2021-22 Budget: Trial Court Operations Proposals

February 11, 2021 - This publication examines the impacts of the novel coronavirus disease 2019 (COVID-19) pandemic and prior-year reductions on trial court operations. The publication also identifies issues for the Legislature to consider when determining the appropriate level of overall funding for trial court operations in 2021-22 and our analysis of three of the Governor’s major budget proposals for trial court operations.


Report

The 2021-22 Budget: California Student Aid Commission

February 8, 2021 - This report analyzes the Governor’s major budget proposals for the California Student Aid Commission, including proposals to expand the Cal Grant program and increase financial aid application rates.


Report

The 2021-22 Budget: Analysis of the Major University Proposals

February 1, 2021 - This report analyzes the Governor’s major budget proposals for the universities, covering base funding, enrollment, students’ basic needs, faculty professional development, and deferred maintenance.


Report

Evaluating State Economic Stimulus Proposals

February 1, 2021 - In this report, we offer the Legislature guidance on how to evaluate fiscal stimulus proposals. We pose six key questions to ask when assessing specific proposals and provide specific elements that can be incorporated into proposals to increase their potential effectiveness.


Report

Follow-up Evaluation of the District of Choice Program

February 1, 2021 - The District of Choice program is one of several laws allowing students to transfer from one school district to another school district. The program is scheduled to sunset on July 1, 2023. This evaluation, prepared at the request of the Legislature, assesses recent trends in the program and provides our recommendations regarding reauthorization. It is a follow-up to our previous evaluation, published in January 2016.


Report

The 2021-22 Budget: Business Tax Incentives

January 28, 2021 - The Governor’s budget proposes several changes to taxation to support businesses. Two key factors for evaluating these proposals are: (1) which level of government would forgo revenue; and (2) which businesses would receive assistance. Based on these criteria and others, we recommend that the Legislature prioritize expansion of the Main Street credit, explore alternative structures for an elective S Corporation tax, and reject the proposed one-time expansions of the CAEATFA exclusion and California Competes.