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Update on COVID-19 Spending in California


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State Budget Effects of Recent Federal Actions to Address COVID-19

April 5, 2020 - In recent weeks Congress has passed legislation that has directed funding to respond to the coronavirus emergency. This post discusses how some of the major pieces of funding could affect the state budget’s overall condition. In particular, we focus on how funding could help the state address some of the sources of a budget problem that could emerge as a result of the coronavirus emergency.

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Federal COVID-19-Related Funding to California

April 28, 2020 - This post summarizes recent federal legislative and other actions to allocate funding to California and other states in response to the coronavirus disease 2019 (COVID-19). Figures in this post summarize—as comprehensively as was feasible—the amount of funding that we expect to flow to governments and other public entities in California from the federal government. We also describe the major COVID-19-related federal funding that we expect to flow directly to private Californian entities, such as individuals and businesses.

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COVID-19 Disaster Declarations and Funding Implications

March 24, 2020 - In this post, we discuss federal assistance available to California and other states as a result of the President’s emergency and major disaster declarations.

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[PDF] The 2020-21 Budget: Overview of the California Spending Plan (Final Version)

October 5, 2020 - Each year, our office publishes the California Spending Plan to summarize the annual state budget. This publication provides an overview of the 2020‑21 Budget Act, provides a short history of the notable events in the budget process, and then highlights major features of the budget approved by the Legislature and signed by the Governor. All figures in this publication reflect the administration’s estimates of actions taken through June 30, 2020, but we have updated the narrative to reflect actions taken later in the legislative session. In addition to this publication, we have released a series of issue‑specific posts providing more detail on various programmatic aspects of the budget.

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[PDF] The 2020-21 Budget: California's Spring Fiscal Outlook

May 8, 2020 - This report provides an update on the budget’s condition in light of the public health emergency and economic downturn associated with the coronavirus disease 2019. Our outlook presents two potential scenarios—a somewhat optimistic “U-shaped” recession and a somewhat pessimistic “L-shaped” recession—and assumes a baseline level of expenditures. Under these two scenarios, the state would have to address an $18 billion or $31 billion budget problem. The state’s newly emergent fiscal challenges are likely to extend well beyond the end of the public health crisis. Under both of our economic scenarios, budget deficits persist until at least 2023-24 with multiyear deficits summing to $64 billion in the U-shaped recession and $126 billion in the L-shaped recession.

Video: Press Availability Video Call

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[PDF] COVID-19 Funding Overview

August 15, 2020 - Presented to: Senate Budget and Fiscal Review Committee Hon. Senator Holly Mitchell, chair

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[PDF] The 2020-21 Budget: Initial Comments on the Governor’s May Revision

May 17, 2020 - On May 14, 2020, Governor Newsom presented a revised state budget proposal to the Legislature. In this post, we provide an overview of the overall budget condition under the May Revision estimates and proposals; the major actions the Governor took to close an estimated $54 billion budget gap; and give our initial comments on this budget package.

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Nutrition Programs in COVID-19 Recovery Actions

March 25, 2020 - This post describes key actions taken to increase Californians' access to food in the wake of the coronavirus disease 2019 (COVID-19). We focus on key actions taken by the state and federal government through April 10, 2020.

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State Funding Actions Related to COVID-19

April 20, 2020 - This post summarizes recent legislative and administrative action to allocate state funds to respond to the coronavirus disease 2019 (COVID-19) public health emergency. These activities are ongoing. We plan to update this post periodically to reflect new information and actions.

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Broad-Based Cash Assistance in COVID-19 Recovery Actions

April 3, 2020 - This post summarizes the broad-based cash assistance provided under the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act. We briefly describe the historical and policy context for this assistance and discuss its likely impact on Californians.

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COVID-19: Federal Health-Related Response

March 23, 2020 - This initial post highlights key federal actions in response to the coronavirus disease 2019 (COVID-19)—through March 19, 2020—relating to public health broadly and individual health care. We discuss three sets of federal actions—(1) a federal legislative package focused on public health infrastructure, (2) a declaration of national emergency that opened the door for the state to apply for increased flexibility in the delivery of Medicaid services, and (3) a federal legislative package that provides for increased federal Medicaid funding and universal coverage of COVID-19 testing without cost sharing.

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[PDF] May Revision Control Section Proposals

May 22, 2020 - Assembly Budget Subcommittee No. 6 on Budget Process Oversight and Program Evaluation Hon. Philip Y. Ting, Chair

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COVID-19: Unemployment Insurance for Workers Impacted by COVID-19

March 23, 2020 - This post summarizes recent federal relief actions in the unemployment insurance program, discusses how these federal actions interact with current state programs, and highlight options the Legislature may want to pursue in responding to the ongoing crisis.

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The 2018-19 Budget: Fire Recovery Proposals

March 1, 2018 - The Governor’s budget assumes $760 million in additional General Fund will be needed in 2017‑18 for response and recovery associated with the 2017 fires in Northern and Southern California, $388 million of which will be reimbursed by the federal government in 2018‑19. For 2018‑19, the Governor proposes a total of $35 million from the General Fund for recovery costs associated the fires in Northern California, such as related to rebuilding public infrastructure and backfilling local tax revenue losses. While we do not raise specific concerns about the administration’s funding requests, we recommend that the Legislature direct the administration to report at budget hearings on the proposed funding and submit formal proposals for any future budget-year funding requests. We also recommend that the Legislature consider its priorities for allocating assistance to local governments affected by disasters and longer-term strategies for reducing future wildfire risk, such as strategies to improve forest health.

Correction (3/12/18): When this post was originally published, Figure 1 displayed the wrong graph. The correct graph is now in place.

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[PDF] Overview of Employment Development Department Response to COVID-19

July 30, 2020 - Presented to: Assembly Budget Subcommittee No. 4 on State Administration Hon. Jim Cooper, Chair

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[PDF] Overview of Recent Changes to Major Nutrition Access Programs

November 17, 2020 - Senate Committee on Human Services