Fiscal Outlook: Property Taxes Exceed Budget Expectations [EconTax Blog]

Nov 15, 2017 - Recent data reported by county assessors to the State Board of Equalization shows statewide assessed values rose by 6.2% in 2017-18. This is one half of a percentage point faster than assumed in the budget act.
https://lao.ca.gov/LAOEconTax/Article/Detail/258

The 2018-19 Budget: California's Fiscal Outlook

Nov 15, 2017 - California, for example, may be disproportionately affected by proposed changes to the state and local tax deduction, but the state ’s economy also could benefit from other parts of the plan. Changes to the federal tax code also could affect the administration of state tax laws, and this could lead to proposals for legislation to conform California ’s tax laws to some of the federal changes.
https://lao.ca.gov/Publications/Report/3718

Fiscal Outlook: Developmental Services

Nov 15, 2017 - Sonoma DC in Sonoma County is scheduled to close at the end of 2018, while Fairview DC in Orange County and the general treatment area (GTA) of Porterville DC in Tulare County are scheduled to close at the end of 2021.
https://lao.ca.gov/Publications/Report/3717

Fiscal Outlook: In-Home Supportive Services (IHSS)

Nov 15, 2017 - This increase in county contributions to IHSS costs effectively decreases our projected state share of cost for the IHSS program by hundreds of millions of dollars annually. Restoration of the IHSS Service Hours Previously Reduced by 7  Percent Tied to Managed Care Organization (MCO) Tax Existence.
https://lao.ca.gov/Publications/Report/3712

The 2018-19 Budget: Proposition 98 Outlook

Nov 15, 2017 - In addition, data from county assessors show assessed property values increasing by 6. 2  p ercent in 2017 ‑18, about 0. 5  p ercentage point higher than the rate assumed in the June budget plan. 2018 ‑19 Budget Planning Under Our Outlook, 2018 ‑19 Guarantee Grows $2.6   Billion Over Revised 2017 ‑18 Level.
https://lao.ca.gov/Publications/Report/3716

State Fiscal Effects of California’s Minimum Wage

Nov 15, 2017 - As shown in the bottom row of the figure, the higher statewide minimum wage will affect General Fund revenues, primarily due to its effects on the personal income tax (PIT) and the sales and use tax (SUT), the two largest state revenue sources.
https://lao.ca.gov/Publications/Report/3714

The 2018-19 Budget: California's Fiscal Outlook

Nov 15, 2017 - The near-term budget outlook is positive. Under our current estimates, the state would have $19.3 billion in total reserves (including $7.5 billion in discretionary reserves) at the end of 2018-19, assuming the Legislature makes no additional budget commitments. The Legislature can use discretionary resources to build more budget reserves, increase spending, and/or reduce taxes.
https://lao.ca.gov/Publications/Report/3718/1

Fiscal Outlook: Medi-Cal

Nov 15, 2017 - Expiration of Managed Care Organization (MCO) Tax Current MCO Tax. The current MCO tax is assessed on a large number of managed care plans in the state. Revenues from the MCO tax, which leverage federal funding for Medi-Cal, provide a substantial General Fund offset —an estimated $1.8  billion in 2017-18.
https://lao.ca.gov/Publications/Report/3715

The 2018-19 Budget: California's Fiscal Outlook [Publication Details]

Nov 15, 2017 - The Legislature can use discretionary resources to build more budget reserves, increase spending, and/or reduce taxes. We also estimate the Legislature will have $5.3 billion in uncommitted school and community college (Proposition 98) funds to allocate in 2018-19.
https://lao.ca.gov/Publications/Detail/3718

Evaluating California's Pursuit of Zero Net Energy State Buildings

Nov 14, 2017 - First, if federal, state, or local tax incentives for solar PV change, it could affect the cost of implementing these systems through power purchase agreements at state facilities. Second, the cost of these systems could be affected by overall changes in the solar PV market.
https://lao.ca.gov/Publications/Report/3711