The 2024-25 Budget: The Governor’s Proposition 98 Funding Maneuver

Feb 15, 2024 - This is the state ’s budget . After this plan is put into law, the executive branch executes it on a cash basis. That is, on a daily basis, the state ’s tax agencies collect revenues, the State Controller pays the state ’s bills, and the State Treasurer invests any of the state ’s cash that is currently unused.
https://lao.ca.gov/Publications/Report/4840

The 2024-25 Budget: The Governor’s Proposition 98 Funding Maneuver [Publication Details]

Feb 15, 2024 - In this brief, we evaluate the Governor’s novel proposal to allow schools to keep $8 billion of cash disbursements above the minimum requirement without recognizing the budgetary impact of those payments.
https://lao.ca.gov/Publications/Detail/4840

The 2022-23 Budget: Fiscal Outlook for Schools and Community Colleges

Nov 17, 2021 - Address Pension Liabilities and Costs. The state has a number of options for allocating funds that would improve the funding status of the pension systems and/or provide cost relief for districts. For example, the state could use one ‑time funds to pay down pension liabilities more quickly, which would also tend to lower district costs over the next several decades.
https://lao.ca.gov/Publications/Report/4473

Volatility of the Personal Income Tax Base

Feb 8, 2017 - In addition, under federal and state tax laws, essentially none of the items classified as employer ‑paid benefits are taxable at the time the contribution is made. For example, California does not tax pension contributions when they are made but rather taxes pension income employees receive in retirement.
https://lao.ca.gov/Publications/Report/3548

The 2020-21 Budget: Proposition 98 Education Analysis

Feb 24, 2020 - We analyze the Governor’s proposals for State Preschool in The 2020‑21 Budget: Early Education Analysis. In our January report, The 2020‑21 Budget: School District Budget Trends , we provide detailed information about compensation, staffing, pensions, and other cost pressures affecting school district budgets.
https://lao.ca.gov/Publications/Report/4174

A Review of the CalSTRS Funding Plan: Theoretical Investment Gains Have Shifted Unfunded Liabilities to Districts

Feb 2, 2016 - Specifically, the calculation estimates what CalSTRS’ unfunded liabilities would be now if (1) teachers earned less generous pension benefits and (2) the state and teachers had contributed more to CalSTRS’ main pension fund.
https://lao.ca.gov/Publications/Report/3334

The 2017-18 Budget: Initial Comments on the Governor’s May Revision

May 13, 2017 - Supplemental Payment for State Pensions. The administration proposes making an additional payment of $6 billion to reduce the unfunded liability of CalPERS, the pension system for retired state employees.
https://lao.ca.gov/Publications/Report/3669

Update on School District Budgets

Nov 16, 2020 - The state budget largely avoids reductions to schools and provides fiscal relief through one-time federal funding and lower pension contribution rates. In future years, however, these fiscal supports will recede and districts will be left with pension and health benefit costs ratche ting higher on the one hand and reduced funding growth —a consequence of declining student attendance —on the other.
https://lao.ca.gov/Publications/Report/4301

The 2020-21 Budget: School District Budget Trends [Publication Details]

Jan 21, 2020 - In this report, we examine district budgets—both looking back at actual experiences to date and looking ahead at what experiences could be over the next few years. First, we provide background on districts and their budgets. We then discuss trends in districts’ main cost drivers. Next, we examine overall district fiscal health, with a particular focus on districts in fiscal distress.
https://lao.ca.gov/Publications/Detail/4136

California's Education System: A 2019 Guide [Publication Details]

Feb 6, 2019 - As you journey through the report, you will be exposed to information on everything from student diversity and achievement gaps, to student aid and borrowing, to faculty salaries and rising pension costs, to the requirements for becoming a teacher or doctor in California.
https://lao.ca.gov/Publications/Detail/3924