California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - After the dot-com bust and the Great Recession, it took four and five years, respectively, for revenues to recover. Incorporating revenue risk into the budget now, therefore, reflects prudence, not pessimism.
https://lao.ca.gov/Publications/Report/5104

The 2017-18 Budget: California Spending Plan

Oct 18, 2017 - Increases child care and preschool spending by $301  million. Major General Fund Revenue Changes Expands the EITC program to include self-employed and taxpayers with incomes up to $22,300. Other Major Changes Makes $6  billion supplemental payment to CalPERS using a loan from state cash balances.
https://lao.ca.gov/Publications/Report/3694/1

The 2019-20 Budget: California Spending Plan (Final Version)

Oct 17, 2019 - Within the $ 301  m illion is $ 50  m illion in one ‑time funding for additional General Child Care slots, with the intent to replace this funding in the future with growth from cannabis tax revenue (Proposition  64 [2016]).
https://lao.ca.gov/Publications/Report/4083

The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - For California, the dot ‑com era —when stocks rose and then fell precipitously in response to widespread adoption of the internet —offers the most salient example. The internet has proven to be a transformative technology and, yet, the stock market ’s initial reaction was clearly overly exuberant.
https://lao.ca.gov/Publications/Report/5091

Supplemental Report of the 2017-18 Budget Act [Publication Details]

Jul 19, 2017 - Statements of legislative intent and requests for studies adopted during deliberations on the 2017-18 budget package. Correction 7/31/17: Removed 3100-301-0001 California Science Center – ADA elevator. Correction 7/31/17: Title of item 1701-001-0067 changed to “Broker-Dealer Investment Advisor Program.”
https://lao.ca.gov/Publications/Detail/3696

The 2018-19 Budget: California Spending Plan (Final Version)

Oct 2, 2018 - The 2018 ‑19 state cost of these projects totals $ 301  m illion. Four of the projects (totaling $ 153  m illion in state funding) involve constructing new academic space and one entails constructing an addition to the Northern Regional Library Facility, located in Richmond.
https://lao.ca.gov/Publications/Report/3870/5

Building Reserves to Prepare for a Recession

Mar 7, 2018 - By most measures, the recession of the early 1990s was more severe than the dot ‑com bust in the early 2000s. For example, unemployment in California reached 9. 7  p ercent in mid ‑ to late ‑1992, but peaked at 6. 9  p ercent after the dot ‑com bust.
https://lao.ca.gov/Publications/Report/3769

Whether or Not to Tap Reserves to Solve Estimated Budget Problem Emerges as Key Fiscal Decision Facing California’s Legislature

Apr 19, 2023 - Other downturns, such as the 2001 so-called dot-com recession, had severe fiscal implications while inflicting somewhat milder economic damage. The 2008 Great Recession had brutal effects on both the state ’s economy and budget.
https://lao.ca.gov/Publications/Report/4762

The 2018-19 May Revision: LAO Economic Outlook

May 12, 2018 - The typical PE ratio since 1990 is 21 (19 if the dot-com bubble of the late 1990s and early 2000s is excluded). Similar to the price-to-earnings ratio, the home price-to-rent ratio is used to gauge if home prices are in line with underlying demand for housing.
https://lao.ca.gov/Publications/Report/3829

The 2016-17 Budget: California Spending Plan

Oct 5, 2016 - Of the new 2016 –17 spending, $301  million is unrestricted and $99  million is restricted. Of the increase in General Fund spending, $176  million is unrestricted and $124  million is restricted, with a technical adjustment of $25  million for the removal of prior –year , one –time funding.
https://lao.ca.gov/Publications/Report/3487/5