The 2026-27 Budget: Medi-Cal Analysis

Mar 2, 2026 - That said, given the magnitude of the fiscal challenges facing the state, we also recommend the Legislature begin weighing the merits and trade ‑offs of pursuing a larger health plan tax. In considering these trade ‑offs, the Legislature likely will want to weigh the additional revenue generated against the higher cost to commercial health plans and their consumers.
https://lao.ca.gov/Publications/Report/5146

The 2026-27 Budget: Department of Developmental Services

Mar 13, 2026 - While the Legislature does have some discretion over rates, any significant reductions in this area would likely give rise to policy trade ‑offs, such as reducing consumers ’ access to services for which they are eligible.
https://lao.ca.gov/Publications/Report/5157

The 2026-27 Budget: Medi-Cal Fiscal Outlook

Nov 19, 2025 - With no further loan planned under current law in 2026 ‑27, the General Fund will need to cover costs moving forward (the current state spending plan envisions gradually paying off this loan over more than a decade).
https://lao.ca.gov/Publications/Report/5092

Considering Medi-Cal in the Midst of a Changing Fiscal and Policy Landscape

Oct 24, 2025 - While facing fewer legal hurdles, having a large, proportionate private hospital fee raises other policy trade ‑offs. A  higher fee on commercial services could increase costs on some hospitals, particularly those with fewer Medi ‑Cal ‑funded services.
https://lao.ca.gov/Publications/Report/5083

Mental Health Services Act: Proposed Restructuring of the MHSA Funding Categories and Impacts on County Spending

Jul 13, 2023 - For example, while the administration cites the shortfall in psychiatric treatment beds as a primary justification for the focus on housing interventions, the administration has not provided the rationale for using MHSA —given the trade- offs —to address this and other issues.
https://lao.ca.gov/Publications/Report/4782

The 2025-26 Budget: Overview of the Governor's Budget

Jan 13, 2025 - This means that, going forward, decisions to balance the budget will involve more difficult trade ‑offs. We recommend the Legislature use the next few months to review program performance to develop its own approach to addressing the deficits.
https://lao.ca.gov/Publications/Report/4951

Building California’s Behavioral Health Infrastructure: Progress Update and Opportunities for the Proposition 1 Bond

Feb 5, 2025 - These facilities provide a safe place where individuals can wait for the effects of drugs and/or alcohol to wear off while being monitored for medical issues. Sobering centers can provide opportunities for handoffs to SUD treatment.
https://lao.ca.gov/Publications/Report/4954

The 2024-25 Budget: Medi-Cal Analysis

Feb 14, 2024 - …But Trade ‑Offs Exist. While the Medicare program often is used as a benchmark for state Medicaid payment levels, there are trade ‑offs to tying Medi ‑Cal ’s provider payments to Medicare. Most notably, such an approach would tie Medi ‑Cal ’s provider payment adjustments to federal policy decisions.
https://lao.ca.gov/Publications/Report/4838

Mental Health Services Act: Proposed Bond to Fund Behavioral Health Facilities and Veterans Housing

Aug 17, 2023 - After selling bonds, the state makes annual payments over the following few decades until the bonds are paid off. (This is similar to the way a family pays off a mortgage.) Although when compared with the pay-as-you-go approach, the up-front cost to the state of bond financing a project is significantly lower, overall costs are higher due to the interest on the debt.
https://lao.ca.gov/Publications/Report/4790

The 2022-23 Budget: Analysis of the Governor’s Major Behavioral Health Proposals

Mar 3, 2022 - Tiny Homes Are Potentially Promising, but Present Trade ‑Offs. Tiny homes are a potentially promising approach to providing bridge housing to individuals with behavioral health needs. However, they present trade ‑offs when compared to other approaches to providing bridge housing.
https://lao.ca.gov/Publications/Report/4569