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

Jan 13, 2025 - Increases Revenue by Around $300   Million. The Governor ’s budget proposes to change the rules about how taxable profits are determined for financial institutions. The administration estimates this change would increase revenues on an ongoing basis by around $300  million per year.
https://lao.ca.gov/Publications/Report/4951

The 2025-26 Budget: Initial Comments on the Governor's May Revision

May 17, 2025 - Smaller proposals, such as shifting nearly $300  million in General Fund spending to the Proposition  4 (2024) climate bond, account for the remaining difference. Absent Proactive Choices Last Year, Budget Problem Would Be Significantly Larger.
https://lao.ca.gov/Publications/Report/5044

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

Oct 5, 2020 - As a condition of receiving the funding, counties must show that they are in com pliance with state and federal public health requirements. Budget Provides $600   Million for Project Homekey and Related Services.
https://lao.ca.gov/Publications/Report/4263

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

The 2025-26 Budget: Overview of the Spending Plan

Oct 16, 2025 - (Revenue ‑related solutions, totaling about $300  million, represent the small remainder.) Note that while the state is also making a $7.1  billion withdrawal from the BSA in 2025 ‑26, this withdrawal is not reflected in Figure  1 because it was authorized in the 2024 ‑25 budget package.
https://lao.ca.gov/Publications/Report/5079

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

The 2024-25 Budget: Overview of the Spending Plan

Sep 6, 2024 - For schools, the budget also provides an increase of $300  million ($179  million ongoing and $121  million one time) to cover cost increases related to universal school meals. For community colleges, the budget also provides (1)  $50  million ongoing for caseload increases in the Student Success Completion Grant program and (2)  $25  million ongoing to increase enrollment by 0.5  percent.
https://lao.ca.gov/Publications/Report/4922

The 2023-24 Budget: Overview of the Governor's Budget

Jan 13, 2023 - While the fiscal impact of this reauthorization would be small in the budget window —an estimated $300  million in 2023 ‑ 24 —the effect would be much larger in future years, rising to roughly $2  billion in General Fund savings as early as 2024 ‑25.
https://lao.ca.gov/Publications/Report/4662

Fiscal Outlook: Developmental Services

Nov 15, 2017 - As DDS consumers transition from the DCs to the community, we project General Fund expenditures for DCs to decline from $350  million in 2017-18 to less than $300  million by 2018-19. After that, expenditures will continue to decline as more residents move and the DCs begin to shut down.
https://lao.ca.gov/Publications/Report/3717