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 2021-22 Spending Plan: Other Provisions

Sep 23, 2021 - Finally, CDT’s Infrastructure/Platform Transformation Program will identify and remediate infrastructure and platform stability issues not addressed by the department’s Service Transformation Program.
https://lao.ca.gov/Publications/Report/4452

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 2021-22 Budget: Overview of the Spending Plan (Final Version)

Oct 27, 2021 - Health: Discretionary Spending Proposals in the 2021 ‑22 Budget Package General Fund (In Millions) Behavioral Health Continuum Infrastructure Program — School behavioral health partnerships and capacity — Children and Youth Behavioral Health Initiative state operations — Behavioral Health Services and Supports Platform — All Children Thrive Program augmentation — Support for
https://lao.ca.gov/Publications/Report/4448/1

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

Oct 2, 2018 - Specifically, the budget provides $ 38  m illion for Platform Holly and $ 20  m illion for Rincon  Island as proposed by the administration. Under the administration ’s plan, $ 20  m illion would be provided for each site in 2019 ‑20, and an additional $10. 5  m illion for Rincon Island in 2020 ‑21.
https://lao.ca.gov/Publications/Report/3870/9

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

Oct 2, 2018 - HIEs serve as platforms for providers and health care plans to access and share their patients ’ and members ’ electronic health records. This state funding is expected to leverage $ 45  m illion in federal American Recovery and Reinvestment Act funds.
https://lao.ca.gov/Publications/Report/3870/6

Rethinking California's Reserve Policy

Apr 10, 2025 - In March of 2004, on the heels of the dot ‑com bust, voters passed Proposition  58, which created the Budget Stabilization Account (BSA). In the 2006 ‑07 budget, the Legislature deposited $472  million into the BSA and in 2007 ‑08 deposited $1.5  billion.
https://lao.ca.gov/Publications/Report/5028