The 2025-26 California Spending Plan: Other Provisions

Oct 16, 2025 - California ’s Pass-Through Entity Elective Tax (PTET) allows certain businesses to elect to pay additional corporation taxes at a rate of 9.3  percent on qualified net income. Taxpayers utilizing this option receive credits that can be claimed against their income taxes.
https://lao.ca.gov/Publications/Report/5081/

The 2025-26 Budget: SB 678 County Probation Grant Program

Apr 11, 2025 - However, we recommend an alternative mai ntenance payment that pays only for specific evidence-based practices that will improve public safety and does so in ways that are more likely to generate state savings —two of the key goals of the original program.
https://lao.ca.gov/Publications/Report/5031

Assessing Community College Programs at State Prisons

Jul 1, 2024 - In both cases, federal Pell Grants would reimburse colleges for these costs, with students paying nothing out of pocket. Together, these two recommendations would free up a combined approximately $9  million ongoing Proposition  98 General Fund.
https://lao.ca.gov/Publications/Report/4913

The 2023-24 Budget: Financing Approaches for Capital Outlay Projects

Feb 28, 2023 - One advantage of bonds is that they can better align who pays for the project with who benefits from the project. Since capital outlay projects will provide benefits for many years, future taxpayers would pay for the future bene fits (through debt service payments) rather than current taxpayers paying for the entire project (through cash financing).
https://lao.ca.gov/Publications/Report/4709

The 2024-25 Spending Plan: Judiciary and Criminal Justice

Sep 10, 2024 - . $23.1  million (increasing to $46.2  million annually beginning in 2025-26) to pay for increased utility costs. Other General Fund Solutions. The budget reflects various General Fund solutions to address the state ’s budget problem, including: $27  million reduced from 2023-24 to reflect the delayed installation of video surveillance technology at five prisons.
https://lao.ca.gov/Publications/Report/4924

The 2019-20 Budget: California Spending Plan—Other Provisions

Oct 17, 2019 - Pay-as-You-Go Retiree Health Costs. Under the state ’s current policy to pay for retiree health benefits, (1)  the state and employees each contribute an amount of money —established as a percentage of pay through the collective bargaining process —to prefund the benefits employees earn today and (2)  the state pays the costs of the benefit for current retirees on a pay-as-you-go basis.
https://lao.ca.gov/Publications/Report/4101

The 2016-17 Budget: The Governor's State Office Building Proposal

Feb 9, 2016 - On the one hand, it can be reasonable to fund infrastructure projects through a pay –as –you –go approach. Pay –as –you –go is typically somewhat cheaper than borrowing since the state does not have to pay interest.
https://lao.ca.gov/Publications/Report/3347

The 2020-21 Budget: Debt Service on Infrastructure Bonds

Nov 20, 2019 - In total, we estimate that the amount the state pays for debt service from the General Fund will grow from $5.7  billion in the current year to $6.4  billion in 2023 ‑24. Our projections do not include any additional debt service costs for new bonds that might be authorized by the voters or the Legislature during the forecast period, such as Proposition  13, a $15  billion general obligation bond for schools scheduled for the March  2020 election.
https://lao.ca.gov/Publications/Report/4118

The 2018-19 Budget: Department of General Services

Feb 20, 2018 - The state often pays for some of the costs of tenant improvements at leased facilities over time with interest. The administration assumes that the interest rate the state pays for spreading these tenant improvement costs over time is 8  percent.
https://lao.ca.gov/Publications/Report/3758

The 2019-20 Budget: Overview of the Governor's Budget

Jan 14, 2019 - Whereas this proposal would provide districts with perceptible budget relief over the next two years, using the $ 700  m illion instead for paying down more of the CalSTRS unfunded liability would provide a longer ‑term benefit.
https://lao.ca.gov/Publications/Report/3916