The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - These companies have made big bets on AI, spending hundreds of billions of dollars on data centers and offering extraordinary pay packages to recruit AI researchers. This spending, coupled with sizable gains to investors and tech company employees via stock options, is boosting state income tax receipts.
https://lao.ca.gov/Publications/Report/5091

The 2026-27 Budget: Overview of the Governor's Budget

Jan 12, 2026 - That said, recent budgets have set the SFEU bet ween $3.5  billion and $4.5  billion, so the Governor ’s budget proposal to set the balance to $4.5  billion is generally in line with recent policy.
https://lao.ca.gov/Publications/Report/5101

The 2019-20 Budget: Structuring the Budget: Reserves, Debt and Liabilities

Feb 5, 2019 - Specifically, if the state transfers these funds to a pension system, the system ’s board can invest the funds, likely earning a higher rate of return than the funds would earn invested as state reserves.
https://lao.ca.gov/Publications/Report/3925

Fiscal Outlook: In-Home Supportive Services (IHSS)

Nov 15, 2017 - The administration has conducted a number of stakeholder meetings to develop the policies for when an IHSS provider will be eligible to earn and use paid sick leave. We note that actual costs associated with paid sick leave will depend on the number of providers who earn and utilize paid sick leave.
https://lao.ca.gov/Publications/Report/3712

The 2018-19 Budget: Initial Comments on the May Revision

May 12, 2018 - The reduction in local property tax revenue requires the state to backfill generally dollar for dollar with additional General Fund spending. Debt Payments. In addition, constitutionally required debt payments (under the provisions of Proposition  2 [2014]) are higher by $211  million.
https://lao.ca.gov/Publications/Report/3832

The 2019-20 Budget: California Spending Plan—Debt Liabilities

Oct 17, 2019 - The annual budget pays down several billion dollars of liabilities each year under set constitutional and statutory repayment schedules. These include, for example, billions of dollars in debt service on government obligation bonds.
https://lao.ca.gov/Publications/Report/4106

The 2025-26 Budget: California's Fiscal Outlook

Nov 20, 2024 - Current stock prices relative to companies ’ past earnings (a common measure of how “expensive ” stocks are) are at levels rivaled only by the transitory booms of 1999 and 2021. Furthermore, a single company (Nvidia) accounts for about one ‑third of the total gains in the S &P 500 stock index over the last year.
https://lao.ca.gov/Publications/Report/4939

The 2022-23 Budget: Initial Comments on the State Appropriations Limit Proposal

Feb 4, 2022 - There are many options for tax reductions, including: broad ‑based rebates, targeted rebates, and expansions of tax credits and programs like the Earned Income Tax Credit. Compared to waiting to address excess revenues, this option would afford the state more flexibility in designing the reductions.
https://lao.ca.gov/Publications/Report/4515

The 2022-23 Budget: Overview of the Spending Plan

Oct 12, 2022 - SAL = state appropriations limit; CAC = California Arts Council; CSSSA = California State Summer School for the Arts; CDE = California Department of Education; CDFA = California Department of Food and Agriculture; CSL = California State Library; CTC = Commission on Teacher Credentialing; DCA = Department of Consumer Affairs; DCC = Department of Cannabis Control; DFPI = Departm ent of Financial
https://lao.ca.gov/Publications/Report/4616/1

California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - Were the markets to drop considerably, budget problems would be tens of billions of dollars larger, necessitating even deeper cuts and/or tax increases. These challenges would not be short-lived either.
https://lao.ca.gov/Publications/Report/5104