The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - This year, for example, our outlook reflects our best estimates of the effects of H.R. 1: One Big Beautiful Bill Act on the state budget but does not make assumptions about future federal policy changes.
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 2018-19 Budget: Repaying the CalPERS Borrowing Plan

Apr 4, 2018 - The 2017 ‑ 18 b udget package authorized a plan to borrow $ 6 b illion from the Pooled Money Investment Account (PMIA) —an account that is essentially the state ’s checking account —to make a one ‑time supplemental payment to CalPERS.
https://lao.ca.gov/Publications/Report/3797

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

Feb 5, 2019 - Without reserves, the state must significantly drop spending from year to year during a recession (when revenues decline). With reserves, the state sets aside money during an expansion (lowering spending in those years), but then can use those funds in a recession to reduce the need for budget cuts.
https://lao.ca.gov/Publications/Report/3925

The 2024-25 Budget: Proposition 2 Debt Payment Proposals

Mar 20, 2024 - A supplemental pension payment allows pension systems to invest more money sooner. This, in turn, allows for higher investment returns than otherwise would be the case. These higher investment returns reduce future required contributions from employers to the unfunded liability than would otherwise be the case.
https://lao.ca.gov/Publications/Report/4887

The 2025-26 Budget: California's Fiscal Outlook

Nov 20, 2024 - One path is falling interest rates and expansion of money available for lending and investment. A key driver of California ’s economic slump over the last two years has been the Federal Reserve ’s efforts to tamp down inflation by raising interest rates and shrinking how much money is available for lending and investment.
https://lao.ca.gov/Publications/Report/4939

The 2019-20 Budget: Undoing California’s Outstanding Budgetary Deferrals

Mar 26, 2019 - Depositing Money Into Reserves Generates Interest Payments. Money held in the state ’s cash reserves is not idle. The State Treasurer ’s Office (STO) invests state funds, including reserves, in the Pooled Money Investment Account (PMIA), generating an investment return.
https://lao.ca.gov/Publications/Report/3988

The 2020-21 Budget: Proposition 2 Debt Payment Proposals

Mar 10, 2020 - (If the system exceeded its investment target in a subsequent year the unfunded liability could be reduced or eliminated.) Using Proposition   2 t o make up for these investment losses would keep the plan on track.
https://lao.ca.gov/Publications/Report/4196

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

Oct 17, 2019 - Altogether, as Figure  1 shows, the budget makes $11.1  billion in outstanding debts and liabilities repayments, falling into two categories: Discretionary Payments. The spending plan uses $9  billion in discretionary General Fund money (funding that could be used for any public purpose) to pay down debts and liabilities.
https://lao.ca.gov/Publications/Report/4106

The 2019-20 May Revision: Opportunity Zones

May 11, 2019 - A handful of other states have adopted state tax credits that mirror the federal New Market Tax Credit to encourage investors to shift their New Market Tax Credit investment to those states. To gauge the effect of these state credits, we looked at how New Market Tax Credit investments changed in states after they adopted state credits and compared these
https://lao.ca.gov/Publications/Report/4038