California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - The added risk variable weighs on the range of revenue outcomes that we view as most plausible. The middle of the range, which becomes our main revenue forecast, is thus lower than if we did not include the stock market risk indicator.
https://lao.ca.gov/Publications/Report/5104

The 2025-26 Budget: Overview of the Spending Plan

Oct 16, 2025 - During the special session, the Legislature added Control Sections 90.00 and 90.01 to the 2024 ‑25 Budget Act providing up to $2.5  billion one ‑time for response and recovery costs related to the January 2025 Southern California wildfires.
https://lao.ca.gov/Publications/Report/5079

California's Legislative Analyst's Office and the Value of Independence

Nov 15, 2024 - As such, our independent fiscal assessment underlies the Legislature ’s ability to assert an informed check on the executive branch, making any added complexity from diverging estimates a worthwhile trade-off.
https://lao.ca.gov/Publications/Report/4938

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

Oct 2, 2018 - The budget dedicates $ 90  m illion in 2018 ‑ 19 t o increase these grants beginning in April 2019, but the full ‑year cost of these increases is $ 360  m illion. The budget also dedicates about $ 348  m illion to the universities on an ongoing basis and $ 139  m illion to increase salaries for correctional officers.
https://lao.ca.gov/Publications/Report/3870

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

Oct 2, 2018 - The budget provides $ 19  m illion to annualize the cost of 2, 959 p reschool slots added April 1, 2018. The budget also provides $ 8  m illion for 2, 959 n ew full ‑day State Preschool slots at LEAs starting April  1, 2019.
https://lao.ca.gov/Publications/Report/3870/4

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

May 17, 2025 - Finally, although we have not previously recommended the Leg islature take decisive action to address the structural deficits, the state ’s persistent fiscal imbalance and the added downside risks —particularly from potential federal actions —suggest a need for a more proactive approach.
https://lao.ca.gov/Publications/Report/5044

The 2019-20 Budget: Proposition 98 Outlook

Nov 14, 2018 - Community colleges also are prioritizing adding faculty. College districts had about 36,000 FTE faculty (tenured and temporary) in 2017 ‑18, an increase of about 2,100 (6. 3  p ercent) over the 2012 ‑ 13 l evel.
https://lao.ca.gov/Publications/Report/3897

The State Appropriations Limit

Apr 21, 2021 - The State Appropriations Limit Introduction In the late 1970s, voters passed Proposition  4 (1979), which added Article XIIIB to the State Constitution. Article XIIIB established an appropriations limit on the state and most types of local governments.
https://lao.ca.gov/Publications/Report/4416

The 2025-26 Budget: California's Fiscal Outlook

Nov 20, 2024 - Outside of government and health care, the state has added no jobs in a year and a half. Similarly, the number of Californians who are unemployed is 25  percent higher than during the strong labor markets of 2019 and 2022.
https://lao.ca.gov/Publications/Report/4939

The 2020-21 Budget: Proposition 2 Debt Payment Proposals

Mar 10, 2020 - Use Proposition   2 t o Keep the Retiree Health Prefunding Plan on Track. The state could use Proposition   2 t o address future, new unfunded liabilities should they emerge for retiree health. For example, suppose in a particular year investment returns on prefunded assets fail to meet expectations.
https://lao.ca.gov/Publications/Report/4196