How Have Past Stock Market Downturns Affected Income Tax Revenue? [EconTax Blog]

Mar 9, 2026 - This Time Might Be Different, but It Is Not Safe to Bet on It.   As our office warned last November, it now appears time to take seriously the notion that the stock market has become overheated. While there is a chance that this time is different and no such downturn is forthcoming, the risk appears strong enough that we have incorporated it into the state 's revenue outlook.  
https://lao.ca.gov/LAOEconTax/Article/Detail/852

How Have Past Stock Market Downturns Affected Income Tax Revenue? [EconTax Blog]

Mar 9, 2026 - This Time Might Be Different, but It Is Not Safe to Bet on It.   As our office warned last November, it now appears time to take seriously the notion that the stock market has become overheated. While there is a chance that this time is different and no such downturn is forthcoming, the risk appears strong enough that we have incorporated it into the state 's revenue outlook.  
https://lao.ca.gov/LAOEconTax/article/Detail/852

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 2026-27 Budget: K-12 Proposals

Feb 19, 2026 - Building this local buy ‑in is important for the long ‑term success of the community schools model and can help support other key efforts, such as identifying other sources of funding that can sustain the model.
https://lao.ca.gov/Publications/Report/5131

The 2026-27 Budget: Medi-Cal Analysis

Mar 2, 2026 - The  administration ’s stated rationale is to “maintain parity ” across the nonelderly, childless adults who are receiving full ‑scope Medi ‑Cal benefits. At  the same time, the administration has stated that verifying compliance for UIS adults using existing income data sources may be more challenging and that it would rely on information provided by the individual when available data are insufficient.
https://lao.ca.gov/Publications/Report/5146

The 2026-27 Budget: Department of Developmental Services

Mar 13, 2026 - Successful Exemption of DDS Consumers Depends on Administration ’s H.R. 1 Implementation Plan . While the language of H.R.  1 indicates that states should exempt individuals with an intellectual or developmental disability and their family caregivers from new Medicaid eligibility requirements, the degree to which these exemptions are successfully implemented in California will depend on the administration ’s approach.
https://lao.ca.gov/Publications/Report/5157

Addressing Chronic Vacancies in Prison Mental Health Care

Feb 23, 2026 - Given that CDCR reports having more success in hiring tele ‑mental health providers, we expect this expansion to reduce vacancies in the long run. Ask Court to Allow Tele ‑Mental Health Providers to Work From Out ‑of ‑State.
https://lao.ca.gov/Publications/Report/5134

The 2026-27 Budget: California Department of Corrections and Rehabilitation

Feb 23, 2026 - It is possible that after the department is no longer deactivating facilities in close succession, CDCR ’s vacancy rate will increase to historical levels. If this occurs, CDCR could have sufficient salary savings to pay these costs without the proposed dedicated  funding.
https://lao.ca.gov/Publications/Report/5137

The 2026-27 Budget: Child Welfare

Mar 3, 2026 - Are there policy changes that could continue any recently successful initiatives? For the Behavioral Health Community-Based Organized Networks of Equitable Care and Treatment (BH-CONNECT) program, the implementation status of certain components —the joint behavioral health home visits and the activity funds initiative —is unclear.
https://lao.ca.gov/publications/report/5147

The 2026-27 Budget: California Competes Extension

Mar 18, 2026 - GO-Biz negotiates individual agreements with each successful applicant, including year-by-year milestones and corresponding credit allocations. Agreements last for five years, by which time all employment and investment milestones must be achieved to claim the full credit amount.
https://lao.ca.gov/Publications/Report/5162