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

Mar 9, 2026 - By most measures, the global financial crisis was more severe than the dot-com crash. The state 's unemployment rate, for example, peaked at 7 percent following the dot-com crash but reached nearly double that during the financial crisis and remained elevated for much longer.
https://lao.ca.gov/LAOEconTax/Article/Detail/852

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

Mar 9, 2026 - By most measures, the global financial crisis was more severe than the dot-com crash. The state 's unemployment rate, for example, peaked at 7 percent following the dot-com crash but reached nearly double that during the financial crisis and remained elevated for much longer.
https://lao.ca.gov/LAOEconTax/article/Detail/852

California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - After the dot-com bust and the Great Recession, it took four and five years, respectively, for revenues to recover. Incorporating revenue risk into the budget now, therefore, reflects prudence, not pessimism.
https://lao.ca.gov/Publications/Report/5104

The 2026-27 Budget: California Student Aid Commission

Feb 17, 2026 - In turn, the impact on the r est of the budget would be exacerbated. Paying for awards in the year the costs are incurred would mitigate this situation, as the state would not have to rely on borrowing to cover annual program costs.
https://lao.ca.gov/Publications/Report/5127

The 2026-27 Budget: Permitting Support at the State Water Resources Control Board

Mar 2, 2026 - Also requires a Section 401 certification. Water and transportation infrastructure (levees, highways), mining, and development fill. CWA Section 401 certification (dredge/fill certification) State and Regional Water Boards For WOTUS, issued in conjunction with Section 404 permits to ensure projects also comply with state water quality standards.
https://lao.ca.gov/Publications/Report/5144

The 2026-27 Budget: Proposed Elimination of State Environmental Positions

Feb 17, 2026 - For the 133 General-Funded environmental positions identified by JLBC in its nonconcurrence letter, we recommend the Legislature consider the relative merits within the context of its overall budget architecture.
https://lao.ca.gov/Publications/Report/5124

The 2026-27 Budget: Office of Emergency Services Next Generation 911 System

Feb 27, 2026 - In particular, OES asserts that the regional approach “requires a large degree of coordination between Next Generation 911 providers and strict adherence to a single set of interface rules which are unique to California ’s configuration and are not addressed in the National Emergency Numbers Association (NENA) standards. ” Call handling procedures in the hybrid legacy/Next Generation 911 configuration generated additional work for dispatch center  staff.
https://lao.ca.gov/Publications/Report/5145

Oversight of certain public benefit artificial intelligence (AI) companies. [Ballot]

Jan 20, 2026 - The measure would have the following major fiscal effects: Increased state costs that would likely be in the tens of millions of dollars annually to establish and operate a new regulatory commission overseeing certain public benefit AI com panies.
https://lao.ca.gov/BallotAnalysis/Initiative/2025-033

Middle Class Scholarship Program [EdBudget]

Feb 3, 2026 - Beginning in 2025-26, the state began funding the program in arrears, such that it will appropriate funding for 2025-26 costs in 2026-27 and appropriate funding for 2026-27 costs in 2027-28. a In addition to undergraduate students at UC and CSU, CCC students in bachelor's degree programs are eligible for Middle Class Scholarships. b CSAC used a different methodology to estimate
https://lao.ca.gov/Education/EdBudget/Details/1056

The 2026-27 Budget: Proposition 4 Spending Plan

Feb 10, 2026 - In addition, we find the administration ’s proposed control section to be reasonable, although the Legislature might benefit from receiving summary information about the degree to which the provisions are used.
https://lao.ca.gov/Publications/Report/5115