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

Mar 9, 2026 - The result was a deeper and more protracted revenue decline than the state experienced during the broader financial crisis and related recession. This dynamic may be especially notable today. The current run-up in stock prices is similarly concentrated in Silicon Valley technology companies, raising the risk of an outsized revenue loss if that market corrects sharply.
https://lao.ca.gov/LAOEconTax/Article/Detail/852

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

Mar 9, 2026 - The result was a deeper and more protracted revenue decline than the state experienced during the broader financial crisis and related recession. This dynamic may be especially notable today. The current run-up in stock prices is similarly concentrated in Silicon Valley technology companies, raising the risk of an outsized revenue loss if that market corrects sharply.
https://lao.ca.gov/LAOEconTax/article/Detail/852

Assessing a Shift to Enrollment-Based School Funding

Jan 6, 2026 - California State Lottery Revenues. State law requires a portion of revenues from the State Lottery to be allocated annually among schools, community colleges, and other public and higher education systems.
https://lao.ca.gov/Publications/Report/5100

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

Jan 12, 2026 - As a result, we consider the entire balance of the SFEU to be a discretionary choice. 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: County Administration and H.R. 1 Implementation

Mar 5, 2026 - To what extent are realignment funds used to support CalFresh administration today versus other county funds? How will increased county costs for CalFresh administration under H.R.  1 affect efforts to reduce payment error rates?
https://lao.ca.gov/Publications/Report/5149

The 2026-27 Budget: University of California

Feb 26, 2026 - UC ’s ongoing core funding primarily consists of state General Fund and tuition and fees, with smaller shares from lottery funds and federal contract and grant overhead. State General Fund support has fluctuated over time —generally rising during economic expansions and falling during recessions.
https://lao.ca.gov/Publications/Report/5143

The 2026-27 Budget: CDTFA’s Cannabis and Tobacco Programs

Feb 23, 2026 - We recommended that the Licensing Program be funded exclusively through license fees, which is how it is funded today. LAO Recommendations Approach Proposals as Pieces of a Bigger Policy Puzzle. Cannabis and tobacco compliance present an ongoing policy challenge for the Legislature.
https://lao.ca.gov/Publications/Report/5132

The Bay-Delta Plan and Voluntary Agreements: Ensuring Effective Legislative Oversight

Mar 18, 2026 - The last comprehensive update occurred in 1995 and largely guides management today. (The 1995  update concerned the entire Bay ‑Delta watershed and included substantive changes to water quality objectives for fish and wildlife beneficial uses.
https://lao.ca.gov/Publications/Report/5163

The 2026-27 Budget: Re-Envisioning State Education Governance

Mar 18, 2026 - The state, however, was far less involved in the public school system than it is today. For example, elementary education did not become compulsory until 1874, and the state did not begin funding high schools until 1904.
https://lao.ca.gov/Publications/Report/5165

The 2026-27 Budget: Framework for Approaching the Natural Resources, Environmental Protection, and Agriculture Budget

Feb 10, 2026 - Recommended Framework for Approaching Environment Budget Decisions Below, we offer a framework for approaching environment budget decisions in today ’s challenging fiscal circumstances —namely , how to evaluate the Governor ’s new spending proposals across CNRA, CalEPA, and CDFA in the context of a General Fund condition that is only precariously balanced in the near term and faces significant deficits in the coming years.
https://lao.ca.gov/Publications/Report/5116