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: K-12 Proposals

Feb 19, 2026 - The administration ind icates it plans to modify this part of the proposal in the May Revision and may allow funds to be used for a broader set of activities related to community  schools. Effects of Community Schools Model Research Finds Benefits to Community Schools Model.
https://lao.ca.gov/Publications/Report/5131

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: In-Home Supportive Services

Mar 18, 2026 - Revenues Generally Cover Costs Over Time. While realignment revenues will not cover all county responsibilities in each year, in general, revenues should grow sufficiently to cover county costs over time.
https://lao.ca.gov/Publications/Report/5166

The 2026-27 Budget: California Competes Extension

Mar 18, 2026 - On the other hand, if GO-Biz chose to allocate a large fraction of the current credit pool over a short period, it would sharply increase the fiscal cost of the program over the next several years as credits are claimed.
https://lao.ca.gov/Publications/Report/5162

The 2026-27 Budget: University of California

Feb 26, 2026 - UC Spending Has Outpaced Inflation Over Past Ten Years. As Figure   7 shows, UC ’s core spending has grown faster than inflation over the past ten years. Over this period, core spending grew at an average annual rate of 4.3   percent compared to an average annual inflation rate of 3.3   percent over the same period.
https://lao.ca.gov/Publications/Report/5143

The 2026-27 Budget: Department of Developmental Services

Mar 13, 2026 - Importantly, the increased cost for services also reflects a combination of the increases in caseload and utilization over time. Individual Services Vary in Growth Rates and the Relative Share of Expenditures Over Time.
https://lao.ca.gov/Publications/Report/5157

The 2026-27 Budget: Child Care and State Preschool

Mar 19, 2026 - CalWORKs caseload has also grown by over 31,000 (23.9 percent) over this period. Figure 2 shows the total number of subsidized child care slots, as well as total funding, since 2018‑19. Statutory intent language associated with the multiyear agreement would require an additional 44,000 slots in 2026‑27 and 33,000 in 2027‑28.
https://lao.ca.gov/Publications/Report/5168

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

Mar 18, 2026 - They also concluded that the Governor ’s authority over the budget would always provide some influence over program administration, such that assigning administrative duties to another entity could only lead to fragmented governance.
https://lao.ca.gov/Publications/Report/5165