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 - 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: Department of Developmental Services

Mar 13, 2026 - Proposed Funding to Implement Recent Federal Rule The Governor ’s budget proposes $2.1  million General Fund ongoing to implement the federal Home ‑ and Community ‑Based Services Access Rule, which was finalized in 2024.
https://lao.ca.gov/Publications/Report/5157

The 2026-27 Budget: Child Welfare

Mar 3, 2026 - Of the total amount, $4 million is available through June 30, 2027 to allow time to prepare a final report for the Legislature by April 1, 2027. Support for Home ‑Based Placements: Excellence in Family Finding, Engagement, and Support Program Block Grants $150 million one ‑time in 2022 ‑23, available through June 30, 2027.
https://lao.ca.gov/publications/report/5147

The 2026-27 Budget: California Competes Extension

Mar 18, 2026 - Finally, agreements include recapture provisions that allow GO-Biz to reduce or reclaim credits if recipients fail to meet hiring or investment commitments. Empirical Evidence Points to Effectiveness of Tax Credit for Job Creation.
https://lao.ca.gov/Publications/Report/5162

The 2026-27 Budget: Medi-Cal Analysis

Mar 2, 2026 - More recent final guidance released earlier this year, however, suggests California can keep its existing health plan tax in place until its current waiver expires at the end of December 2026. Revenue Limit.
https://lao.ca.gov/Publications/Report/5146

The 2026-27 Budget: Proposition 98 Guarantee and K-12 Spending Plan

Feb 4, 2026 - We analyzed previous forecasts and found that, for current ‑year revenue estimates, the May forecast is typically within about 4  percent of the year ’s final revenue collections. (The range of uncertainty for the budget year is more than twice as large.)
https://lao.ca.gov/Publications/Report/5110

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

Feb 17, 2026 - Consequently, if the Legislature wishes to retain the positions as part of its final budget package, it likely will need to find a commensurate level of savings elsewhere in the budget, at least for those positions supported by the General Fund.
https://lao.ca.gov/Publications/Report/5124