California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - Regardless of the revenue assumption used in the 2026-27 budget, both our office and the Governor ’s Department of Finance (DOF) agree that the state faces large structural deficits. Although the strong current-year tax collections mask it, there are at least two notable indications of an underlying fiscal problem.
https://lao.ca.gov/Publications/Report/5104

The 2026-27 Budget: Proposition 4 Spending Plan

Feb 10, 2026 - The 2026-27 Budget: Proposition 4 Spending Plan Summary Governor ’s Budget Proposes $2.1  Billion in Proposition  4 Bond Funding in 2026 ‑27. The Governor ’s budget proposes appropriating $2.1  billion (about 21  percent of the total authorized by Proposition  4) in 2026 ‑27.
https://lao.ca.gov/Publications/Report/5115

The 2026-27 Budget: Proposition 4 Spending Plan [Publication Details]

Feb 10, 2026 - The 2026-27 Budget: Proposition 4 Spending Plan [Publication Details] Description: This publication assesses the Governor’s proposed 2026-27 spending plan for Proposition 4, the $10 billion climate bond approved by voters in November 2024.
https://lao.ca.gov/Publications/Detail/5115

The 2026-27 Budget [Publication Details]

Jan 1, 2026 - The 2026-27 Budget [Publication Details] Translate Our Website This Google ™ translation feature provided on the Legislative Analyst's Office (LAO) website is for informational purposes only. The LAO is unable to guarantee the accuracy of this translation and is therefore not liable for any inaccurate information resulting from the translation application tool.
https://lao.ca.gov/Publications/Detail/5107

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

Changes in California Community Colleges Proposition 98 Spending, 2024-25 and 2025-26 [EdBudget]

Jan 21, 2026 - The associated ongoing cost is built into apportionments in 2026-27. The Governor's budget also provides $32 million for enrollment growth in 2026-27. b The Governor's budget also includes $102 million in 2026-27 funds for this purpose. c Reflects $4 million for the Mendocino College Fire Academy and $1 million for the Santa Rosa Junior College Fire Academy.
https://lao.ca.gov/Education/EdBudget/Details/1040

The 2026-27 Budget: Supplemental Security Income/State Supplementary Payment (SSI/SSP) Program

Mar 3, 2026 - Governor ’s January Budget Includes Federal SSI COLA Estimates and Holds 2026-27 SSP Grants Unchanged. Figure  4 shows how 2024-25 maximum SSI/SSP grant levels compare to 2025-26 maximum SSI/SSP grant levels and the administration ’s estimates of the 2026-27 federal SSI grant increase.
https://lao.ca.gov/Publications/Report/5148

The 2026-27 Budget: Governor’s Office of Land Use and Climate Innovation Proposals

Mar 19, 2026 - While this funding has now mostly been allocated to grantees, Proposition  4 —the 2024 climate bond —also assigned LCI and SGC responsibilities for administering bond funding for a number of similar climate programs.
https://lao.ca.gov/Publications/Report/5167

The 2026-27 Budget: CalWORKs

Feb 18, 2026 - Figure  4 accounts for the proposed use of California ’s $3.7  billion in TANF funds in 2026-27. It also identifies the $6.3  billion in state and local expenditures identified as countable as MOE expenditures, more than satisfying the state ’s $2.8  billion requirement.
https://lao.ca.gov/Publications/Report/5122