The 2022-23 Budget: Fiscal Outlook for Schools and Community Colleges

Nov 17, 2021 - K ‑12 Attendance Projected to Drop in 2021 ‑22, Rise Over the Following Four Years. The state did not collect school attendance data in 2020 ‑21 due to the pandemic and the temporary switch to remote learning.
https://lao.ca.gov/Publications/Report/4473

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 2022-23 Budget: Overview of Proposition 98 Proposals [Publication Details]

Jan 27, 2022 - This analysis describes the overall structure of the Governor's plan for school and community college funding, including the major spending proposals and underlying estimates of the Proposition 98 minimum guarantee.
https://lao.ca.gov/Publications/Detail/4502

The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - For California, the dot ‑com era —when stocks rose and then fell precipitously in response to widespread adoption of the internet —offers the most salient example. The internet has proven to be a transformative technology and, yet, the stock market ’s initial reaction was clearly overly exuberant.
https://lao.ca.gov/Publications/Report/5091

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

Jan 12, 2026 - This includes proposals to: (1)  remove the state ’s share of costs associated with growth in IHSS hours per case, which we estimate could save $650  million by 2029 ‑30 (if hours continue to grow at their current rates); (2)  make an ongoing reduction to the Middle Class Scholarship program, which generates $541  million in savings beginning in 2027 ‑28; and (3)  make $12  million in previously provided ongoing federal ‑related litigation funding limited term.
https://lao.ca.gov/Publications/Report/5101

The 2025-26 Budget: Overview of the Spending Plan

Oct 16, 2025 - On March  12, the administration notified the Joint Legislative Budget Committee it had transferred $3.4  billion General Fund (around the maximum allowed) to the MPIP Fund to cover unanticipated cost increases in Medi ‑Cal.
https://lao.ca.gov/Publications/Report/5079

The 2025-26 Budget: Initial Comments on the Governor's May Revision

May 17, 2025 - Baseline Spending Higher by $12   Billion. Baseline spending reflects the projected cost of continuing existing services under current law and policy, prior to the adoption of any new budget solutions.
https://lao.ca.gov/Publications/Report/5044

Rethinking California's Reserve Policy

Apr 10, 2025 - In March of 2004, on the heels of the dot ‑com bust, voters passed Proposition  58, which created the Budget Stabilization Account (BSA). In the 2006 ‑07 budget, the Legislature deposited $472  million into the BSA and in 2007 ‑08 deposited $1.5  billion.
https://lao.ca.gov/Publications/Report/5028

The 2025-26 Budget: Multiyear Budget Outlook

May 24, 2025 - As shown in Figure  4, the May Revision adds $5  billion in new borrowing, increasing the total outstanding amount from $12  billion to $17  billion. Importantly, while some of this new borrowing is incorporated into the multiyear outlook, other components are not.
https://lao.ca.gov/Publications/Report/5052

Whether or Not to Tap Reserves to Solve Estimated Budget Problem Emerges as Key Fiscal Decision Facing California’s Legislature

Apr 19, 2023 - Other downturns, such as the 2001 so-called dot-com recession, had severe fiscal implications while inflicting somewhat milder economic damage. The 2008 Great Recession had brutal effects on both the state ’s economy and budget.
https://lao.ca.gov/Publications/Report/4762