The 2024-25 Budget: Proposed Reductions to State Operations

May 21, 2024 - Unallocated cuts can be difficult to achieve in full. This especially is true when the reductions are determined through a collaborative process that allows for departments to be exempt from any reductions or receive a lower level of reduction.
https://lao.ca.gov/Publications/Report/4903

Cannabis Tax Revenue Update (2025 Q3) [EconTax Blog]

Dec 2, 2025 - The main reason for this difference is the tax cut noted above. Our forecast assumes that the market-expanding effects of the tax cut will offset only a small share of the forgone tax revenue.  
https://lao.ca.gov/LAOEconTax/article/Detail/844

Cannabis Tax Revenue Update (2025 Q3) [EconTax Blog]

Dec 2, 2025 - The main reason for this difference is the tax cut noted above. Our forecast assumes that the market-expanding effects of the tax cut will offset only a small share of the forgone tax revenue.  
https://lao.ca.gov/LAOEconTax/Article/Detail/844

The 2025-26 Budget: Judicial Branch

Feb 12, 2025 - In this brief, we provide an overview of the proposed funding for the judicial branch in 2025-26. We also analyze the Governor’s budget proposals to increase discretionary funding to the trial courts and start a capital outlay project to construct the new Tracy Courthouse in San Joaquin County.
https://lao.ca.gov/Publications/Report/4959

The 2025-26 Budget: Judicial Branch [Publication Details]

Feb 12, 2025 - In this brief, we provide an overview of the proposed funding for the judicial branch in 2025-26. We also analyze the Governor’s budget proposals to increase discretionary funding to the trial courts and start a capital outlay project to construct the new Tracy Courthouse in San Joaquin County.
https://lao.ca.gov/Publications/Detail/4959

California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - Were the markets to drop considerably, budget problems would be tens of billions of dollars larger, necessitating even deeper cuts and/or tax increases. These challenges would not be short-lived either.
https://lao.ca.gov/Publications/Report/5104

The 2026-27 Budget: California State University

Feb 24, 2026 - Eliminating these out ‑year augmentations would reduce projected state deficits in 2027 ‑28 and 2028 ‑29 without requiring programmatic cuts or tax increases. Rather than making commitments in advance, the Legislature could determine each year how much support it can afford to provide CSU in light of overall fiscal conditions and competing budget priorities.
https://lao.ca.gov/Publications/Report/5142

UC Spending Proposals Under Governor's Budget and May Revision [EdBudget]

May 18, 2025 - The administration also modified the methodology for applying the cut by excluding debt service costs from the calculation. This approach is consistent with the methodology the administration used to calculate the base reduction for CSU.
https://lao.ca.gov/Education/EdBudget/Details/956

The 2026-27 Budget: University of California

Feb 26, 2026 - Eliminating these out ‑year augmentations would reduce projected state deficits in 2027 ‑28 and 2028 ‑29 without requiring programmatic cuts or tax increases. Rather than making commitments in advance, the Legislature could determine each year how much ongoing support it can afford to provide UC in light of overall fiscal conditions and competing budget priorities.
https://lao.ca.gov/Publications/Report/5143

The 2026-27 Budget: Higher Education Overview

Feb 5, 2026 - Despite projecting a $27  billion deficit in 2027 ‑28, the administration has only the one proposal to reduce higher education spending —cutting MCS award coverage in half. In contrast to the Cal Grant program, MCS does not require students to meet financial need criteria.
https://lao.ca.gov/Publications/Report/5112