California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - Whereas California’s labor market has stagnated over the last two years, the S&P 500 stock index has appreciated roughly 50 percent over the same period. And most of this increase has come from skyrocketing share prices among a handful of firms associated with innovations in Artificial Intelligence (AI).
https://lao.ca.gov/Publications/Report/5104

The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - The stock market (S &P 500) has risen 50  percent in the last two years. Most of these gains come from the meteoric rise in the value of a handful of tech companies that investors believe will be major beneficiaries of recent advances in AI.
https://lao.ca.gov/Publications/Report/5091

The 2024-25 Budget: Overview of the Governor's Budget

Jan 13, 2024 - The largest include: a nearly $800 million reduction to state departments’ operation budgets, proposed to be allocated through departments’ vacancy rates; about $500 million in savings to continue an existing two‑week delay in Medi‑Cal payments; a $500 million reduction to the school facilities aid program; and a $350 million reduction to legislative district projects.
https://lao.ca.gov/Publications/Report/4825

The 2021-22 Budget: Overview of the Spending Plan (Final Version)

Oct 27, 2021 - Most of the funding will go out as $ 600 o ne ‑time payments to taxpayers with incomes below $75,000 (taxpayers with dependents will receive an additional $ 500 p ayment). The remainder will go out as $ 500 o ne ‑time payments to taxpayers with incomes less than $75,000 who file using an Individual Taxpayer Identification Number.
https://lao.ca.gov/Publications/Report/4448

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

Jan 12, 2026 - Some of the largest spending augmentations proposed for the budget window include: (1) $76 million for utility replacement and site improvements at Exposition Park, (2) $67 million to the California Department of Forestry and Fire Protection for fixed‑wing aircraft pilot and mechanics contract increases, (3) $60 million to the Department of Health Care Access and Information for a reproductive
https://lao.ca.gov/Publications/Report/5101

The 2025-26 Budget: Overview of the Spending Plan

Oct 16, 2025 - The estimate of the requirement for 2024 ‑25 is up nearly $4.7  billion (4  percent) from the June 2024 level, but the budget appropriates just over $2.7  billion in additional funding for that year.
https://lao.ca.gov/Publications/Report/5079

The 2021-22 Budget: Initial Comments on the Governor’s May Revision

May 17, 2021 - The largest proposals include $500  million for Golden State teacher grants and a $500  million endowment for learning-aligned employment. Reserves and Debt $11  Billion in Constitutional Reserve and Debt Requirements.
https://lao.ca.gov/Publications/Report/4432

The 2025-26 Budget: California's Fiscal Outlook

Nov 20, 2024 - Furthermore, a single company (Nvidia) accounts for about one ‑third of the total gains in the S &P 500 stock index over the last year. Overall, without more positive signs from the broader California economy, it is difficult to be highly confident in the recent revenue recovery.
https://lao.ca.gov/Publications/Report/4939

The 2023-24 Budget: Overview of the Governor's Budget

Jan 13, 2023 - Figure 4
https://lao.ca.gov/Publications/Report/4662

The 2024-25 Budget: Overview of the Spending Plan

Sep 6, 2024 - Finally, the 2024 ‑25 budget continues the recent practice of providing an additional $500  million for the state Low ‑Income Housing Tax Credit Program. (Because these credits would not be claimed until the housing units are complete, the General Fund impact of these tax credits will occur in a few years.)
https://lao.ca.gov/Publications/Report/4922