The 2025-26 Budget: Cap-and-Trade Reauthorization and Greenhouse Gas Reduction Fund Proposals at May Revision

May 19, 2025 - The Legislature ’s decisions around the program are high stakes, as they could shape the program for many years to come and have significant implications for various legislative priorities such as greenhouse gas reductions and affordability.
https://lao.ca.gov/Publications/Report/5049

The 2026-27 Budget: California Public Utilities Commission’s Implementation of AB 1207

Feb 10, 2026 - Given the high stakes involved, it will be important for the Legislature to consider whether it is comfortable with deferring decisions on the structure of the credi ts to CPUC, as is envisioned in this proposal, or whether it would like to provide CPUC with further statutory direction to guide its approach.
https://lao.ca.gov/Publications/Report/5120

Overview of New Updates to the Cap-and-Invest Program

Dec 9, 2025 - Some reasons this oversight role remains important include: Stakes Are High. As mentioned above, the program has the potential to have significant implications for some of the state ’s key priorities, such as GHG reduction and affordability.
https://lao.ca.gov/Publications/Report/5097

Assessing California’s Climate Policies—Cap-and-Trade Reauthorization

May 7, 2025 - In general, particularly in light of the high stakes involved, we advise the Legislature to weigh in —through providing additional statutory direction to CARB —on any areas it deems to be of particular importance and for which it has specific preferences.
https://lao.ca.gov/Publications/Report/5042

The Bay-Delta Plan and Voluntary Agreements: Ensuring Effective Legislative Oversight

Mar 18, 2026 - Given the high stakes for fish and water users, the Legislature can play a critical role in monitoring plan implementation. Because the VAs are designed to adapt as new information becomes available —and the board retains authority to terminate the VAs for some or all water users if they are not working as intended —performance will require ongoing evaluation.
https://lao.ca.gov/Publications/Report/5163

The 2026-27 Budget: Proposed Zero-Emission Vehicle Incentive

Feb 24, 2026 - Assessment Proposals Funded by GGRF and APCF Should Meet High Bar for Approval. In light of the state ’s budget condition —and as we discuss in greater detail in our recent publication, The 2026‑27 Budget: Framework for Approaching the Natural Resources, Environmental Protection, and Agriculture Budget —we recommend the Legislature apply a high bar to its review
https://lao.ca.gov/Publications/Report/5140

The 2026-27 Budget: Framework for Approaching the Natural Resources, Environmental Protection, and Agriculture Budget

Feb 10, 2026 - The proposal prioritizes improvements in high ‑traffic areas to mitigate this risk and improve public access to newly opening museums and sport facilities which will be used for high ‑profile international events.
https://lao.ca.gov/Publications/Report/5116

The 2026-27 Budget: Cap-and-Invest Expenditure Plan

Feb 10, 2026 - Very High Bar for Approving New Proposals Under Current Budget Conditions. We also believe the Legislature should apply a very high bar to its review of new spending proposals, whether from the General Fund or GGRF.
https://lao.ca.gov/Publications/Report/5114

The 2026-27 Budget: Governor’s Sustainable Aviation Fuel Tax Credit Proposal

Feb 24, 2026 - Conversely, a major barrier to the use of SAF is its relatively high production cost, resulting in prices that are generally at least twice those for conventional jet fuel. In large part due to this cost differential, currently only a small share —less than 2   percent —of aviation fuel used in the United States is SAF.
https://lao.ca.gov/Publications/Report/5139

Cap-and-Invest: November 2025 Auction Update and 2026-27 Budget Context

Dec 9, 2025 - GGRF = Greenhouse Gas Reduction Fund; CalFire = California Department of Forestry and Fire Prevention; HSRA = High Speed Rail Authority; SGC = Strategic Growth Council; TIRCP = Transit and Intercity Rail Capital Program; CalSTA = California State Transportation Agency; Caltrans = California Department of Transportation; and SWRCB = State Water Resources and Control Board.
https://lao.ca.gov/Publications/Report/5096