The 2026-27 Budget: How to Use One-Time Revenue Improvements

Feb 20, 2026 - For example, we recommend the Legislature: Do Not Suspend the $3  Billion True Up Into the Budget Stabilization Account (BSA). The Governor ’s budget proposes suspending a roughly $3  billion true-up deposit that otherwise would be required in 2025-26.
https://lao.ca.gov/Publications/Report/5133

The State Appropriations Limit

Apr 21, 2021 - This prohibition applies from March  3, 2021 t o the last date on which the state expends the funds. (The state has until December 31, 2024 t o use the funds.) As of this writing, we do not yet know how strictly the U.S.
https://lao.ca.gov/Publications/Report/4416

California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - To do this, we add a stock market indicator to our forecast models alongside other the economic variables. The added risk variable weighs on the range of revenue outcomes that we view as most plausible.
https://lao.ca.gov/Publications/Report/5104

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

Oct 27, 2021 - (We do not include these base funding increases in our discretionary funding  totals.) Targeted Augmentations for Universities. Beyond base funding, the budget includes $2. 6 b illion General Fund in 2021 ‑22 for targeted initiatives focused solely or primarily on the universities.
https://lao.ca.gov/Publications/Report/4448

Rethinking California's Reserve Policy

Apr 10, 2025 - There are many options for doing this, but given the volatility in the state ’s revenues, we think it is important to set aside much more funds in years when revenues are surging , rather than setting aside somewhat more in every year.
https://lao.ca.gov/Publications/Report/5028

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

Jan 13, 2024 - The 2024-25 Budget: Overview of the Governor's Budget $3,135 $4,677 BCH = Secretary for Business, Consumer Services, and Housing Agency; HHAPP = Homeless Housing, Assistance, and Prevention Program; FHC = Family Homelessness Challenge Grants; BSCC  =  Board of State and Community Corrections; CalFire = California Department of Forestry and Fire Protection; CalRecycle = California Department of
https://lao.ca.gov/Publications/Report/4825/1

The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - Second, while our revenue estimates hedge against a market downturn, they do not reflect the revenue declines the state would experience in a recession. Third, the state has used most of its budget resiliency tools to address prior deficits.
https://lao.ca.gov/Publications/Report/5091

The 2025-26 Budget: Overview of the Spending Plan

Oct 16, 2025 - When cost changes do not occur automatically under current policy, we classify them as either budget solutions or discretionary augmentations. Budget Package Addressed a Nearly $15   Billion Budget Problem.
https://lao.ca.gov/Publications/Report/5079

California's Legislative Analyst's Office and the Value of Independence

Nov 15, 2024 - Although aligning revenue estimates might reduce the potential for confusion, doing so would risk creating bigger problems. In particular, it could provide a false sense of certainty about the state ’s fiscal position.
https://lao.ca.gov/Publications/Report/4938

The 2025-26 Budget: Undertaking Fiscal Oversight

Feb 24, 2025 - The Legislature could do this by identifying issues, policies, and programs that have been key areas of attention in recent years. The affected departments likely have had less capacity for other responsibilities during that time.
https://lao.ca.gov/Publications/Report/4983