The Definition of Qualified Capital Outlay for the State Appropriations Limit

Feb 18, 2022 - However, we would not consider purchases of equipment or personal property that do not improve the underlying asset excludable. Such purchases include, for example, furniture and computers. Similarly, we would not consider operations costs (that do not improve an asset) as excludable.
https://lao.ca.gov/Publications/Report/4547

The 2024-25 Budget: Initial Comments on the Governor’s May Revision

May 17, 2024 - For example, two major proposals raise concerns for our office: the suspension of net operating loss (NOL) de ductions and unallocated state operations reductions. Finally, given that our revenue forecast is somewhat below the administration ’s forecast, we would suggest the Legislature consider whether or not it is comfortable with this downside risk to the state ’s budget picture.
https://lao.ca.gov/Publications/Report/4902

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

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

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

Nov 15, 2024 - An independent assessment of the state ’s existing spending commitments helps equip the Legislature to consider the full scope of the fiscal choices before it —critical insight for the branch of government with constitutional authority over appropriations.
https://lao.ca.gov/Publications/Report/4938

The 2023-24 Budget: Considering Inflation's Effects on State Programs

Nov 16, 2022 - Lease Costs, Operating Expenses, and Equipment. A second major category of state operations costs is facilities and equipment. This includes, for example, the cost to state departments for leases and other rental costs, as well as operating expenses and equipment (OE &E) —such as printing, communication, and travel.
https://lao.ca.gov/Publications/Report/4647

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 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 2024-25 California Spending Plan: Other Provisions

Oct 2, 2024 - Chapter 22 of 2024 (AB 107, Gabriel) appropriates this allocation in 2024 ‑25. eFF amounts do not include additional IIJA funding from Digital Equity Act programs, specifically $4  million in state planning and $70 million in state capacity program allocations.
https://lao.ca.gov/Publications/Report/4934

The 2024-25 California Spending Plan: Other Provisions

Oct 2, 2024 - Chapter 22 of 2024 (AB 107, Gabriel) appropriates this allocation in 2024 ‑25. eFF amounts do not include additional IIJA funding from Digital Equity Act programs, specifically $4  million in state planning and $70 million in state capacity program allocations.
https://lao.ca.gov/Publications/Report/4934/governors-office-of-emergency-services