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

Dec 9, 2025 - For example, for 2026-27, SB  840 and Chapter  5 of 2025 (AB  102, Gabriel) expressed legislative intent to use a combined total of up to $1.5  billion of GGRF to support the following activities: $1.25  billion of California Department of Forestry and Fire Protection (CalFire) costs if there is a General Fund deficit (with additional allocations in future years).
https://lao.ca.gov/Publications/Report/5096

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

Feb 10, 2026 - GGRF = Greenhouse Gas Reduction Fund; DOF = Department of Finance; CalFire = California Department of Forestry and Fire Protection; SB  840  =  Chapter  121 of 2025 (SB 840, Lim ón); AB 617 = Chapter 136 of 2017 (AB 617, C.
https://lao.ca.gov/Publications/Report/5114

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

Dec 9, 2025 - Safe and Affordable Drinking Water Program SWRCB 5 percent of annual revenues (up to $130 million). Sunsets on June 30, 2030. $130 million annually. Then fourth, remaining funding is subject to legislative appropriation for discretionary purposes. a Chapter 121 of 2025 (SB 840, Lim ón). b No sunset date unless otherwise noted. c Senate Bill 840
https://lao.ca.gov/Publications/Report/5097

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

Feb 24, 2026 - Most recently, the federal Inflation Reduction Act included a tax credit of up to $7,500 per vehicle for the purchase of new light ‑duty ZEVs and up to $4,000 per vehicle for the purchase of used light ‑duty ZEVs.
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 - As we discuss in greater detail in our publication, The 2026‑27 Budget: Cap‑and‑Invest Expenditure Plan , the Legislature has committed large portions of GGRF in 2026‑27 and out‑years through the passage of recent legislation, including Chapter 121 of 2025 (SB 840, Limón).
https://lao.ca.gov/Publications/Report/5116

The 2025-26 California Spending Plan: Natural Resources and Environmental Protection

Oct 16, 2025 - Second, Chapter  121 of 2025 (SB  840, Lim ón) revised the existing statutory allocation amounts that support particular activities starting in 2026-27, including changing many from being set percentages of GGRF revenues to fixed amounts .
https://lao.ca.gov/Publications/Report/5080

The 2026-27 Budget: Governor’s Office of Land Use and Climate Innovation Proposals

Mar 19, 2026 - Note: Numbers may not add up due to rounding. LCI = Governor ’s Office of Land Use and Climate Innovation; EEO = Equal Employment Opportunity; and CEQA = California Environmental Quality Act. Assessment Administration Has Provided Reasonable Justification for Proposals.
https://lao.ca.gov/Publications/Report/5167

Assessing Early Implementation of Urban Water Use Efficiency Requirements

Jan 4, 2024 - The frequency of use of the bonus incentive, the volume of water associated with the bonus incentive, value to urban water suppliers of the bonus incentive, and any implications of the use of the bonus incentive on water use efficiency.
https://lao.ca.gov/Publications/Report/4823

The 2025-26 California Spending Plan: Other Provisions

Oct 16, 2025 - The 2025-26 budget package includes up to $20  million for DOF to enter into one or more new contracts to implement operational improvements that allow the state to reduce state operations expenditures.
https://lao.ca.gov/Publications/Report/5081/

The 2025-26 Budget: Overview of the Governor's Budget

Jan 13, 2025 - The reason for the reduction is the recent voter approval of Proposition  35 (2024), which requires the state to spend less MCO tax money on offsetting General Fund spending and more money on provider rate increases.
https://lao.ca.gov/Publications/Report/4951