California’s Strong Revenue Trends Mask Looming Budget Risk

Jan 23, 2026 - As we described in our November Fiscal Outlook , the recent stronger-than-expected revenue trends are almost entirely explained by the personal income tax (PIT), which has seen double digit growth this year.
https://lao.ca.gov/Publications/Report/5104

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

Feb 20, 2026 - In addition, recent budgets have relied on nearly $30  billion in borrowing to address deficits, and the Governor ’s budget proposes almost $6  billion in additional borrowing (see Figure  1). A period of strong revenue growth is not an appropriate time to draw down significant reserves or continue to rely on borrowing.
https://lao.ca.gov/Publications/Report/5133

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

Jan 12, 2026 - That said, recent budgets have set the SFEU bet ween $3.5  billion and $4.5  billion, so the Governor ’s budget proposal to set the balance to $4.5  billion is generally in line with recent policy.
https://lao.ca.gov/Publications/Report/5101

The 2018-19 Budget: California Spending Plan (Final Version)

Oct 2, 2018 - Self ‑Help Services ($35.6  Million). The budget provides $19. 1  m illion in limited ‑term funding for self ‑help centers and $16. 5  m illion on a one ‑time basis to support county law libraries. The budget package also requires the Judicial Council to conduct a cost ‑benefit analysis of self ‑help services by November 2020.
https://lao.ca.gov/Publications/Report/3870/11

The 2019-20 Budget: Proposition 98 Outlook

Nov 14, 2018 - (This estimate does not account for the additional cost pressure the state likely would face from other fiscally distressed districts seeking similar treatment.) New Preschool Slots. The 2018 ‑ 19 b udget package funded 2, 959 n ew full ‑day State Preschool slots beginning April 1, 2019.
https://lao.ca.gov/Publications/Report/3897

The 2018-19 Budget: California Spending Plan (Final Version)

Oct 2, 2018 - Indirect Cost Recovery Rate Limit for Self ‑Help Counties. When Caltrans performs work for a local government, it charges the local government for associated indirect costs, such as for accounting. The budget package includes trailer bill language to limit Caltrans to charging no more than 10  p ercent for administrative indirect cost recovery to self ‑help counties (counties with sales tax measures dedicated to transportation improvements) until July 1, 2021.
https://lao.ca.gov/Publications/Report/3870/10

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

Jan 13, 2025 - Recent budgets have set the SFEU between $3.5  billion and $4  billion. The Governor proposes a $4.5  billion SFEU balance for the end of 2025 ‑26.
https://lao.ca.gov/Publications/Report/4951

The 2016-17 Budget: California Spending Plan

Oct 5, 2016 - Self –Service Terminals. The budget includes an ongoing increase of $8  million for DMV to expand the use of self –service terminals, which allow DMV customers to process their vehicle registration renewal transactions at automated kiosks.
https://lao.ca.gov/Publications/Report/3487/9

The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - This  is not a prediction of what will happen —state and federal laws and policies will change in the coming years —but rather serves as a baseline to help the Legislature understand its starting place.
https://lao.ca.gov/Publications/Report/5091

The 2018-19 Budget: California Spending Plan (Final Version)

Oct 2, 2018 - Additionally, from this ongoing amount, the budget sets aside $1. 3  m illion in 2018 ‑ 19 t o study the feasibility of levying an assessment to support flood management activities within the Sacramento ‑San Joaquin Drainage District.
https://lao.ca.gov/Publications/Report/3870/9