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

Jan 13, 2025 - New Tax Expenditures of $150   Million. The Governor ’s budget includes some revenue proposals, which would expand existing tax expenditures and create new ones. This includes increasing the existing film tax credit from $330  million to $750  million per year and excluding some military retirement income from taxation.
https://lao.ca.gov/Publications/Report/4951

The 2026-27 Budget: Governor’s Sustainable Aviation Fuel Tax Credit Proposal [Publication Details]

Feb 24, 2026 - The 2026-27 Budget: Governor’s Sustainable Aviation Fuel Tax Credit Proposal [Publication Details] Description: In this brief, we analyze the Governor's proposal to create a new credit against diesel excise tax liability to incentivize the use of sustainable aviation fuel in California.
https://lao.ca.gov/Publications/Detail/5139

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

Feb 24, 2026 - The 2026-27 Budget: Governor’s Sustainable Aviation Fuel Tax Credit Proposal Summary The Governor proposes budget trailer legislation to create a new tax credit against diesel excise tax liability to incentivize the use of sustainable aviation fuel (SAF) in California.
https://lao.ca.gov/Publications/Report/5139

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

Feb 10, 2026 - As such, bringing ongoing General Fund expenditures back into balance with revenues likely will involve even more difficult decisions and trade ‑offs, such as reducing existing ongoing activities and/or raising revenues by increasing taxes and fees.
https://lao.ca.gov/Publications/Report/5116

The 2025-26 California Spending Plan: Other Provisions

Oct 16, 2025 - Relatedly, action taken in Chapter  27 of 2025 (AB  1138, Zbur and Allen) makes additional changes to version 4.0, including but not limited to: increasing the size of tax credit awards as a percentage of qualified expenditures, expanding the range of productions that are eligible for the credit, and enhancing the size and scope of the Career Pathways Program.
https://lao.ca.gov/Publications/Report/5081/

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: Cap-and-Invest Expenditure Plan

Feb 10, 2026 - The 2026-27 Budget: Cap-and-Invest Expenditure Plan $4,066 $4,221 a Revenue estimates assume allowances will sell at the same average premium above the price floor as has been the case for the last four quarters with fully subscribed auctions.
https://lao.ca.gov/Publications/Report/5114

The 2026-27 Budget: Cap-and-Invest Expenditure Plan [Publication Details]

Feb 10, 2026 - The 2026-27 Budget: Cap-and-Invest Expenditure Plan [Publication Details] Translate Our Website This Google ™ translation feature provided on the Legislative Analyst's Office (LAO) website is for informational purposes only.
https://lao.ca.gov/Publications/Detail/5114

The 2025-26 Budget: Natural Resources and Agriculture Discretionary Spending Proposals

Feb 18, 2025 - As we discuss in our January 2025 report, The 2025‑26 Budget: Overview of the Governor’s Budget , the Governor proposes $2.2 billion in actions that would create capacity in the General Fund to support $570 million of discretionary proposals (including the three proposals discussed in this brief), $150 million of tax expenditures, and a larger discretionary reserve than the state typically plans.
https://lao.ca.gov/Publications/Report/4967

The 2026-27 Budget: Proposed Elimination of State Environmental Positions

Feb 17, 2026 - As such, reducing positions and expenditures could mean that funds —at least in the near term —end up sitting unused in account balances rather than supporting the activities that fee-payers have paid the state to undertake.
https://lao.ca.gov/Publications/Report/5124