The 2026-27 Budget [Publication Details]

Jan 1, 2026 - As we release publications aimed at addressing the 2026-27 budget situation, we will add them to this index page.
https://lao.ca.gov/Publications/Detail/5107

Addressing Chronic Vacancies in Prison Mental Health Care

Feb 23, 2026 - Eliminate the Requirement for Licensed Out ‑of ‑State Providers to Get California Licenses. We recommend expanding the licensing exemptions so that all out ‑of ‑state mental health providers already licensed in their respective state no longer need to acquire a California license to work at CDCR.
https://lao.ca.gov/Publications/Report/5134

The 2026-27 Budget: California Department of Corrections and Rehabilitation

Feb 23, 2026 - Eliminate the Requirement for Licensed Out ‑of ‑State Providers to Get California Licenses. This would allow CDCR to benefit from recruiting from a wider pool of applicants. We  also recommend directing CDCR to recruit more from out of state.
https://lao.ca.gov/Publications/Report/5137

Property tax rules for inherited property. [Ballot]

Jan 21, 2026 - About half of the revenue losses would go to cities, counties, and special districts. The other half would go to schools. In some years, the state could face additional cost pressures to provide mon ey to schools to offset their revenue losses.
https://lao.ca.gov/BallotAnalysis/Initiative/2025-035

The 2026-27 Budget: Department of Developmental Services

Mar 13, 2026 - Where relevant, this section notes where there are potential levers available if the Legislature wishes to adjust spending. The Legislature could have greater insight into these spending drivers, as well as potential spending adjustments, if the department were to provide richer data.
https://lao.ca.gov/Publications/Report/5157

The 2026-27 Budget: California Competes Extension

Mar 18, 2026 - In years where the program is fully subscribed, there is an opportunity cost associated with an agreement that is not fulfilled. Namely, those tax credits could have been awarded to another applicant who would have been more likely to achieve their milestones.
https://lao.ca.gov/Publications/Report/5162

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

Feb 24, 2026 - Annual reduction of $49  million to transportation funding that the state provides to cities and counties for work on their local streets and roads. State transportation funding suballocated to cities and counties for these purposes is projected to be around $3.9  billion annually —meaning this proposal would result in a reduction of about 1   percent each year.
https://lao.ca.gov/Publications/Report/5139

The 2026-27 Budget: Higher Education Overview

Feb 5, 2026 - With a new Governor to take office next year, we recommend the Legislature not get entangled with any new compact. Instead, we recommend the Legislature make funding decisions for each segment each year based upon the best information available at that time and the state ’s overall budget condition.
https://lao.ca.gov/Publications/Report/5112

The 2026-27 Budget: Supplemental Security Income/State Supplementary Payment (SSI/SSP) Program

Mar 3, 2026 - This includes 12 counties (where 28.6  percent of SSI/SSP recipients live) where the maximum SSI/SSP grant for couples is less than the FMR for an efficiency unit. Subscribe | California State Legislature | Online Voter Registration | Privacy Policy | Accessibility Legislative Analyst's Office | The California Legislature's Nonpartisan Fiscal and Policy Advisor 925 L Street, Suite 1000 Sacramento, CA 95814 | (916) 445-4656
https://lao.ca.gov/Publications/Report/5148

The 2026-27 Budget: Re-Envisioning State Education Governance

Mar 18, 2026 - Governance becomes even more blurred in areas where the SPI shares authority with one of the smaller agencies. As Policy Analysis for California Education explained in 2025, “this fragmented, disjointed structure reflects the complexity of California ’s TK ‑12 system, where multiple entities operate independently, often with overlapping responsibilities. ” Muddled Direction to Schools.
https://lao.ca.gov/Publications/Report/5165