The 2026-27 Budget: California's Fiscal Outlook

Nov 19, 2025 - This year, for example, our outlook reflects our best estimates of the effects of H.R. 1: One Big Beautiful Bill Act on the state budget but does not make assumptions about future federal policy changes.
https://lao.ca.gov/Publications/Report/5091

The 2025-26 Budget: Undertaking Fiscal Oversight

Feb 24, 2025 - The Legislature cannot reasonably undertake in-depth oversight of all state programs in one budget season. As such, the Legislature must determine how to focus its efforts so as to provide information that would be most helpful in making future budget decisions.
https://lao.ca.gov/Publications/Report/4983

The 2025-26 Budget: California's Fiscal Outlook

Nov 20, 2024 - While this slowdown has been gradual and the severity milder than a recession, a look at recent economic data —as in Figure  1 —paints a picture of a sluggish economy. Outside of government and health care, the state has added no jobs in a year and a half.
https://lao.ca.gov/Publications/Report/4939

A Framework for Allocating Federal Recovery Funds

May 4, 2021 - While vaccine distribution continues, public health concerns may continue for a variety of reasons including the unwelcome possibility of COVID-19 becoming a seasonal disease like the flu. The state likely will need to continue to conduct vaccine outreach and education, monitor for variants, and prepare for possible future stress on health care and hospital systems.
https://lao.ca.gov/Publications/Report/4422

The 2024-25 Budget: California's Fiscal Outlook

Dec 7, 2023 - For example, in 2020 ‑21, the state temporarily suspended net operating loss (NOL) deductions, preventing corporations with net income over $1  million from using NOLs. The state also limited businesses from claiming more than $5  million in tax credits.
https://lao.ca.gov/Publications/Report/4819

The 2026-27 Budget: California's Fiscal Outlook [Publication Details]

Nov 19, 2025 - Each year, our office publishes the Fiscal Outlook in anticipation of the upcoming budget season. This report gives the Legislature our independent estimates and analysis of the state’s General Fund budget condition with the goal of helping lawmakers prepare for the 2026-27 budget process.
https://lao.ca.gov/Publications/Detail/5091

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

Feb 20, 2026 - Figure 1 The State ’s New Wall of Debt (In Billions)
https://lao.ca.gov/Publications/Report/5133

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

Jan 12, 2026 - Implementing Immigrant Population ‑Related H.R. 1 Policies in Medi ‑Cal. As part of the state ’s required implementation of H.R. 1, the Governor proposes taking two discretionary actions related to immigrants that reduce state costs.
https://lao.ca.gov/Publications/Report/5101

The 2025-26 Budget: Overview of the Spending Plan

Oct 16, 2025 - Middle Class Scholarships (MCS) Arrears Budgeting ($1 Billion). The budget package reflects $1 billion in savings by deferring recognition of MCS program costs from 2025‑26 to 2026‑27 on a budgetary basis.
https://lao.ca.gov/Publications/Report/5079

Overview of Major Impacts of H.R. 1 – One Big Beautiful Bill Act [Publication Details]

Aug 20, 2025 - Overview of Major Impacts of H.R. 1 – One Big Beautiful Bill Act [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/5067