The 2020-21 Budget: Staffing to Address New Independent Contractor Test

Feb 11, 2020 - Based on supplementary information we requested from the administration, we know that the proposal includes funding for 20 tax auditor positions, most of whom would work additional payroll tax appeals related to AB  5.
https://lao.ca.gov/Publications/Report/4151

The 2022-23 Budget: State Payments on the Federal Unemployment Insurance Loan [Publication Details]

Feb 15, 2022 - In this post, we provide a projection of state and employer costs to repay the federal Unemployment Insurance loan under two economic scenarios, assess the effects of the Governor's proposed $3 billion General Fund payment toward the outstanding loan, and present an alternative to the Governor's proposal that could provide more immediate tax relief.
https://lao.ca.gov/Publications/Detail/4543

The 2022-23 Budget: Analysis of the Care Economy Workforce Development Package

Mar 10, 2022 - Historically, a small statewide payroll tax provided funding for ETP grants but, in recent years, the state has supplemented this longstanding funding source with General Fund monies for targeted training grants.
https://lao.ca.gov/Publications/Report/4572

Climate Change Impacts Across California - Crosscutting Issues

Apr 5, 2022 - For example, the costs associated with adapting the state transportation system to withstand the impacts of climate change —including using new materials, responding to more frequent maintenance needs from more extreme conditions, and modifying or relocating certain infrastructure —likely will be higher than current expenditure levels.
https://lao.ca.gov/Publications/Report/4575

The 2022-23 Budget: Assessing Proposals to Address Unemployment Insurance Fraud

Feb 15, 2022 - In light of this scrutiny, the Internal Revenue Service recently called off its planned adoption of ID.me for tax f iling. New Anti ‑Fraud Proposals No Longer Needed and Run Counter to Strike Team Recommendations.
https://lao.ca.gov/Publications/Report/4542

Collective Bargaining: Assessing Proposed Employee Compensation Increases

Mar 20, 2020 - Under the Dills Act, any provision of an MOU that requires the expenditure of funds generally may not become effective unless approved by the Legislature in the annual budget act. This means that the Legislature may choose not to fund fully a provision included in a ratified MOU (alternatively, the Legislature may choose to appropriate more money than is required by an MOU —for example, approving in the budget a higher level of salary than established in an MOU).
https://lao.ca.gov/Publications/Report/4206

Labor Agreements: Bargaining Units 1, 3, 4, 6, 9, 11, 14, 15, 17, 20, AND 21

Jun 25, 2020 - Under AB 119 (Ting), the Legislature would ratify the provisions of any labor agreements entered into between the Governor and bargaining units before July 1, 2020 that require the expenditure of funds necessary to achieve the level of savings assumed under Control Section 3.90 of the 2020‑21 Budget Act.
https://lao.ca.gov/Publications/Report/4257

MOU Fiscal Analysis: Bargaining Unit 6

Jun 14, 2019 - Over this period, CDCR ’s operational expenditures increased by about $2  billion or 19  percent —from about $10.6  billion in 2008 ‑09 to an estimated $12.6  billion in 2018 ‑19. At first glance, assuming that a reduction in inmate population would result in an overall reduction in the costs to administer state prisons would be reasonable.
https://lao.ca.gov/Publications/Report/4078

The 2020-21 Budget: Labor Agreements to Achieve Budgetary Savings

Sep 9, 2020 - The pay that employees receive in a typical pay period —salary plus EDWC —affects employee pension benefits and is subject to Medicare payroll taxes. (Employees in specialty classifications represented by Unit 8 —including foresters, forestry aids, and fire prevention specialists —are compensated more similarly to other state employees based on a 40-hour workweek.)
https://lao.ca.gov/Publications/Report/4267