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Our annual Fiscal Outlook publication gives our office’s independent assessment of the California state budget condition for the upcoming fiscal year and over the longer term. In this report, we anticipate the state will have a $25 billion budget problem to solve in the upcoming fiscal year and operating deficits declining from $17 billion to $8 billion over the multiyear period. The goal of this report is to help the Legislature begin crafting the 2023‑24 budget. Our analysis relies on specific assumptions about the future of the state economy, its revenues, and its expenditures. Consequently, our estimates are not definitive, but rather reflect our best guidance to the Legislature based on our professional assessments as of November 2022.

United statesCommunity colleges offsets revenue lossesFund balanceFund spendingWorkforce developmentAgency departmentsFund condition under fiscal outlookFund portion of the guaranteeDebt serviceCorporation taxUs department of healthHuman servicesCommunity collegesaSignificant underlying program growth somewhatConsumer servicesDifferences with the administration