Friday, May 18, 2018

LAO vs. Governor

The Legislative Analyst's Office (LAO) has issued a rosier scenario than found in the Dept. of Finance's projections (i.e., the governor's projections) contained in the May Revise. Not all the LAO's assumptions are in the rosier direction, but net they are. The legislature's majority may be less concerned about the details and more focused on the general message - which is that there is more to spend, short term and long term, than the governor would like. So, as we have noted in prior posts, there may be more allocated to UC in the budget to be passed by the legislature in June than the governor has designated - particularly if (as is very likely) UC does not raise tuition. Of course, the governor could use his line-item veto to remove what he doesn't want. In recent years, however, he has tended to reach a deal with the legislature rather than make much use of his veto power.

You can find the LAO report at:

No comments: