LAO Analysis Suggests Uncertainties Surrounding May Revise

The Legislative Analyst's Office (LAO) has issued an analysis of a component of the governor's proposed May Revise budget for 2024-25.* It reinforces the idea that the May Revise itself was a work in progress and contains elements the legislature is likely to find objectionable.

LAO is a creation of the legislature and tends to look after the legislature's influence in setting state policy, including the budget. But the governor is proposing making unallocated cuts in state personnel at his discretion. And he is assuming that unspecified efficiencies will be found. The latter raises the question of why the alleged inefficiencies were allowed to continue until now. And the former takes control away from the legislature.

We have noted that the May Revise summary on higher ed and UC in particular seemed to outline only some of the cuts that the Regents were later told about in more detail, suggesting that the May Revise as initially presented wasn't fully worked out. 

And, as we have emphasized, there is no budget until the legislature enacts one which it has a little over two weeks from now to do. Getting it done is easier in Good Times when the pie is expanding than in the current situation.

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*https://lao.ca.gov/Publications/Report/4903.