California Black Media

LAO Releases Multi-Year Outlook: Modest Budget Deficits to Persist

The state budget deficit is projected to increase, which will require the Governor and Legislature to make more budget cuts over the next few years, California’s non-partisan Legislature Analyst’s Office (LAO) stated in a report last week. According to the LAO’s multiyear budget report that makes forecasts about the state’s general fund through the 2027-28 fiscal year, the state’s budget problem is $7 billion higher than expected due to lower revenue and spending estimates.

Published

2 years ago

June 11, 2024

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By California Black Media

According to the LAO’s multiyear budget report that makes forecasts about the state’s general fund through the 2027-28 fiscal year, the state’s budget problem is $7 billion higher than expected due to lower revenue and spending estimates.

“Under our office’s revenue and spending projections, and assuming the Governor’s May Revision policies are adopted, the budget problem for this year is $7 billion larger,” the report reads. “Put another way, the Legislature would need to take $7 billion in additional budget actions to balance the budget.”

This shortfall requires the Governor to reduce government spending by an additional $7 billion to balance the state’s deficit. However, if the legislature does approve the governor’s May Revisions the budget problems will carry over into the 2025-2026 fiscal year, increasing the existing budget deficit by nearly $10 billion.

California’s budget deficit could be as high as $73 billion, requiring the Legislature to consider harsh budget buts that can help the state economy recover long-term. However, the LAO’s spending estimates are lower than that of the state’s Department of Finance.

“The main reason that our estimates of the state’s operating deficits are slightly smaller than the administration’s is that our estimate of General Fund spending is lower than the administration’s estimates,” stated the LAO in the multiyear budget report.

The LAO’s estimates exclude spending on schools and community colleges, and lower estimated expenditures for Health and Human Services (HHS) programs. Based on the LAO’s estimates, Health programs grow annually by an average of 5.1 percent compared to the Newsom Administration’s estimated 8 percent.

“Our office has little insight into the components of, or assumptions underlying, the administration’s projections in HHS. As a result, we cannot identify the precise source of these differences—or the comparative reliability of our respective estimates — with confidence,” the LAO report stated.

Given the projections, the LAO recommends that the Legislature maintain an overall structure similar to the Governor’s May revisions in the final budget package.

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Oakland Post: Week of February 11 = 17, 2026

The printed Weekly Edition of the Oakland Post: Week of – February 11 – 17, 2026

Published

1 day ago

February 16, 2026

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Bo Tefu

Trump’s White House Pushes to Control California Wildfire Recovery

The executive order signed Jan. 27 by President Donald Trump directs federal agencies to explore regulations that could override California and municipal permitting rules for homes and other structures destroyed in the fires. Land-use and rebuilding permits have traditionally been handled by cities and counties, making the move an unprecedented federal intervention into disaster recovery.

Published

1 week ago

February 10, 2026

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By Bo Tefu, California Black Media

The White House is moving to take control of wildfire recovery efforts in the Los Angeles County area, issuing an executive order that would shift rebuilding permit authority from state and local governments to the federal government following the January 2025 Palisades and Eaton fires.

“I want to see if we can take over the city and state and just give the people their permits they want to build,” Trump told the media when signing the order.

The Palisades and Eaton fires destroyed about 16,000 homes, businesses, and other structures across Pacific Palisades, Altadena, and surrounding areas. According to local data, roughly 4,700 applications to rebuild have been submitted, with about 2,000 approved so far. Officials say the pace of rebuilding is consistent with recovery timelines from other major wildfires in California, where reconstruction often takes several years.

Gov. Gavin Newsom and Los Angeles Mayor Karen Bass quickly condemned the order, stating that it is unnecessary and legally questionable. Disaster recovery experts echoed those concerns, pointing to constitutional limits on federal authority over land-use decisions.

Trump’s order calls on the Federal Emergency Management Agency (FEMA) and the Small Business Administration to consider allowing builders to self-certify compliance with health and safety regulations to receive federal approval.

The dispute has become another flashpoint in the ongoing political battle between Trump and Newsom. The governor has requested $33 billion in federal disaster aid that has not yet been approved, while survivors continue to face challenges related to insurance payouts, high rebuilding costs, and legal disputes tied to the cause of the fires.

“Instead of finally sending to Congress the federal relief Los Angeles needs to rebuild from last year’s firestorms, Donald Trump continues to live in fantasy land,” Newsom wrote on X.

Bass said the White House could speed recovery by approving disaster aid and pushing insurers and lenders to support affected residents.

Trump’s order calls for draft regulations within 30 days and final rules within 90 days.

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Bo Tefu

Gov. Newsom, AG Bonta to Local Law Enforcement: You Have Authority to Investigate Federal Agents

The guidance, released by the California Department of Justice (DOJ), emphasizes that local and state police have concurrent jurisdiction in cases involving federal officers and are not required to defer to federal investigations. The bulletin follows recent federal officer-involved shooting deaths in Minnesota and California.

Published

1 week ago

February 10, 2026

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By Bo Tefu, California Black Media

Gov. Gavin Newsom and California Attorney General Rob Bonta issued a bulletin Jan. 27 reminding state and local law enforcement agencies that they have the authority to investigate potential violations of state law committed by federal agents, even when federal authorities do not cooperate.

The bulletin states that federal and state law enforcement have long worked together on investigations that can result in both federal and state charges, but recent actions by the federal government have raised concerns about obstruction and a lack of transparency. California officials say those developments require state and local agencies to be prepared to assert their legal authority.

“Especially when a fatal shooting occurs, no one should be allowed to rush in, seize evidence, and control the narrative before state and local law enforcement have lawful access,” said Newsom. “Transparency isn’t a talking point; it’s a legal and moral requirement.”

Bonta said federal agents do not have absolute immunity from state criminal prosecution and warned against claims suggesting otherwise.

“Let there be no question: State and local law enforcement in California have authority to investigate potential violations of state law, even when those violations are committed by federal agents,” said Bonta. “Federal courts have long recognized that federal agents do not have absolute immunity from state law prosecution.”

The bulletin advises agencies that states have primary authority to investigate and prosecute violations of state criminal law, including cases involving federal officers. It also notes that the California DOJ is available to assist local agencies and can seek court orders to preserve evidence or secure access to crime scenes if needed.

California officials pointed to a Minnesota case in which a Trump-appointed federal judge ordered the federal government not to destroy evidence amid allegations that federal authorities interfered with a state investigation into a fatal shooting involving a federal officer.

The move comes amid broader legal battles between California and the Trump administration over federal law enforcement practices. In recent months, Bonta has led or joined court filings challenging federal deployments and enforcement actions, while Newsom has opposed what state leaders describe as unlawful federal overreach.

The DOJ encouraged Californians to report alleged misconduct by federal agents through its online reporting portal, saying the state stands ready to investigate and, where warranted, pursue charges under the California Penal Code.