Controller Malia M. Cohen Statement on Enactment of the 2026–27 California State Budget

SACRAMENTO - California State Controller Malia M. Cohen issued the following statement following enactment of the Fiscal Year 2026-27 State Budget:

"California's budget is more than a collection of numbers on a page. It is a reflection of our priorities and our commitment to providing the services that millions of Californians rely on every day.

As the state's chief fiscal officer, my responsibility is to ensure taxpayer dollars are managed responsibly, financial obligations are met, public resources are protected, and Californians have access to transparent and accurate information about the state's finances.

I appreciate the work of Governor Newsom and the Legislature in completing the budget on time and taking important steps to strengthen California's long-term fiscal stability. In recent years, the state has experienced dramatic swings in revenue driven largely by our dependence on capital gains income. Those fluctuations can make it difficult to plan for the future and maintain essential services during economic downturns.

The budget includes reforms designed to create a more stable and predictable revenue stream, including broadening the tax base to reflect changes in today's economy and increasing the state's reserve capacity. These are not easy decisions, but they are responsible ones.
Without thoughtful action, California would face difficult choices that could result in deep cuts to programs and services. The Governor's budget seeks to address those challenges while preserving the state's ability to invest in its future.

California remains one of the largest and most dynamic economies in the world, but fiscal discipline remains essential. Strong reserves, reliable revenues, and transparent financial reporting are critical to maintaining public trust and protecting the state's long-term financial health.

My office stands ready to carry out its constitutional responsibilities, administer the budget, safeguard taxpayer resources, and provide independent oversight as we move into the new fiscal year."