California September Revenues Exceed Budget Projections by $2.9 Billion
In October 2026, California State Controller Malia M. Cohen reported that the state's General Fund receipts for September totaled $22.9 billion, surpassing budget projections by $2.9 billion or 14.4%. The surplus was driven by higher-than-expected collections in corporation taxes ($1.4B over), personal income taxes ($1.1B over), and retail sales tax ($156M over). Despite the strong revenue performance, state expenditures also exceeded projections through September, with total disbursements reaching $11.8 billion above estimates—$4.3 billion in operations spending and $4.1 billion in local assistance. Controller Cohen emphasized that while higher revenues are positive, increased spending poses fiscal challenges ahead. As of the end of September 2026, California's General Fund had an ending cash balance of zero but reported accumulated outstanding loans totaling $326.4 million through internal borrowing.
Topics: budget expenditures revenue tax collections