SACRAMENTO -- California's finances are bouncing back after a lengthy recession, and tax revenues are primed for strong growth over the next several years, according to a report issued Wednesday by the Legislature's budget analyst.
"We now find that California’s state budget situation is even more promising than we projected one year ago," said the report from the Legislative Analyst's Office. "The state’s budgetary condition is stronger than at any point in the past decade."
The state is on track to end the current fiscal year next June with a reserve of $2.4 billion, more than twice the original estimate of $1.1 billion, thanks to higher-than-expected tax revenue, the report said. California's school funding formula is also expected to send $3.1 billion more to schools.
By 2020, state revenue could be $27.1 billion higher than the latest projections for the current fiscal year, according to the report.