January 2024

Proposition 98 Overview

Proposition 98 Key Inputs and Outcomes Under Governor's Budget

Dollars in Millions

  2022-23 2023-24 2024-25
Minimum Guarantee      
General Fund $68,563 $74,633 $76,894a
Local property tax 29,742 30,953 32,185
   Totals $98,306 $105,586 $109,080
Change From Prior Year      
General Fund -$15,190 $6,070 $2,261
   Percent change -18.1% 8.9% 3.0%
Local property tax $2,942 $1,211 $1,232
   Percent change 11.0% 4.1% 4.0%
Total guarantee -$12,248 $7,281 $3,493
   Percent change -11.1% 7.4% 3.3%
General Fund Tax Revenueb $178,952 $193,185 $194,941
Growth Rates      
K-12 average daily attendance 0.9% 0.1% 0.0%
Per capita personal income (Test 2) 7.6% 4.4% 4.8%
Per capita General Fund (Test 3)c -17.9% 8.6% 1.4%
Proposition 98 Reserve      
Deposit (+) or withdrawal (‑)d $339 -$2,751 -$1,878
Cumulative balance 8,480 5,730 3,852
Operative Test 1 1 1
       
a Includes adjustment for arts education funding under Proposition 28 (2022). 
b Excludes nontax revenues and transfers, which do not affect the calculation of the guarantee.
c As set forth in the State Constitution, reflects change in per capita General Fund plus 0.5 percent.
d Accounts for required and discretionary changes to the Proposition 98 Reserve. 
Note: no maintenance factor is created or paid over the period.