California’s Rainy Day Fund Makeover

California’s budget is in trouble, but a potential lifeline could come from big tech IPOs like SpaceX and OpenAI—though history warns that windfalls often lead to deficits. The state’s current reserve system, built for modest savings, can’t handle the influx, and past chances to fix it were missed. With federal cuts looming and economic uncertainty rising, now’s the time for a smarter, more robust approach: boost the rainy day fund to 20% of the general fund, treat future savings as non-spending, and make deposits mandatory. This isn’t just caution—it’s visionary investment to protect public services, education, and social programs, and to avoid tax hikes when the economy sags. Support the show:Get a discount at https://solipillow.com/discount/dnn. Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/79ba553d60125be2