§ 16410 State Revenue Shortfall Fund

Government Code·California

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Key Takeaways

•The state has a special savings account called the Revenue Deficiency Reserve Fund.
•This fund is used when the state doesn't get enough money from taxes and fees to cover what was planned in the budget.
•The state can only add money to this fund if the Legislature says it's okay.

Example

Imagine the state planned to get $100 from taxes to pay for schools and roads, but only got $90.

The state can use money from the Revenue Deficiency Reserve Fund to cover the missing $10.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source

View on CA.gov

§ 16410 State Revenue Shortfall Fund

The Revenue Deficiency Reserve Fund in the Treasury is continued in existence to meet the needs of the State for General Fund revenues when revenues from taxes, fees, and other sources do not equal the estimate for revenues as set forth in the fiscal year budget. There shall be transferred into this fund such amounts as may be authorized by the Legislature. (Added by Stats. 1953, Ch. 170.)

Last verified: January 22, 2026

Key Terms

Revenue Deficiency Reserve Fund General Fund revenues fiscal year budget

References

Official text at leginfo.legislature.ca.gov
California Legislature. Government Code. Section 16410.

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References