California is broke because its state pension system is unfunded, which when combined with the generous pensions promised means they will be in bankruptcy in a few years. They should be saving the money for that instead of buying votes with the record revenues.
The state pension system is a separate, independent bucket of money that is off budget.
It operates nearly as a private entity.
They set contribution rates for state, county and municipal governments annually. And they invest those contributions.
They currently have $360bil in assets and are project to fall $150bil short over the next 30 years. Thus contribution amounts have been increased.
However, the STATE of CA had a $76bil surplus this last fiscal year. It’s a completely separate entity.