The state's nonpartisan fiscal analyst is offering some early praise for Governor Brown's latest budget proposal.

Jason Sisney with the Legislative Analyst's Office said a rainy day fund is exactly what the state needs and overall that revenues may actually be higher than projected...

"...and if that happens we think the legislature will want to consider a bigger reserve, and also setting aside some money to begin to deal with the large teacher's retirement liability."

Sisney continued to say that there's nothing for CalSTRS in the current proposal.

There's also concern that Brown's proposed use of cap-and-trade funds for high speed rail could be "legally risky."