California’s first full fiscal year after the June 30, 2022 discussion was FY 2023‑24 (starting July 1, 2023). For that year, the Legislative Analyst’s Office and other analysts identified a large General Fund deficit on the order of roughly $24–32 billion, following earlier years of very large surpluses, which fits the description of a huge budget shortfall. (lao.ca.gov) Multiple budget analyses attribute this shortfall primarily to revenues coming in far below what had been projected for the 2022 tax year because of the steep stock‑market decline in 2022, which sharply reduced personal‑income‑tax collections from high‑income Californians whose income is disproportionately composed of capital gains and stock‑based compensation. (calbudgetcenter.org) Department of Finance figures reported in the press show capital gains falling from 25% of total personal‑income‑tax liability in 2021 to 13% in 2022—an $18 billion drop in capital‑gains revenue in a single year—creating large holes in the budget compared with the prior boom year. (aol.com) So although there was not literally zero capital‑gains revenue, California did experience a very large budget shortfall in the first fiscal year after the discussion, and that shortfall was driven largely by the collapse of capital‑gains‑related tax revenue relative to the preceding boom, making Sacks’s prediction substantively correct.