The Proposed 2025-26 California State Budget: 4 Things to Know

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It’s that time again, when California state leaders propose investments that impact our state’s schools and colleges for the year to come.  EdTrust-West and our partner organizations regularly engage with legislators and the governor’s team to ensure the final budget supports the success of Black, Latinx, Asian American, Pacific Islander, Native American, and Multilingual learner students as much as possible. 

Overview Of California’s Budget Process 

 

While the Governor proposes an initial budget for the upcoming fiscal year in January, that proposal is adjusted and revised over multiple months. Legislators hold hearings, and receive issue-specific input from experts and advocates at those hearings, through meetings, and via advocacy letters and other approaches. 

Here we highlight 4 things we think are important to know about Governor Gavin Newsom’s initial proposal for the 2025-26 California State Budget:

1. The proposed budget includes some good proposals in TK-12 education, which should be strengthened to increase equity

After years of state leaders, education experts, and advocates working to craft a new Mathematics framework, the governor is proposing investments related to implementation of the framework as part of a $1.8 billion block grant, including professional development for educators teaching math, as well as proposing $1 million for high-quality instructional materials. To ensure these new funds support California’s most underserved students, California leaders should ensure the block grant funding for professional development and other permissible uses can’t be reallocated by school districts to fund other things that don’t support these students, and make sure funding for instructional materials specifies that such materials must be designed to support the ethnic, linguistic, and economic status diversity of California’s students and supportive in closing achievement gaps student groups experience. 

2. Notable investments in Multilingual Learners are included in this year’s budget                          

English Language Learners make up 18% of the students in California’s classrooms, and this year’s budget puts some key resources in place to support them. Starting in transitional kindergarten (TK), the governor is proposing $10 million to develop an English language proficiency screener for TK students that is developmentally appropriate and would provide crucial insights that will help TK educators and students’ subsequent teachers in later grades to best support them. The governor is also proposing a $328,000 investment to support implementing the state’s English Learner Roadmap. This funding would create a dedicated position at the Department of Education to support statewide implementation and cover startup costs.

3. The current budget proposal includes some worrisome cuts in higher education

The higher education proposals for the 2025-26 California state budget include some notable investments to keep colleges on track to better support students, including cost-of-living and enrollment growth investments for the California Community College system. However, at a time when college costs are rising, the governor is proposing to cut the budgets of the University of California and the California State University. This is concerning, especially considering how it will likely impact students of color, many of whom are already going into debt to afford college. As our Black Minds Matter 2025 report pointed out, for instance, Black students are already more likely to have borrowed to finance attending college and have had to do so at higher amounts than any other student group.

4. Additional factors in California and outside the state bring an element of uncertainty to this year’s budget process

The budget proposal released in January was put together before the Los Angeles wildfires. With some taxes delayed as a result, California is left with a somewhat unclear picture of revenue that is available for investments. Additionally, the dismantling of the United States Department of Education and the contentious situation regarding potential withholding of federal funds from states that do not comply with federal administration directives may require additional adjustments to California’s budget. 

For more about Governor Newsom’s initial 2025-26 California State Budget proposal, check out our Money Matters webinar here. Simply register and gain access to the recording. 

In addition to the proposed investments in the state budget, see which legislative proposals we think hold the most potential for supporting students of color and multilingual learners via our “Equity 8” here.

 Want to stay up to date on budget happenings? Make sure you’re on our email list here for updates and resources: www.EdTrustWest.org/join 

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Karla Fernandez

Communications Manager

Karla Fernandez (she/her/hers) joins Ed Trust–West as a Communications Manager with over 11 years of experience advancing social impact initiatives.

Karla started her career as a teacher at Chicago Public Schools and UIC College Prep. After teaching, Karla joined United Friends of the Children to support LA County’s youth in foster care as a college counselor. Through Leadership for Educational Equity, Karla also served as a Policy Advisor Fellow for the office of a Los Angeles Unified School Board Member. She solidified her interests in policy analysis and quantitative research during her time with the Price Center for Social Innovation, the Housing Authority of the City of Los Angeles, and the USC Presidential Working Group on Sustainability. Before joining The Education Trust–West, Karla was the Associate Director for the Southeast Los Angeles (SELA) Collaborative, a network of nonprofits advocating for communities in SELA.

Karla holds a Bachelor’s Degree in Anthropology from the University of Chicago, a Master of Public Policy from the USC Price School of Public Policy, and a Graduate Certificate in Policy Advocacy from the USC Annenberg School for Communication and Journalism. Karla is based out of southern California and is passionate about using data analysis, communications, and digital strategies for policy advocacy and social justice efforts.