CA budget passed, heads to gov’s desk
July 7, 2025
The Legislature has passed and sent the final 2025-26 budget to Gov. Gavin Newsom’s desk. The agreement is generally positive, especially when viewed within the context of the state’s significant budget shortfall.
Several ACSA priorities were included in the final deal, including:
- $1.7 billion in one-time, fully discretionary funding to be allocated to schools based on ADA.
- A substantial increase in the funding for Transitional Kindergarten, nearly doubling funding levels to support our youngest learners.
- Key adjustments to the Expanded Learning Opportunities Program (ELOP) that will increase funding for many districts and stabilize allocations for others.
These targeted investments will have a meaningful impact on schools’ ability to deliver high-quality instruction and student support services.
Despite these wins, ACSA remains concerned about the precedent set by underfunding Proposition 98. ACSA will continue to work alongside education partners to ensure that Proposition 98 is not viewed as a solution for closing future budget gaps.
Looking ahead, schools continue to face mounting fiscal pressures, including rapidly rising costs and declining enrollment. Additionally, broader economic uncertainty raises serious concerns about the state’s fiscal outlook in the years ahead.
Read the full summary from ACSA’s Legislative Advocates at https://content.acsa.org/2025-26-final-state-budget-summary.