New State Budget Largely Spares Schools

Governor Gavin Newsom signed a $202.1 billion budget for FY 2020-2021 on Monday. Through delayed payment plans, heavy borrowing, and reliance on reserves, the budget avoids many of the painful cuts to education that were initially proposed in the governor’s spending plan.

EdSource has a breakdown of the budget’s most important education-related items, including $11 billion in deferrals, $6.3 billion for virus-related needs, and $2.3 billion in relief to CalPERS and CalSTRS over 2 years. 

The budget is heavily dependent on more federal aid. It contains over $11 billion in cuts that will be reversed depending on what Congress and the president do. If the state does not get $14 billion in federal funds, the next spending plan will force cuts that are far more severe.


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