Governor’s Revised Budget Cuts $1 Billion in Early Education and K-12

California Gov. Gavin Newsom unveiled a revised $288 billion budget proposal Friday amid declining state revenues that have pushed the projected deficit up to $27.6 billion. Newsom’s blueprint calls for $10.7 billion in spending cuts and another $520 million in delays.

Salvaging education funding remains a top priority for the governor, but difficult decisions will still have to be made. The shortfall for T-K and colleges is estimated at $4.2 billion as a result of declining Prop 98 funds. 

Newsom has proposed tapping into nearly all of the rainy day funds for schools – $9 billion. His budget would also allocate $151 less per K-12 student than what was proposed in January. However, the funding would come with a 1% cost of living increase, which is higher than the previous proposal.

The following are among $1 billion in proposed cuts for early education and K-12:

  • $425 million less for the Children and Youth Behavioral Health Initiative  
  • $550 million less for for preschool, TK and kindergarten facility renovations
  • $60.2 million in cuts from the Golden State Teacher Grant Program
  • Payment reductions of $48 million (2025-26) and $98 million (2026-27) for preschools that serve students with disabilities

Newsom would also pause the expansion of state-subsidized child care.

On the college front, Newsom wants to forego increases for the California State University system, and then offer a 2% increase in 2025-26. In January, the plan was to increase funding by 10% over two years.   

“As the institution that educates the evolving workforce of California, this budget places us in a position of making difficult decisions,” said CSU Chancellor Mildred Garcia.

Further details about the budget proposal, including plans for the University of California, are expected Tuesday.

Read more about the May revise at EdSource.



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