Governor Newsom started off the 2023-24 budget process on January 10 with a $223.6 billion proposal. Facing lower revenues than expected last year and a budget deficit projected at $22.5 billion by the Department of Finance, the January budget proposal is cautionary. Since the 2022-23 enacted budget anticipated a different budgetary landscape and included significant one-time expenditures, the governor’s initial proposal includes few cuts to education and does not draw on the available rainy-day reserves. Protecting education funding, the proposal also fully funds the statutory COLA, which is estimated at 8.13% at this time.
With the 2023-2024 California Legislative Session beginning, the CFT will be engaging in a new environment at the state Capitol. With several education champions reaching their term limits, and a large sector of the legislative staff turning over, the Legislative Department will be focusing on building new relationships with newly-elected legislators and their staff.
Governor Newsom signed six union bills at the end of September that the CFT successfully lobbied in both houses of the Legislature. The CFT had sponsored or co-sponsored 16 legislative bills alongside several budget proposals in the last year of the 2020-22 legislative session. A majority of these priorities made it to the governor’s desk or were included in the state budget, with only one bill being vetoed by the governor.
On September 30, Governor Newsom signed the final budget trailer bills sent to him by the Legislature after passing the bills and a “budget junior” on August 31. Budget trailer bills are created by the Committee on Budget to provide technical language for the implementation of fiscal allocations. The budget junior bill includes additional allocations as well as additional items necessary for implementation of some July budget expenditures.
The budget-related bills go into effect immediately. CFT priorities in the budget trailer bills are listed below.
Governor Newsom and the state Legislature reached agreement on a $235 billion state budget for fiscal year 2022-23, with Proposition 98 funding for K-14 education totaling $35.8 billion more than the previous year’s allocation.
Spending for TK-12 education totals $128.6 billion and provides per pupil funding of $22,893 (including monies from all sources) and $16,993 per pupil from Prop 98. The community college budget totals $13.4 billion (including $12.6 billion in Prop 98 funds) and, significantly, increases the ongoing funding for part-time faculty healthcare by $200 million per year.
Funding for part-time community college faculty healthcare secured
Governor Newsom signed the final state budget on Friday, June 30 after the governor and state legislators reached agreement on the 2022-23 budget over the weekend. The deal includes record levels of funding for public education and the $200 million to support part-time faculty healthcare that CFT has been championing throughout this budget process.
Newsom keeps $200 million in ongoing funding for part-time faculty healthcare
Governor Newsom proposed significant increases for education and a 6.56% cost-of-living adjustment (COLA) in his revised proposal of the 2022-23 state budget released May 13. Education funding accounts for the majority of state budget expenditures, but the governor also proposes an inflation relief package and monies to combat housing insecurity.
As the state Legislature embarks on its second year of the 2021-22 session, the COVID-19 pandemic continues to play a major role in education policy by exacerbating the decline in student enrollment and creating staff shortages with more educators retiring than are being hired.
Governor Newsom introduced a $286.4 billion budget proposal for 2022-23 on January 10. The proposed budget is 9% larger than last year’s record high budget, largely because of tax receipts that were even higher than expected. The governor’s office is anticipating a $21 billion discretionary surplus for 2022-23 and this includes billions more for education.
Governor Newsom proposed significant increases for education and a 5.33% Cost-of-Living Adjustment (COLA) in his state budget for 2022-23 released January 8. In his proposal, the governor addressed five concurrent state crises — COVID-19, climate change, inequality, homelessness, and public safety — several of which are reflected in the education budget. This budget is a preliminary proposal subject to negotiations with the Legislature and will be revised in May, with its final passage in June.
The CFT campaign to secure healthcare for part-time faculty in the community colleges is up and running, and it’s clear that member action has already led to early success in Sacramento.
During the holiday break, 1,400 people sent letters to Governor Newsom and key legislators demanding funding for part-time faculty healthcare. As a result of these efforts, the governor allocated $200 million in his January 10 state budget proposal to fund healthcare for part-time faculty on an ongoing basis. This increase represents more than 400 times the level of funding in the existing state program.
Each November, the Legislative Analyst’s Office (the non-partisan advisor for the state Legislature) prepares a fiscal outlook in anticipation of the state budget process that kicks off in January with the governor’s budget proposal.
Overall, revenues are growing at historic rates and the LAO estimates the state will have a $31 billion surplus to allocate in 2022‑23. The Proposition 98 guarantee for schools and community colleges is estimated to be $11.6 billion (12.4% above the 2021-22 enacted budget). LAO estimates $9.5 billion will be available for new commitments and $10.2 billion will be available for one-time spending.
Governor Newsom and the state Legislature came to an agreement on a $263 billion budget that reflects the state’s extraordinary surplus and billions from the latest round of federal stimulus funding from the American Rescue Plan. Spending for K-12 education totals $123.9 billion and is at an all-time high, including the largest ever allocation of Proposition 98 funding for schools and community colleges.
On July 9, Governor Newsom signed a historic education budget with an unprecedented investment in our students and schools.
The California Legislature voted on and passed identical budget bills (AB/SB 129) on June 28, after reaching agreement with the governor about most budget issues. The full budget is $263 billion, thanks to an extraordinary surplus and the latest round of federal stimulus funding from the American Rescue Plan. A few outstanding details will be finalized in trailer bills.
California began the previous budget year with a looming recession forecasted due to the COVID-19 pandemic, and a projected $54 billion deficit. However, due mostly to the inequitable recovery of the stock market, profits from Silicon Valley, and high-income earners that did not lose their jobs, the state now has projected a $75.7 billion surplus.
Governor Newsom introduced his proposed $227 billion budget for 2021-22 on January 8. The proposed budget is starkly different from what lawmakers anticipated when they finalized the 2020-21 budget, largely because of much larger than expected tax receipts.
Gov. Newsom released the annual January budget proposal for the 2021-22 budget year, totaling $227.2 billion on Friday, January 8. The budget is very different from what lawmakers anticipated six months ago, when the 2020-21 budget was finalized, thanks to much larger than expected tax receipts. The proposal includes $34 billion allocated to reserves (including the Public School System Stabilization reserve) and as discretionary surplus funding.
To cap a tumultuous week, today Governor Newsom announced his state budget proposal for the coming year. Despite a struggling economy, and high unemployment, the top line budget numbers are hopeful for public education: a record $85.8 billion for K-14 schools, along with additional funding for teacher recruitment and training, and special education, among other programs. Additionally, the governor estimates that there will be an additional $6.7 billion from the federal government for K-12 as part of the most recent stimulus package.
Each November, the Legislative Analyst’s Office (LAO) is tasked with providing the state Legislature with forecasting of the state’s revenue and budget constraints. Those numbers have just been released to provide a starting point for what to expect in budget negotiations for the California 2021-22 state budget.
Governor Newsom signed Senate Bill 820 into law on September 18, 2020. This budget trailer bill is a technical clean-up bill for Senate Bill 98, which was signed into law on June 29 as part of the 2020-21 state budget. SB 820 contains several clarifications that have an impact on early childhood, preK-12 schools, and higher education.
Major provisions of this bill affect both schools and community colleges. They are listed first, followed by more provisions specific to each division. You can also download our pdf version.
For additional information about SB 820, please contact:
Aimee Shreck Research Director
Ron Rapp Legislative Representative
Telephone (916) 446-2788
As we navigate the global COVID-19 pandemic, Californians are experiencing crises that reach far beyond the immediate public and personal health emergencies. The poorest Californians, disproportionately people of color in the service, hospitality, and healthcare sectors, have either lost their jobs, resulting in a spike to unemployment unlike anything we have seen in our lifetimes, or are risking their health performing essential frontline services.
By Jim Miller, AFT Guild, Local 1931
The COVID-19 crisis and subsequent economic collapse along with the national uprising against police brutality and systemic racism have cast a glaring light on the nature of American inequality on the healthcare, criminal justice, and economic fronts. It has never been clearer that as most Americans struggle, the elite thrive.
Governor Newsom released the May Revision to the 2020-21 state budget on May 14. California began 2020 with a solid fiscal foundation. As the proposal notes, the state started the year with a “strong and diverse economy, historic reserves, and a structurally balanced budget.
The state had eliminated past budgetary debts and deferrals and was making extraordinary payments to reduce pension liabilities. In January, a budget surplus of $5.6 billion was projected for the 2020-21 fiscal year. Revenues through March were running $1.35 billion above projections.
The governor and the Legislature know the COVID-19 pandemic has blown a huge hole in the state budget, but they can’t easily project state revenues or the impact on Proposition 98 — the mechanism that provides K-12 schools and community colleges about 40 percent of the state’s General Fund.
Gov. Newsom released his $222 billion state budget proposal for 2020-21 on Friday, January 10. The proposal continues to invest in his education priorities, including early childhood education, special education, educator recruitment and training, as well as student health and wellness.
On January 10, Gov. Brown released his proposed budget for the 2017-18 fiscal year amidst uncertainty about how federal actions may impact California. Federal funds currently account for more than one-third of the state budget, and according to the California Budget & Policy Center, 7.9 percent of federal dollars currently go to K-12 education and 5.2 percent to higher education.
Gov. Brown made it clear in his May Revision that unless voters renew Proposition 30 in November, California will have to make budget cuts in future years.