Governor Newsom and the state legislature reached a deal on the 2025-26 budget, which includes about $228 billion in General Fund spending, $89 billion from special funds, and $4 billion from bonds. The budget aims to strike a balance in a time of uncertainty—scaling back or delaying some of the more severe proposed cuts to safety net programs to ensure essential services remain intact. The state will also use part of its rainy day fund and other reserves to help cover the gaps. However we are starting to see long-term cost reductions, including a Medi-Cal freeze for undocumented individuals starting January 2026, among others. The plan invests in wildfire prevention and response by increasing staffing and resources, keeps affordable housing a priority, and sets the stage for the next $500 million round of local homelessness funding. Notably, the budget avoids any new taxes on individuals, families, or small businesses.
Education was largely protected from the deeper cuts seen in other areas of the state budget, with total funding in the K-14 space coming in at approximately $114.6 billion. We’re excited and grateful that the final budget includes dedicated funding for the statewide implementation plan of the English Learner Roadmap.
The legislature started its summer recess on July 18, and will remain out until August 18—when members return for a final month to wrap up voting on remaining bills to then send them to the governor for approval.
Below are a few key education highlights:
Literacy Roundup:
The conversation around improving literacy outcomes in California has been ongoing for the past few years. This year, thanks to the leadership of Speaker Robert Rivas and extensive negotiations, a compromise bill came in AB 1454 (Rivas, Muratsuchi, Rubio)—a comprehensive literacy proposal that is now in the California Senate Appropriations Committee.
At its core, AB 1454 ensures that both teacher credentialing and instructional materials are aligned with evidence-based practices for foundational reading skills. This includes explicit and systematic instruction in key areas such as print concepts, phonological awareness, phonics and word recognition, fluency, oral language, vocabulary, background knowledge, and comprehension. The bill also emphasizes tiered support for students with reading difficulties, English learners, and students with exceptional needs. Californians Together Executive Director Martha Hernandez was proud to take part in a press conference with the governor to introduce the state’s new literacy agenda.
Key provisions of the bill include:
- Updated Teacher & Administrator Credentialing: By 2028, teacher and administrator preparation programs must include training on effective, evidence-based literacy instruction aligned to the state’s English Language Arts/English Language Development (ELA/ELD) framework and dyslexia guidelines.
- New K–8 Instructional Materials Adoption: The State Board of Education (SBE) will adopt new ELA/ELD materials by January 2027, grounded in research-based practices and aligned to current state frameworks. Through our letter, we requested that despite the short timeline, materials are thoughtfully designed to meet the needs of California’s diverse populations and that these materials build on each student’s linguistic assets.
- $200 million one-time Proposition 98 funds to support evidence-based professional learning for elementary teachers, aligned with California’s English Language Arts/English Language Development Framework. The budget also establishes a statewide process for vetting and approving high-quality professional development programs. The funding for professional development is connected to AB 1454.
- $215 million one-time Proposition 98 General Fund for the Literacy Coaches and Reading Specialists Grant Program, with $15 million dedicated to training.
Notably, the math coaching component that had previously been discussed was removed from the final proposal. This reaffirms a focused state commitment to foundational literacy and reading supports—especially essential for students who are learning English. - Provides $7.5 million, one-time Proposition 98 through 2029-30, for a new Literacy Network in the Statewide System of Support.
- Includes new regional lead English learner focus within the Literacy Network and State System of Support, with additional $2 million ongoing Prop 98 funding.
- Includes $40 million one-time Proposition 98 General Fund for professional development and instrument acquisition for the implementation of universal literacy screenings in 2025-26, and statutory changes to allow school employees, rather than solely educators, administer the screenings.
- Appropriates $10 million one-time Proposition 98 General Fund to a county office of education selected to administer the California Dyslexia Initiative to partner with University of California, San Francisco Dyslexia Center to perform various activities to support screening for reading difficulties.
Additional Items:
- Led by our partners at Early Edge, and co-sponsored by Californians Together and the California Association for Bilingual Education, the budget includes a one-time allocation of $10 million from Proposition 98 to the State Superintendent of Public Instruction (SSPI). This funding will support the use of English language proficiency screeners for transitional kindergarten (TK) dual language learners and authorizes the SSPI to adopt a screener for children ages 3 to 5 in TK classrooms. The budget also includes an ongoing Local Control Funding Formula backfill to account for TK English learners.
- $1.7 billion one-time Proposition 98 for a Student Support and Discretionary Block Grant, to be allocated based on average daily attendance.
This block grant provides local educational agencies (LEAs) with flexible resources to address district-specific priorities, including professional development in English Language Arts and mathematics. The funding may be used over four fiscal years and is meant to help LEAs manage unexpected or unbudgeted one-time costs.
- $2 million one-time General Fund is allocated for the digitization and multi-language translation of California’s Individualized Education Program (IEP) template, provided federal IDEA funds are not available.This investment is an important step toward improving accessibility for families of English learners and other multilingual families navigating the IEP process.
- Provides an additional $2.1 billion funding for the final year of Universal Transitional Kindergarten (UTK) implementation, including $1.2 billion ongoing for 10:1 UTK child to staff ratios.
- Increases the Expanded Learning Opportunities Program by $525.5 million ongoing, for the projected cost of full program implementation and increased costs to serve all unduplicated pupils, grades TK-6, in all local education agencies. Expands Tier 1 service standards and funding to all concentration grant local education agencies beginning January 1, 2026. Increases the minimum grant to $100,000. Clarifies “offering” of services requirements, and sets Tier 2 rate at no less than $1,575 per pupil for the Budget Year.
As we head into the final stretch of the legislative session, Californians Together remains deeply committed to advocating for policies and investments that honor and uplift our state’s multilingual learners. We are encouraged by the progress reflected in this year’s budget—particularly the inclusion of funding for the English Learner Roadmap and the English learner regional leads. With the everchanging federal landscape, we will continue to stay vigilant, advocate, and adjust to ensure our students are not left behind. We thank our coalition members and community advocates for standing with us, and we invite you to stay connected and involved as we push forward together.