California Lawmakers Pass Budget With Billions More for Education as Newsom Negotiations Begin

June 19, 2026 - 04:05

SACRAMENTO -- State lawmakers voted Monday to pass a budget that allocates billions of additional dollars to education, setting the stage for two weeks of closed-door negotiations with Governor Gavin Newsom. The legislative plan relies on higher revenue projections than the governor's own proposal, creating a clear divide over spending priorities as the June 15 constitutional deadline approaches.

The Assembly and Senate approved the spending plan largely along party lines, with Democrats praising the increased investment in K-12 schools and community colleges. The budget includes funding for expanded after-school programs, special education services, and teacher training initiatives. It also proposes cost-of-living adjustments for school districts that exceed Newsom's earlier estimates.

Republicans criticized the plan as fiscally irresponsible, arguing that the higher revenue assumptions are too optimistic given ongoing economic uncertainty. They warned that the state could face budget shortfalls in future years if the projections fail to materialize.

Newsom has not yet endorsed the legislative version. His office indicated that negotiations will focus on aligning revenue forecasts and ensuring long-term fiscal stability. The governor has previously emphasized the need for reserve funds and one-time spending rather than ongoing commitments.

The budget now moves to a conference committee, where differences must be resolved before a final vote. Key areas of disagreement include funding levels for health care, housing, and climate programs. Lawmakers aim to send a finalized budget to Newsom's desk by June 15.