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May 14, 2025
Despite Trump Slump, Governor Newsom's revised budget delivers on housing, education, water, and jobs
Tax cut for military retirees
Universal pre-kindergarten for all
Expanded before school, after school, & summer school
Free school meals for all kids
Boosting literacy & reading
Building more housing, ASAP
More water for Californians
Lowering drug costs
Expanding medication abortion access with CalRx
Historic firefighting & public safety investments
SACRAMENTO — Governor Gavin Newsom today released his May Revision proposal for the 2025–26 state budget, putting forward a balanced plan that strengthens California's future — despite economic disruptions caused by federal instability. While adjusting for a projected $11.95 billion shortfall driven by a "Trump Slump" — tariffs disruption, market volatility, and a decline in international tourism that have directly resulted in a staggering $16 billion estimated hit to the state's revenues — and health care cost pressures, the Governor's proposal remains focused on forward-looking investments in housing, education, and infrastructure, while curtailing unsustainable spending.
"California's fundamental values don't change just because the federal winds have shifted. Even as the Trump Slump slows the economy and hits our revenues, we're delivering bold proposals to build more housing, lower costs for working families, and invest in our kids."
Governor Gavin Newsom
More housing, faster
As part of his revised budget, the Governor is proposing a sweeping legislative package to slash red tape, align permitting timelines, and unlock faster, smarter housing development. The proposal streamlines Coastal Commission approvals to match the timelines of other permitting agencies, prioritizes infill and transit-oriented development to reduce toxic pollution and vehicle miles traveled, and support for incorporating pending legislation that would reform CEQA for infill housing and other development projects, along with a housing and infrastructure bond to build more homes, faster.
Lower drug costs and reproductive freedom
California is shining a light on the middlemen who inflate prescription drug prices, while protecting access to essential medications, including abortion pills. The Governor's revised budget leads efforts to license and regulate Pharmacy Benefit Managers (PBMs) for the first time, increasing transparency and accountability in the pharmacy supply chain. It also expands CalRx's authority to procure brand-name drugs and respond to politically motivated supply disruptions, helping shield access to critical medications like mifepristone.
More on The Californer
Securing water for all of California
With climate extremes intensifying, the Governor is fast-tracking modernization of the State Water Project through the Delta Conveyance Project. His proposal streamlines permits and reduces litigation delays to accelerate construction, while protecting water access for 27 million Californians and preparing for a future marked by more severe droughts, floods, and climate volatility.
Students and families
The Governor's revised budget continues transformational investments that make education more accessible. Universal transitional kindergarten is now fully funded for all four-year-olds. Free school meals remain available to every student, and expanded before school, after school, and summer programming will benefit children across the state. The budget also invests $545 million in literacy programs to boost reading outcomes, with a strong focus on supporting multilingual learners.
Public safety and veterans
The Governor's revised budget also includes historic funding in firefighting and emergency response to match escalating wildfire risks, and a tax cut for military retirees, recognizing their service and supporting their financial security.
Smart government, Cap-and-Invest
The budget reflects the Governor's push for a more effective government — including a new state agency to better coordinate housing and homelessness programs, and continued progress on California's Cap-and-Invest program to fund major climate projects like high-speed rail and a utility credit that will put up to $60 billion back into the pockets of Californians through 2045.
Additional details on the May Revise proposal can be found at ebudget.ca.gov.
Para leer este comunicado en español, haga clic aquí.
View the budget presentation
Press releases, Recent news
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A pesar del Tumulto de Trump, el presupuesto revisado del Gobernador Newsom ofrece resultados en materia de vivienda, educación, agua y empleo
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Governor Newsom's budget calls for fast-track of critical water infrastructure project
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News "We're done with barriers. Let's get this built." What you need to know: Governor Newsom today, as part of the May Revise, is announcing a significant proposal to fast-track infrastructure improvements to the State Water Project — saving the state billions...
California's groundbreaking water initiative in Tombstone helps residents access safer and cleaner drinking water
May 13, 2025
News What you need to know: The consolidation of the Tombstone water system location in California's Central Valley will benefit residents who rely on domestic wells. Since Governor Newsom took office, the number of Californians who don't have access to clean drinking...
May 14, 2025
Despite Trump Slump, Governor Newsom's revised budget delivers on housing, education, water, and jobs
Tax cut for military retirees
Universal pre-kindergarten for all
Expanded before school, after school, & summer school
Free school meals for all kids
Boosting literacy & reading
Building more housing, ASAP
More water for Californians
Lowering drug costs
Expanding medication abortion access with CalRx
Historic firefighting & public safety investments
SACRAMENTO — Governor Gavin Newsom today released his May Revision proposal for the 2025–26 state budget, putting forward a balanced plan that strengthens California's future — despite economic disruptions caused by federal instability. While adjusting for a projected $11.95 billion shortfall driven by a "Trump Slump" — tariffs disruption, market volatility, and a decline in international tourism that have directly resulted in a staggering $16 billion estimated hit to the state's revenues — and health care cost pressures, the Governor's proposal remains focused on forward-looking investments in housing, education, and infrastructure, while curtailing unsustainable spending.
"California's fundamental values don't change just because the federal winds have shifted. Even as the Trump Slump slows the economy and hits our revenues, we're delivering bold proposals to build more housing, lower costs for working families, and invest in our kids."
Governor Gavin Newsom
More housing, faster
As part of his revised budget, the Governor is proposing a sweeping legislative package to slash red tape, align permitting timelines, and unlock faster, smarter housing development. The proposal streamlines Coastal Commission approvals to match the timelines of other permitting agencies, prioritizes infill and transit-oriented development to reduce toxic pollution and vehicle miles traveled, and support for incorporating pending legislation that would reform CEQA for infill housing and other development projects, along with a housing and infrastructure bond to build more homes, faster.
Lower drug costs and reproductive freedom
California is shining a light on the middlemen who inflate prescription drug prices, while protecting access to essential medications, including abortion pills. The Governor's revised budget leads efforts to license and regulate Pharmacy Benefit Managers (PBMs) for the first time, increasing transparency and accountability in the pharmacy supply chain. It also expands CalRx's authority to procure brand-name drugs and respond to politically motivated supply disruptions, helping shield access to critical medications like mifepristone.
More on The Californer
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Securing water for all of California
With climate extremes intensifying, the Governor is fast-tracking modernization of the State Water Project through the Delta Conveyance Project. His proposal streamlines permits and reduces litigation delays to accelerate construction, while protecting water access for 27 million Californians and preparing for a future marked by more severe droughts, floods, and climate volatility.
Students and families
The Governor's revised budget continues transformational investments that make education more accessible. Universal transitional kindergarten is now fully funded for all four-year-olds. Free school meals remain available to every student, and expanded before school, after school, and summer programming will benefit children across the state. The budget also invests $545 million in literacy programs to boost reading outcomes, with a strong focus on supporting multilingual learners.
Public safety and veterans
The Governor's revised budget also includes historic funding in firefighting and emergency response to match escalating wildfire risks, and a tax cut for military retirees, recognizing their service and supporting their financial security.
Smart government, Cap-and-Invest
The budget reflects the Governor's push for a more effective government — including a new state agency to better coordinate housing and homelessness programs, and continued progress on California's Cap-and-Invest program to fund major climate projects like high-speed rail and a utility credit that will put up to $60 billion back into the pockets of Californians through 2045.
Additional details on the May Revise proposal can be found at ebudget.ca.gov.
Para leer este comunicado en español, haga clic aquí.
View the budget presentation
Press releases, Recent news
https://www.addtoany.com/add_to/facebook?linkur..." rel="nofollow external noopener">https://www.addtoany.com/add_to/x?linkurl=https...">https://www.addtoany.com/add_to/email?linkurl=h...">https://www.addtoany.com/add_to/copy_link?linku...">Recent news
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A pesar del Tumulto de Trump, el presupuesto revisado del Gobernador Newsom ofrece resultados en materia de vivienda, educación, agua y empleo
May 14, 2025
News Reducción de impuestos para jubilados militares Pre-kinder universal para todos Ampliación de programas antes y después de clases y cursos de verano Alimentación escolar gratuita para todos los niños Impulso de la alfabetización y la lectura Construyendo más...
Governor Newsom's budget calls for fast-track of critical water infrastructure project
May 14, 2025
News "We're done with barriers. Let's get this built." What you need to know: Governor Newsom today, as part of the May Revise, is announcing a significant proposal to fast-track infrastructure improvements to the State Water Project — saving the state billions...
California's groundbreaking water initiative in Tombstone helps residents access safer and cleaner drinking water
May 13, 2025
News What you need to know: The consolidation of the Tombstone water system location in California's Central Valley will benefit residents who rely on domestic wells. Since Governor Newsom took office, the number of Californians who don't have access to clean drinking...
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