Senator Cervantes’ Statement on the 2026-27 State Budget Signed by Governor Gavin Newsom

(SACRAMENTO, CA) – On Monday, Governor Gavin Newsom signed the 2026-27 state budget, delivering key investments that protect essential services, strengthen local communities, and help families navigate continued uncertainty caused by federal funding cuts.

“California made responsible choices to protect the programs families rely on every day while continuing to invest in our future. This balanced, fiscally responsible budget protects healthcare, childcare, and access to justice while building our rainy-day fund to prepare for future challenges,” said Senator Sabrina Cervantes (D-Riverside).

The budget prioritizes investments that matter most to everyday Californians, including: 

• Protecting access to healthcare with $1 billion to support community clinics, helping keep hospitals and clinics open, expand dental care, and ensure families can continue receiving care close to home.
• $500 million in enhanced state Low-Income Housing Tax Credits and $200 million for the Multifamily Housing Program to build more affordable housing.
• $900 million for Homeless Housing, Assistance, and Prevention (HHAP) program to continue reducing homelessness and expand affordable housing opportunities.
• Protecting In-Home Supportive Services (IHSS) so seniors and people with disabilities can continue living safely and independently in their homes.
• Expanding access to justice through $175 million for immigration legal aid, helping families navigate complex legal challenges and protecting due process.
• Investing in California's courts with funding for new judgeships, courthouse maintenance, and construction projects that improve access to justice in growing and underserved communities.
• Holding large corporations accountable by strengthening oversight of taxpayer-funded subsidies.
• Expanding new childcare slots, making it easier for working families to find affordable, reliable care.

“This budget reflects our values. We protected the essential services families count on while making strategic investments that strengthen our communities and create opportunity,” the Senator added. “California continues to lead by investing in people.”

Additional investments in the 2026-27 budget include:

• $166.9 million for the Middle Class Scholarship Program to help more students afford higher education
• $100 million for the Disaster Rebuilding Fund to expand availability and affordability of construction loans after disasters
• $237 million to protect CalFresh benefits for Californians experiencing food insecurity
• $100 million for local food banks through the CalFood program
• $30 million one-time support for LGBTQ+ Resource Centers
• 43% increase in funding for special education, the largest increase in California history

“I am grateful to Governor Newsom, Senate President pro Tempore Limón, and Assembly Speaker Rivas for their leadership and collaboration in shaping the groundwork for a brighter tomorrow for all Californians,” Senator Cervantes concluded.

For California FY 2026-27 budget details, visit California Budget.

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