Gov. Newsom, California lawmakers are close to reaching budget deal
- California’s Legislature and Governor Gavin Newsom are nearing an agreement on a $321.1 billion state budget plan that aims to address a projected $12 billion deficit.
- After weeks of discussions, the budget agreement aims to address deficits resulting from overspending, increased Medi-Cal expenses, and previously underestimated costs related to providing health services for 1.6 million undocumented immigrants with limited income.
- The deal protects public transit funding by reversing proposed cuts and includes a $750 million interest-free loan for Bay Area agencies, $500 million for homelessness programs, and expands the film tax credit to $750 million.
- The governor proposed spending $1.3 billion to raise base provider rates, calling it "consistent with the rules," while the California Medical Association criticized fund diversions as a violation of voter trust.
- The budget requires passing housing reform legislation by Monday, freezes new undocumented adult enrollment starting January 1, 2026, and relies on tapping reserves and borrowing but signals ongoing financial challenges.
19 Articles
19 Articles

Newsom agrees to ease budget cuts as California seeks more time to fix growing deficit
The budget deal between Gov. Gavin Newsom and the Legislature forgoes or delays many of Newsom’s proposed cuts, but the deficit is only likely to grow.
A Quick Look at the Middle Part of the California Legislative Session – California Globe
What generally happens in the middle part of the California Legislative Session? Immediately after the house of origin deadline, the budget deliberations are in full swing and bills must quickly be considered in the second house. The first half of June is spent mainly on the adoption of the budget bill as well as about two dozen trailer bills, which often implement significant statutory changes as part of the adoption of the state budget. For th…
Newsom, Democrats reach $321 billion California budget deal
The spending plan reflects resistance to making sweeping cuts to reduce a $12 billion budget deficit expected in the year ahead, with Democratic lawmakers citing uncertainty about the scope of California's financial problems.
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- 44% of the sources lean Left, 44% of the sources are Center
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