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California Bill Bolsters Special Education Funding by $2.4 Billion

The increase raises the per-student rate to $1,340 and adds funding for high-cost services, inclusive classrooms and postsecondary support.

  • Governor Gavin Newsom signed AB 126, the education trailer bill, increasing K-12 special education funding by $2.4 billion, a 43% boost from the 2025 Budget Act.
  • This historic investment represents the largest in California special education history, designed to support more than 800,000 disabled students statewide, according to Assemblymember Stephanie Nguyen's office.
  • Beyond the primary allocation, the budget provides $80 million for extraordinary cost pools, $30 million for the Supporting Inclusive Practices Project, and $25 million for the Inclusive College Technical Assistance Center.
  • California Teachers Association president David Goldberg warned the changes could subject educators to the governor's "political whims," while Chino Valley Unified School District president And Shaw called the shift a "direct assault" on the state constitution.
  • Newsom argued the state "can no longer postpone reforms"; starting in January, the California Department of Education will shift administrative functions to an appointed commissioner, removing management from the state superintendent.
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OC Register broke the news in Orange County, United States on Thursday, July 9, 2026.
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