This year's budget agreement invests hundreds of millions of dollars to build new affordable housing, protects health care by rejecting and delaying many of the cuts brought about by Trump and Republicans, and includes no new taxes on individuals, workers or families.
SACRAMENTO, CA - On Monday, every California Assembly Democrat voted to pass a responsible, compassionate and balanced 2026-27 budget, meeting the voter-mandated deadline of June 15 - and delivering real results for California families, workers and small businesses.
This year's budget agreement between the Assembly and Senate:
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Includes no new taxes on individuals, workers or families
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Invests $1.6 billion to build new affordable housing, including multifamily apartments, and to help people experiencing homelessness secure a place to live
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Protects immigrant communities by delaying many health care cuts brought about by Trump and Republicans
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Rejects Trump-initiated cuts to in-home supportive services for seniors, veterans, and people with disabilities.
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Provides $100 million for CalFood to keep food banks stocked
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Creates more than 20,000 new child care opportunities, with a focus on children under age three
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Delivers $190 million to keep hospitals open and serving communities despite federal cutbacks
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Includes $40 million for women's health care and $26 million for gender-affirming care
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Advances a multibillion dollar housing bond to empower voters to build even more affordable homes
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Funds $750 million for teacher recruitment and adds billions for students
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Invests $50 million for victims of crimes, $10 million for human trafficking and $80 million to protect places of worship
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Sustains ongoing, historic funding in wildfire prevention and mitigation, and fully funds CalFire
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Empowers voters to increase the rainy day fund so Californians can responsibly save
Because of the Trump administration's failing policies, Californians are experiencing a historic surge in gas prices, persistent and rising inflation, and even higher costs for groceries, housing, energy bills and health care.
And while California Democrats are focused on solutions and fighting back against Trump's attacks, 19 Assembly Republicans voted "no" on Monday's budget, denying Californians billions of dollars for health care, affordable homes, new child care options and school classrooms.
What Speaker Robert Rivas Says
"Trump's agenda is broken. Prices are rising and the programs working families depend on most are being stripped away one cut at a time. Our budget is California's answer: protecting health care at all costs, preserving food programs that families truly rely on, funding affordable housing like never before, and setting aside billions in reserves because we know this fight is far from over. We're not waiting for Trump and Republicans to get their act together. Assembly Democrats are delivering real solutions - and we'll never back down."
How Trump is Attacking California Families and Harming Everyone's Budget
Monday's budget vote comes as President Trump continues to ramp-up attacks on California's health system, safety-net programs and economy:
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Because of Trump's H.R. 1 budget plan, up to 2 million Californians could lose Medi-Cal health care coverage. That's more than one out of every 10 Medi-Cal recipients.
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Under Trump's draconian new rules, work reporting requirements would affect health care eligibility and jeopardize coverage for approximately 3.5 million Californians. And another 4.9 million Californians are at risk due to new, twice-yearly eligibility redeterminations.
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An estimated 200,000 legal immigrants - including refugees, asylees and trafficking survivors - will lose federal funding assistance for health care.
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More than 840,000 Californians are newly subject to expanded federal work requirements for food assistance, which means it will be harder to put meals on the table.
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More than 1 million workers, children, seniors and veterans could lose food assistance in California because of Trump.
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California could be forced to absorb up to $2 billion in new CalFresh costs beginning in 2027, further jeopardizing food access for families.
The numbers don't lie - the Trump threat facing California is not hypothetical.
Next Steps for the Budget
The Assembly and Senate will continue to meet with the Governor to work toward a final budget agreement, including additional Assembly Budget Committee hearings. The Governor's deadline to sign the budget is June 29.