The revised plan calls for only a 3% cut, restoring $230 million to the 23-campus CSU system. “It’s good news, but it’s early news,” said state Sen. Christopher Cabaldon.

Under Gov. Gavin Newsom's revised state budget, the proposed funding cuts for UC and CSU are not as bad as the cuts proposed in January.

Gov. Gavin Newsom on Wednesday outlined his administration’s latest version of the 2025-26 budget plan, better known as the May revise. He blamed President Donald Trump and called for changes to the state’s Medi-Cal program to help address the state’s roughly $12 billion estimated shortfall.

Gov. Gavin Newsom proposed closing another prison in his revised budget proposal. Newsom didn’t specify which prison could be closing, but did propose that it could happen by October 2026. The news comes despite the implementation of Proposition 36,

The state confirmed Wednesday that it will pay out $10 million, instead of $30 million, to California newsrooms for the 2025-26 fiscal year.

According to Newsom’s revised budget, an annual cap-and-trade allocation of $1 billion will allow the California High-Speed Rail Authority to count on stable, predictable funding. The authority will be able to plan with “greater certainty” and deliver the project more efficiently, the summary says.

California Gov. Gavin Newsom says the state is staring down an $12 billion budget deficit. The Democratic governor shared the number Wednesday as he laid out his nearly $322 billion state spending plan for the upcoming fiscal year.