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American Rescue Plan Provides Assistance to Millions of Californians

On March 12, President Biden signed the American Rescue Plan (ARP) Act to provide much needed assistance to tens of millions of people, including millions of Californians. The $1.9 trillion federal aid package will bring approximately $150 billion in federal aid to California to help reduce economic hardship for low- and middle-income households, support workers, help schools address learning needs, boost early care and learning, combat housing instability and homelessness, and bolster the economy. This latest round of federal fiscal relief will help reduce hardship as a result of the pandemic, particularly for Californians with low incomes and people of color, and begins to set the stage for a more equitable economic recovery. This report outlines key provisions of the plan and what it means for Californians.

California Budget

The Budget Center’s First Look: Governor’s Proposed 2021-22 Budget

On January 8, Governor Gavin Newsom released his proposed 2021-22 state budget, drawing on stronger-than-expected revenues to call for a series of emergency investments to respond to the public health and economic impacts of the pandemic and provide modest relief for Californians. These much-needed emergency investments, which the governor calls for the Legislature to enact as quickly as possible in the coming weeks, include providing $600 in one-time assistance for Californians with low incomes, extending the state’s eviction moratorium, putting steps in place to reopen schools, and providing small business assistance through loans and tax credits.

California Budget

Understanding Inequitable Taxes on Commercial Properties and Prop. 15

Local tax revenue reflects a community’s shared effort to support vital public services that all Californians need to live in our cities and counties, such as education for students in K-12 schools and community colleges, housing, health care, public parks, and libraries. When tax breaks provide advantages to some taxpayers over others, it not only creates inequities but can also lead to revenue losses that compromise the ability of schools and local communities to provide essential services for Californians. This is the case with commercial and industrial property taxes across California, and why voters will be asked in fall 2020 to vote on Proposition 15, an amendment to the state Constitution that would change how commercial and industrial properties are taxed to provide more revenue for schools and communities.

Ballot Propositions

Taxes & Revenue

First Look: A Budget Center Analysis of California’s 2020-21 State Budget

The 2020-21 California state budget put forward by state leaders recognizes the challenges the state faces and meets state leaders’ Constitutional obligation to enact a balanced budget, the spending plan fails to meet many of the most urgent and basic needs of Californians: ensuring they can safely earn a living in healthy environments and provide food, housing, and health care for their families. Without bolder action, including raising additional revenues and pursuing appropriate borrowing, the enacted 2020-21 budget will exacerbate income and wealth inequality and systemic inequities that permanently leave Californians of color, undocumented residents, and households with low incomes locked out of our state’s prosperity.

California Budget

First Look: Governor Confronts Unprecedented Challenges Amid COVID-19

On May 14, 2020, Governor Gavin Newsom released the May Revision to his proposed 2020-21 state budget. Our state is facing unprecedented challenges as a result of the COVID-19 crisis – an estimated $54 billion state budget shortfall for the current (2019-20) and next (2020-21) fiscal years, a rapid increase in unemployment, and millions of Californians in need of assistance as they confront new challenges to paying rent, buying groceries, and covering the costs of basic needs. The health and economic hardships are especially striking for Black and Latinx Californians, women and children in low-income households, and undocumented Californians. This First Look report summarizes key provisions of the Governor’s May Revision.

California Budget

Federal Fiscal Relief and COVID-19: Implications for Californians

The Coronavirus Aid, Relief, and Economic Security (CARES) Act was signed into law on March 27, 2020 and provides the largest amount of fiscal relief to date – approximately $2 trillion. The CARES Act includes one-time cash rebates for low- and middle-income households; additional support for unemployment benefits; loans for small businesses; direct funding for states, local governments, and tribal communities; funds changes to food assistance in the Families First legislation; an array of additional health care supports; and some additional support for human services, housing and homelessness, and student debt relief. These federal actions are significant and needed. At the same time, millions of Californians are experiencing threats to their health and economic security, and for those excluded from the federal fiscal relief efforts, the economic hardship and health risks are particularly critical.

First Look: A Budget Center Analysis of the Proposed 2020-21 Budget

A Budget Center Analysis of Governor Newsom's Proposed 2020-21 Budget: On January 10, Governor Gavin Newsom released his proposed 2020-21 budget that advances a series of commitments to some of the most pressing needs facing Californians: addressing homelessness and behavioral health, providing access to affordable health coverage, and improving paid family leave so that more workers can care for their family members. The Governor forecasts revenues that are $5.8 billion higher (over a three-year “budget window” from 2018-19 to 2020-21) than previously projected in the 2019-20 budget enacted in June, driven largely by continued economic growth.

California Budget

California’s Bilingual Opportunity: Supporting Students’ Home Languages

Every day, millions of California students come to school with an invaluable asset: living in homes where a language other than English is spoken. However, this asset is often squandered as many of these students do not become literate in their home language. Achieving biliteracy benefits the students who are proficient in more than one language, the schools and colleges they attend, and the communities where these bilingual Californians live and eventually work.