The federal government plays a major role in shaping California’s budget, economy, and the well-being of its people. Federal decisions on funding, regulations, and policy changes directly affect vital programs that millions of Californians rely on — including health care, education, housing, food assistance, and more.
While federal policies have significant implications, California policymakers have choices in how to respond. From raising revenues to offset some federal cuts to enacting state-level protections, state leaders can take steps to support Californians and uphold California values in the face of harmful federal policies.
This page provides insights, analysis, and research on key federal policies that impact California. The Budget Center and our partners are tracking how federal budget decisions, tax policies, and Trump administration actions influence the state’s ability to invest in services that support economic security and expand opportunities for Californians with low and middle incomes.
Partner Resources on Federal Policy
- Center on Budget and Policy Priorities
- California Association of Food Banks
- California Health Care Foundation
- Economic Policy Institute
- Health Access
- Institute on Taxation and Economic Policy
- UC Berkeley Labor Center
- Urban Institute
What's New
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Report
Paperwork Over People: Why Republican “Work Requirements” Fail Families
key takeaway Republican budget proposals would impose harsh and ineffective “work requirements” that restrict access to health care, food, and other necessities for millions of Americans. These “work requirements” are just paperwork barriers, not solutions. Federal policymakers should reject them. All Californians, no matter their race, gender, or zip code, deserve to have affordable health …Federal PolicyHealth & Safety Net -
Fact Sheet
Republicans Are Pushing Medicaid Cuts — Here’s How They’d Affect California
Congressional Republicans and the Trump administration are pushing for proposals to cut Medicaid funding in favor of extended tax breaks for the wealthy. These cuts threaten critical health care for millions of people across the state, including children, pregnant individuals, seniors, and people with disabilities. Without access to health coverage, Californians would face impossible choices …Federal PolicyHealth & Safety Net -
Q&A
Q&A: Understanding Medi-Cal Coverage, Funding, and the Threat of Federal Cuts
Medi-Cal saves lives. It’s a lifeline that provides free or low-cost health coverage for over one-third of California’s population. Yet Congressional Republicans and the Trump administration are actively pushing proposals to cut Medicaid funding in favor of tax breaks for the wealthy. Such cuts would mean taking critical care away from millions of people across …Federal PolicyHealth & Safety Net -
Fact Sheet
CalFresh Provides Essential Support for Californians Struggling with Poverty
The Supplemental Nutrition Assistance Program (SNAP) — known as CalFresh in California — is the state’s most powerful tool to fight hunger. CalFresh provides modest monthly assistance to over 5 million Californians with low incomes to purchase food. While CalFresh participation varies across the state, in nearly three-quarters of congressional districts, over 1 in 10 …Federal PolicyHealth & Safety Net -
Fact Sheet
Is California a Donor State? Here’s How Much It Pays to the Feds vs. What It Gets Back
California residents and businesses contribute $83 billion more than the state receives in federal spending. Why is there a gap? On the spending side: On the revenue side: These points help to illustrate why the $83 billion gap exists in California. However, with devastating funding cuts on the policy agenda in Washington, DC, it’s worth …California BudgetFederal Policy
