NextGen California shares updates after the release of the Governor’s May Revise and suspense file work of the Senate and Assembly Appropriations Committees
SACRAMENTO, CA, UNITED STATES, May 18, 2026 /EINPresswire.com/ — On May 14th, Governor Newsom unveiled his annual May Budget Revision, which is an update to his 2026-27 California State Budget released earlier this year. The May Revision features a more accurate picture of the state’s revenue and economic outlook, particularly in light of the fiscal consequences of the actions of the current federal administration.
The Governor’s revised proposal touts a General Fund budget of $246.6 billion and the budget is structured to completely eliminate projected deficits for both 2026-27 as well as 2027-28. The Governor’s revised budget also outlines various funding shifts, new program investments, as well as cuts to keep the state’s books balanced, reflecting a number of difficult fiscal and policy decisions. To meet constitutional deadlines for passage of the budget, from now until June 15th, the Governor and the Legislature will be engaged in intense negotiations to develop and vote on the final 2026-27 state budget. However, as in previous years, it is highly likely that negotiations on the final budget and accompanying trailer bills will continue right up to July 1st when the state’s new fiscal year begins.
Given the positive revenue forecasts, California appears to be in a strong position to grapple with and weather the financial repercussions of the federal administration’s war in Iran, gas price inflation, federal funding cuts to essential programs, and other external and internal factors. California has the fourth largest economy in the world composed of very diverse sectors including agriculture, technology, manufacturing, and film and television. The approach we take to balance our budget and plan for the future will be a shining example of how states can navigate the challenges imposed by federal government actions while continuing to prioritize and support vulnerable populations and communities.
The Governor’s revised state budget mainly focuses on stabilizing the state’s budget long term. However, the Governor offers a few new and ongoing investments in programs that: support older and returning adult learners through the implementation of the federal Workforce Pell program; tackle food insecurity by maintaining California’s leadership providing free and healthy school meals; and defend the legal rights of California’s immigrant communities, including those who are facing immigration court proceedings.
NextGen California appreciates the Governor and his staff for creating a balanced budget that eliminates projected deficits but will continue to work with the Administration and Legislators to find ways to go further in strengthening programs that serve frontline communities. To do so, NextGen California encourages policymakers to consider the lack of funding or the need for more funding for programs that combat the climate crisis like Cap-and-Invest; improve digital equity and accessibility for low-income and rural communities across California; expand educational opportunities; and strengthen the state’s workforce training delivery system through apprenticeships, to name a few examples.
Statement from NextGen California Executive Director, Arnold Sowell Jr.:
“In his final budget proposal, Governor Newsom will ensure that the state is on sound fiscal footing. We thank Governor Newsom for his years of leadership supporting and protecting the state’s many diverse communities — from addressing the disparate impacts of climate change, to ensuring our children have healthy school meals and making large investments to address California’s digital divide,” said Arnold Sowell Jr., Executive Director of NextGen California. “However, as California continues to feel the impact of Trump’s reckless war in Iran and budget cuts to core public services, NextGen California urges the Governor to go further in his final year to maintain investments in crucial areas that benefit all Californians. This includes cementing California’s progressive climate leadership, increasing access to higher education, protecting student loan borrowers, and investing more in workforce development innovation. As NextGen California celebrates its 10th anniversary this year, our team is more motivated than ever to fight for progressive policy changes that will create a more equitable, prosperous, and climate resilient California for all.”
In addition to the Governor’s May Revise, on May 14th the Senate and Assembly Appropriations Committees announced which bills will be held on their respective Suspense Files, narrowing the overall bill universe that the Legislature will continue deliberating throughout the rest of the year. NextGen California is thrilled to highlight just a few of our priority bills that successfully made it through the Appropriations’ process:
Workforce Development – AB 2301 (Soria): Nursing Degrees at Community Colleges, will establish a pilot program of 10 community colleges to offer a Bachelor’s Degree program in nursing.
Protect Immigrants – AB 1807 (Gabriel): No State Property Used for Immigration Enforcement, will ban the use of any state property for immigration enforcement purposes.
Food Insecurity – AB 1857 (Aguiar-Curry): The Grocery Store Access Act, will prohibit restrictive covenants in leases that stop new grocery stores from opening quickly in specific locations.
Inclusive Democracy – SB 1164 (Cervantes): Expanded CA Voter Rights Act will prohibit all forms of voter discrimination.
NextGen California is disappointed to see other priority bills cut short this year, but remains committed to continuing to fight for progressive policies such as: increasing access to legal counsel for immigrant communities (AB 2600, Bonta); food benefits for college students (SB 961, Ashby); reestablishing the California Healthy Food Financing Initiative (AB 2213, Lee); and cementing racial equity planning in state agency strategic planning(AB 1823, Jackson).
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NextGen California is a nonprofit advocacy organization that breaks down barriers and rebalances power in the State Capitol on behalf of all Californians.
Tyler Bushnell
NextGen California
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