CaliforniaSB 1482025-2026 Regular SessionSenateWALLET

Budget Act of 2025.

Sponsored By: Sponsor information unavailable

Signed by Governor

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Bill Overview

Analyzed Economic Effects

8 provisions identified: 5 benefits, 0 costs, 3 mixed.

Emergency cash for Dream Act students

For 2025–26, the state provides $20 million for emergency grants to community college students. Grants are for students who filed a California Dream Act Application. Awards are up to $1,400 per student for the academic year. Funds go to districts based on their share of CADAA filers who also received a Cal Grant, and can be reallocated so all eligible CADAA filers get help. The state counts this $20 million as part of school funding totals.

Middle Class Scholarship award rules

For 2022–23 and 2023–24, your award equals your cost of attendance minus other aid, then minus $7,898. Starting in 2024–25, that $7,898 amount changes each year with the state minimum wage. If you qualify for at least $1 and enroll full-time, you get at least $90 a year. Current or former foster youth get the full award and are not cut when funding is short.

More zero-textbook degrees and free materials

The state funds degrees that use free or low-cost materials. Colleges can get up to $200,000 for each zero-textbook-cost degree they develop and launch. They can also get up to $20,000 to develop and curate open educational resources. Up to 3% of program funds can pay a district to help run the program, using a contract that can skip normal bidding. Grants should avoid duplicate degrees and favor transfer-ready pathways.

One-stop Basic Needs help on campuses

Starting July 1, 2022, every community college runs a Basic Needs Center with a dedicated Coordinator. It is a one-stop for food, housing, mental health, clothing, technology, and childcare help. Campuses post and update a public online list of services and contacts each term and add the USDA SNAP Retail Locator by September 1, 2025. They use one application for on-campus basic needs and do outreach to students with food, housing, or mental health needs. The Center connects parenting students to childcare subsidies and may give direct support when funds allow. In 2026–27 and 2027–28, classified employees can use the Center’s food pantry. Centers operate separately from financial aid offices when using these funds.

Stronger MESA support for STEM students

The state sets rules to grow MESA and help more disadvantaged students enter and transfer in STEM. Programs must improve academic support and build partnerships with UC, CSU, employers, and K–12. Starting July 1, 2026, no more than 3.5% of MESA funds can be used for administration. Reserved funds must support statewide coordination and program improvements.

Income and asset caps for MCS

To qualify, you must meet income and asset limits that start in 2022–23. Income caps are $201,000 for dependent students, $133,000 for married independents with no dependents, and $116,000 for single independents. Asset caps are $201,000 for dependents or independents with dependents, and $96,000 for single or married independents with no dependents. The state adjusts these caps each year for cost of living.

One-time CCC funding and payment deferral

For 2025–26, the state moves $49.734 million into the community college funding formula. For that year, certain Budget Act items can also be transferred so money reaches districts. For 2024–25, $243.693 million due in June is paid in July 2025. The Chancellor can adjust the payment schedule, but the total deferral stays the same.

Middle Class Scholarship funded year-to-year

Starting July 1, 2022, the yearly Middle Class Scholarship funding is set in the state’s Budget Act. Before that, funding followed fixed amounts in law.

Sponsors & Cosponsors

Sponsors

There is no primary sponsor on record.

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 120 • No: 22

Senate vote 9/12/2025

Item 106 — Senate SFLOOR

Yes: 29 • No: 0

House vote 9/11/2025

Item 148 — Assembly AFLOOR

Yes: 63 • No: 12

Senate vote 3/20/2025

Item 82 — Senate SFLOOR

Yes: 28 • No: 10

Actions Timeline

  1. Chaptered by Secretary of State. Chapter 745, Statutes of 2025.

    10/13/2025Senate
  2. Approved by the Governor.

    10/13/2025legislature
  3. Enrolled and presented to the Governor at 3:30 p.m.

    9/15/2025legislature
  4. Assembly amendments concurred in. (Ayes 29. Noes 0. Page 2953.) Ordered to engrossing and enrolling.

    9/12/2025Senate
  5. In Senate. Concurrence in Assembly amendments pending.

    9/12/2025Senate
  6. Read third time. Passed. (Ayes 63. Noes 12. Page 3322.) Ordered to the Senate.

    9/11/2025House
  7. Ordered to third reading.

    9/10/2025House
  8. Withdrawn from committee.

    9/10/2025House
  9. Assembly Rule 96 suspended. (Ayes 56. Noes 19. Page 3164.)

    9/10/2025House
  10. From committee with author's amendments. Read second time and amended. Re-referred to Com. on BUDGET.

    9/8/2025House
  11. Referred to Com. on BUDGET.

    3/24/2025House
  12. In Assembly. Read first time. Held at Desk.

    3/20/2025House
  13. Read third time. Passed. (Ayes 28. Noes 10. Page 446.) Ordered to the Assembly.

    3/20/2025Senate
  14. Read second time. Ordered to third reading.

    3/18/2025Senate
  15. Ordered to second reading.

    3/17/2025Senate
  16. Withdrawn from committee. (Ayes 27. Noes 10. Page 384.)

    3/17/2025Senate
  17. Referred to Com. on B. & F. R.

    2/5/2025Senate
  18. From printer. May be acted upon on or after February 23.

    1/24/2025Senate
  19. Introduced. Read first time. To Com. on RLS. for assignment. To print.

    1/23/2025Senate

Bill Text

  • Chaptered

    10/13/2025

  • Enrolled

    9/13/2025

  • Amended Assembly

    9/8/2025

  • Introduced

    1/23/2025

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