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PRESS STATEMENT: GOV NEWSOM RELEASES 2025-26 BUDGET WITH SMALL SURPLUS AMID THREATS FROM WILDFIRES, INCOMING FEDERAL ADMINISTRATION

01.11.25

Media Contact:

Tessie Borden
Senior Communications Manager (323) 559-1895  

LOS ANGELES, CA – Today, Governor Gavin Newsom released his initial proposed budget for 2025-26, a year in which he expects a slight surplus as well as threats from the Trump administration to withhold federal funds, and in which recovery from ongoing, destructive wildfires in the Los Angeles region could significantly affect the availability of disaster relief. Catalyst California's President and CEO, John Kim, had the following response:

“In a year that promises unprecedented threats on many levels, our state’s budget must prioritize protecting California communities made vulnerable by historic injustices, ongoing underinvestment, and newer forces, from a warming climate to a hostile federal administration. 

“We appreciate Gov. Newsom maintaining his commitment to the universal school meals program, community schools, universal transitional kindergarten (TK), and public education funding, alongside new investments to improve literacy and TK student-teacher ratios. 

“While the governor’s commitment to childcare reimbursement rates informed by the true cost of care is vital, it is critical to devote specific funds to ensure that California’s youngest children--and the workforce that serves them--have the resources they need.

"The ongoing wildfires in Los Angeles County are a stark reminder that the $10 billion climate bond investments must be protected. Existing and new investments ensure California can protect itself and rebuild from wildfire disasters that are becoming more common and exponentially more dangerous.

“As the Trump administration seeks to potentially deport millions of immigrants, California must use all the tools at its disposal to protect immigrant students and their families.

“We are also concerned about how the passage of Proposition 36 will slow reductions in the state’s prison population and reduce resources for successful Proposition 47 programs that put our state on a path toward care-centered safety. We reiterate our opposition to recriminalizing minor property crimes and substance use and urge the governor to mitigate the disproportionate harm to communities of color and low-income people that we expect from this measure.

“We call on our state’s government to ensure a social safety net that supports all Californians, particularly historically excluded, vulnerable communities, and now those directly affected by disasters such as the wildfires, coming immigration enforcement, and targeting by ‘tough-on-crime’ measures.”

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Catalyst California (formerly Advancement Project California) advocates for racial justice by building power and transforming public systems. We partner with communities of color, conduct innovative research, develop policies for actionable change, and shift money and power back into our communities.