State Budget Updates

This page contains the most recent CSEA updates on the California state budget and how it will impact classified employees and public education.

Governor Signs 2017-18 Budget


Governor Jerry Brown signed a balanced, on-time state budget that increases school funding, provides additional funding for the state's rainy-day reserves, and continues to invest in the Medi-Cal program. The budget also includes language to protect the rights of new workers and provides an additional $25 million for the California Classified School Employee Teacher Credentialing program. 

Although the Governor has line-item veto authority, he honored the budget agreement that he made with Assembly Speaker Anthony Rendon and Senate President pro Tempore Kevin de Leon and did not exercise his authority on any part of the budget. 

Education Budget

The Budget provides K-12 schools and community colleges with $3.1 billion above the revised 2016-17 funding level, bringing the 2017-18 funding level to $74.5 billion, another all-time high for school funding. K-12 schools will receive an additional $1.36 billion in 2017-18 for the Local Control Funding Formula. 

New Employee Orientation

The budget agreement includes a key new piece of legislation to protect the rights of new workers. Assembly Bill 119 (Committee on Budget) requires all public employers (including school districts, County Offices of Education, and college districts) to give the exclusive representative access to new employee orientations. The bill also requires public employers to notify the exclusive representative of a new hire. CSEA and our union allies have been working on legislation to ensure that new public employees hear directly from their unions on their rights and benefits. Allowing unions to be part of the orientation process is good public policy because it ensures that workers know all their rights, benefits, and work protocols as they start their new employment. With the Governor's signature, this provision is in effect immediately. 

Classified School Employee Teacher Training Credential

The budget also includes $25 million to provide an additional 1,000 grants under the Classified School Employee Teacher Credentialing Program. This funding is in addition to the $20 million that was allocated in the current fiscal year. The Classified School Employee Teacher Credentialing Program, created through legislation sponsored by CSEA, provides a career ladder for classified school employees interested in obtaining their teaching credential.

Major K-12 Education Highlights

Proposition 98 Funding - Establishes the overall Proposition 98 funding level at $74.5 billion for 2017-18. This represents a $3.1 billion increase over the 2016-17 fiscal year.

Local Control Funding Formula (LCFF) - Provides $1.36 billion in new LCFF funding for school districts. This includes a cost of living adjustment (COLA) of 1.56 percent for school districts, County Offices of Education (COEs), and charter schools. 

(A COLA of 1.56 percent for school districts, COEs and charter schools is provided within the increases for LCFF. Caution: the amount of discretionary increases in a district budget can be different from the COLA.) 

One-Time Discretionary Funding (Mandate Backlog) - Provides $876 million in one-time discretionary funding to be allocated in 2017-18, this funding also pays down the K-12 education mandates backlog.

Afterschool Education and Safety Program - Provides $50 million in ongoing Proposition 98 funding related to increased costs for the program. 
Classified School Employee Teacher Credentialing Program - Provides $25 million on top of the $20 million in one-time Proposition 98 funding in the current year to support CSEA 's sponsored legislation that establishes the Classified School Employee Teacher Credentialing Program.

County Offices of Education (COE) Workload - Provides $7 million in ongoing funding for COE workload associated with the development, review and approval of Local Accountability Plans (LCAP). 

Major Community College Highlights

Increased Operating Expenses - Provides $184 million for support of increased operating expenses in areas such as employee benefits, facilities, professional development, and other general expenses. 

Cost-of-Living Adjustment (COLA) - Provides approximately $102 million, to reflect a COLA that increased from 1.48 percent to 1.56 percent for apportionments. 

Student Access - Proposes $57.8 million to fund 1 percent enrollment growth. 

Guided Pathways - Provides $150 million one-time funds to the Guided Pathways Program, an approach to improving student outcomes. 

Deferred Maintenance and Instructional Equipment - Provides approximately $77 million for deferred maintenance, instructional equipment, and specified water conservation projects. 

Community College Completion Grant -
Provides $25 million to fund grants to aid students who are on track to receive their associates degree or transfer to a four-year university within 2 years. 

Early Education 

The budget restores funding for child care and preschool programs agreed to in the 2016 Budget Act. These funds had been cut in the January budget proposal. The restoration includes: 

  • $67.6 million ($43.7 million Proposition 98 and $23.9 million non-Proposition 98 General Fund) to provide the full 10 percent increase to the reimbursement rate for State Preschool and center based child care providers and an additional $92.7 million ($60.7 million Proposition 98 and $32 million non-Proposition 98 General Fund) to provide an additional six percent increase beginning July 1, 2017.
  • $7.9 million in Proposition 98 funding for the initial payment toward an additional 2,959 full-day State Preschool slots.