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Revised California Budget Navigates the Deficit and Minimizes Harm to College Students and Institutions

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In response to Governor Newsom’s May Revision of the Fiscal Year (FY) 2025-26 California state budget, the following statement can be attributed to Emmanuel Rodriguez, Senior Director of Policy & Advocacy, California at The Institute for College Access & Success (TICAS):

“Governor Newsom’s revised budget protects critical state financial aid dollars and provides some relief to public colleges and universities facing cuts, despite a growing budget shortfall. We applaud the Administration and Legislature’s ongoing commitment to minimizing harm to students and protecting core higher education programs – including reducing the base funding cuts for public universities from 7.95 percent to 3 percent, maintaining Cal Grant funding and providing emergency financial support so that Middle Class Scholarship recipients do not see a reduction in their awards during the 24-25 academic year.

Protecting need-based aid and ensuring access to affordable postsecondary pathways are essential to California’s economic resilience. Moving forward, we ask that the Governor and Legislature prioritize the vulnerable student populations who have forgone federal financial aid due to data privacy concerns with the FAFSA and identify ways to backfill some of their lost aid.

California must also act quickly to reinforce student protections in the face of weakening federal oversight in higher education. We commend and support the Governor for requesting that the Bureau for Private and Postsecondary Education has the resources and statuatory changes it needs to protect students, especially those targeted by predatory for-profit programs.

“As state lawmakers and the Governor work to craft a final fiscal year 25-26 budget, we encourage policymakers to take advantage of low-cost but meaningful opportunities to combat federal action that decrease college access and affordability. This can be accomplished by increasing funding for CSAC’s financial aid communication and outreach efforts, as well as by making permanent last year’s FAFSA completion support funds provided to financial aid offices across California’s community colleges.

“We look forward to working with the Governor and Legislature to build on their legacy of providing accessible and affordable higher education as a cornerstone of long-term economic security for both students and the state’s economy.”


 

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