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California May Budget Revision and Impacts on Charter Schools

Branché Jones

May 18, 2016

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Last week the California Governor Jerry Brown released his May Revision. The Revision amends the budget that he introduced in early January, reflecting the new state revenue projections and any new policy proposals that the administration wants to pursue. The Governor stated that revenues are running $1.9 Billion below projections. As such he is holding firm to his goals of keeping spending down and the budget balanced. This means that he will not support the creation or new programs or the expansion of existing programs. Though Proposition 98 will see a bump specifically: the supplemental and concentration grants in the local control formula will see an increase in the May Revision of $2.9 billion. This will bring implementation of the formula to 96 percent. Additionally, the Governor is continuing his push for a block grant for all early education programs allowing them to be administered by local education authorities. For charter schools specifically the Governor is still including dollars for the charter school start up grants since California no longer qualifies for federal funds. He has also included language in one of the education trailer bills that will allow independent study charter schools to store their records electronically. The legislative budget subcommittees will begin hearing the details of the May Revision this week and forward their recommendations to both houses of the legislature in a few weeks. Then the legislative Joint Budget Conference Committee will begin to hear ‘open’ items with final passage of the budget by June 15th.
Below are links to the Governor’s May Revision and his education trailer bills.
May Revision Budget Summary:
http://www.ebudget.ca.gov/FullBudgetSummary.pdf
Education-related Finance Letters (including related trailer bill language):
http://www.dof.ca.gov/budget/historical/2016-17/may_1_finance_letters/documents/MR%20FL%20Education.pdf

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