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Proposed Governor's Budget

Pati Ortiz

Here is an initial summary of the major K-12 education proposals from the Governor, courtesy of our lobbying partner, Capitol Advisors. Some portions of the K-12 Trailer Bill will require additional clarity.

Educator Shortage: Recruitment and Retention

  • Proposed changes to the definition of “teacher vacancy” would expand reporting requirements to include positions filled by improperly credentialed teachers.

  • The impact of this change on reporting to state agencies is still being assessed.



  • Loan Repayment for Teachers in Priority Schools

    • $150 million investment to repay student loans (up to $20,000) for educators in schools with at least 55% unduplicated pupils.

    • Payments would be made in $5,000 increments over four years, with service before July 1, 2025, ineligible.

    • A County Office of Education (COE) or consortium would administer the program.


  • NBPTS Certification Incentive Grant

    • Extension of grant program funding to June 30, 2031, with an additional $100 million investment.

    • $10 million allocated for first-time National Board certification fees; remaining funds support $25,000 grants for certified teachers in high-priority schools.


  • K-2 Reading Difficulties Risk Screener

    • $40 million in 2025-26 for Local Educational Agencies (LEAs) to implement literacy screenings for kindergarten through 2nd grade.

    • Funding would support procurement of screening tools and educator training, excluding transitional kindergarten (TK) students.


  • IEP Digitization

    • $1 million (one-time) in 2025-26 for the California Collaborative for Education Excellence (CCEE) to digitize the state’s standardized Individualized Education Plan (IEP) template.

    • A contracted vendor will develop a dynamic software platform with features for drafting IEPs, managing data, tracking services, and generating reports.

    • A public-facing interactive digital IEP template will be made available by June 30, 2026.

    • An additional $1 million is proposed for a County Office of Education (COE) to translate the digitized IEP into the ten most commonly spoken languages in California (excluding English).


  • Out of Home Care Formula Expansion

    • Beginning in the 2024-25 fiscal year, community treatment facilities will be included in the Out of Home Care funding formula.

    • These facilities provide mental health treatment in a residential group setting with secure containment capacity.

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