Higher education spared huge cuts in Gov. Newsom’s budget proposal

Suzanne Potter | California News Service
Gov. Gavin Newsom's new state budget proposal puts off investments in student housing for colleges and universities. Photo Credit: Zetha_Work / Adobe Stock

Education advocates in California say they’re breathing a sigh of relief after higher ed was spared big cuts in Gov. Gavin Newsom’s new budget proposal.

The governor’s office projected a $38 billion budget deficit, which it said will be resolved through a mix of reserve funds and budget trimming.

“Gov. Newsom’s budget proposal really upholds his commitment to maintaining investments in K-12 and in higher ed,” said Jessie Ryan, executive vice president of the Campaign for College Opportunity. “The budget proposal largely protects students from devastating cuts.”

The budget does, however, cut a loan program designed to help universities and colleges build more affordable student housing, and it reduces the Middle-Class Scholarship funding by $289 million.

Newsom’s proposal also does not include funds for the Cal Grant equity framework, which would have given an extra 150,000 low-income students access to Cal Grants. Ryan said the cost of college is a huge obstacle for many families.

“Families are questioning the value of college,” she said. “An expansion of financial aid funding would have been a really important tool to provide low-income, first-generation students and students of color with some certainty that college is within reach.”

Newsom’s proposal also cuts a $300 million state contribution to a new immunology research facility planned at UCLA. Legislators will now start negotiating and must pass a balanced budget by June 15. Support for this reporting was provided by Lumina Foundation.

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