July 2025

Proposition 98 Overview

2024-25 Changes in Proposition 98 Spending

(In Millions)

2024-25 Budget Act Spending $115,283
Technical Adjustments $716
Proposition 98 Reserve  
Reduction of discretionary deposit -$599a
K-12 Education  
Discretionary block grant $1,020b
Student teacher stipends 300
Literacy coaches 215
Literacy instruction professional development 200
Local Control Funding Formula (LCFF) cost shift from 2025-26 193
Universal school meals block grant 160
Career technical education (pending legislation) 150
LCFF cost shift from 2023-24 72
Reading difficulties screening administration 40
Mathematics Professional Learning Partnership 30
Special Olympics 30
Children and Youth Behavioral Health Initiative bridge funding 20
Secondary school redesign pilot 10
Reading difficulties screening tool 10
Special education unspent funding -173
Subtotal ($2,278)
California Community Colleges  
2024-25 apportionments shortfall coverage $210
Enrollment growthc 100
Student support block grant 60
Career passports 25
Credit for prior learning 15
Dreamer Resource Liaisons 15
EMT/paramedic preapprenticeships 10
Healthy School Food Pathway program 10
eTranscript backfilld 7
Financial aid outreach 5
Los Angeles regional workforce development initiative 5
Santa Rosa Junior College fire academy tower e
2024-25 apportionments costs covered with reappropriations -110
Subtotal ($352)
Unallocated funds (settle up)f $1,917
Total Changes $4,663
2024-25 Revised Spending $119,946
aThe 2025-26 budget package includes a $455 million deposit into the Proposition 98 Reserve for 2024-25.
bThe 2025-26 budget package also provides $654 million in 2025-26, $23 million in 2023-24, and $3.3 million in reappropriated funds for this purpose.
cThe 2025-26 budget package increases the 2024-25 enrollment growth target by 1.78 percentage points (from 0.5 percent to 2.28 percent). It also funds 0.57 percent growth beginning in 2025-26, bringing the total amount of growth added across the two years to 2.35 percent.
dThe 2024-25 Budget Act authorized $12 million in reappropriated Proposition 98 funds for this purpose, but only $5.4 million was available. The 2025-26 budget package covers the shortfall.
eBudget provides $125,000 for this purpose.
fThe state is required to allocate this amount for schools and community colleges in the future, assuming no changes to the estimate of the Proposition 98 guarantee.
EMT = emergency medical technician.