January 2025

Proposition 98 Overview

2025-26 Changes in Proposition 98 Spending

(In Millions)

Revised 2024-25 Proposition 98 Spending $117,623
Technical Adjustments  
Prior year one-time adjustments -$6,288
LCFF growth (0.83 percent) 630
K-12 categorical program growtha 37
LCFF adjustments 25
Other adjustments 17
Subtotal (-$5,579)
Proposition 98 Reserve $376
K-12 Education  
LCFF COLA (2.43 percent) $1,858
TK expansionb 1,065
TK lower student to adult ratios 746
Expanded Learning Opportunity Program 435
Learning Recovery Emergency Block Grant (one time) 379
Literacy and math coaches (one time)c 271
LCFF deferral paydown (one time) 246
COLA for select categorical programs (2.43 percent)d 206
Kitchen infrastructure and training (one time) 150
Teacher Recruitment Incentive Grant (one time) 150
National Board Certified Teacher Certification Incentive Program (one-time) 100
Universal school meals 84
Discretionary block grant (one time) 59e
Training for literacy screenings (one time) 40
TK English language proficiency screeners (one-time) 10
Statewide System of Support: Literacyf 5
K-12 High Speed Network 4
CA College Guidance Initiative 3
Homeless education technical assistance centers 2
IEP template digitization and translation (one time) 2
Instructional framework process reform (one time) 1
FCMAT salary adjustment 1
Subtotal ($5,816)
California Community Colleges  
Pay for 2024-25 deferral (one time) $244
COLA for apportionments (2.43 percent) 230
Systemwide Common Technology Platform, Phase 2 62g
Credit for prior learning and career passports (one time) 32h
Enrollment growth (0.5 percent) 30
COLA for select categorical programs (2.43 percent)i 30
Rising Scholars Network 30
Systemwide Common Technology Platform, Phase 1 29j
Subtotal ($688)
Total Changes $1,301
2025-26 Proposition 98 Spending $118,923
a Applies to Child and Adult Care Food Program, K-12 Mandates Block Grant, and special education.
b Reflects additional LCFF costs associated with serving more students in transitional kindergarten, including costs of existing 12:1 staffing ratios.
c The Governor's budget also includes $229 million in 2024-25 for this purpose.
d Applies to the Foster Youth Program, American Indian Early Childhood Education, Special Education, Child and Adult Care Food Program, Charter School Facility Grant Program, American Indian Education Centers, Equity Multiplier, and K-12 mandates block grant.
e Budget also provides $1.7 billion one-time funding in 2024-25, and $2.8 million in reappropriated funds for this purpose.
f Budget also provides $5 million one-time funding in 2024-25 for this purpose.
g The Governor's budget includes a total of $168 million for this initiative ($62 million one time attributed to 2025-26, $82 million one time attributed to 2024-25, and $24 million one time attributed to 2023-24).
h The Governor's budget includes a total of $100 million for this initiative ($7 million ongoing and $25 million one time attributed to 2025-26, $58 million one time attributed to 2024-25, and $10 million one time in reappropriated funds).
i Applies to the Adult Education Program, apprenticeship programs, CalWORKs student services, campus child care support, Disabled Students Programs and Services, Extended Opportunity Programs and Services, and mandates block grant.
j The Governor's budget includes a total of $163 million for this initiative ($29 million ongoing attributed to 2025-26, $131 million one time attributed to 2024-25, $3,000 one time attributed to 2023-24, and $2.6 million one time in reappropriated funds).
LCFF = Local Control Funding Formula, COLA = Cost-of-living adjustment, TK = Transitional kindergarten, FCMAT = Fiscal Crisis and Management Assistance Team, IEP = Individualized Education Program.