SB 126 California Senate · 2025-2026 Regular Session

Education finance: education omnibus trailer bill.

SB 126, titled "Budget Act of 2025," is a procedural bill that expresses the California Legislature's intent to enact statutory changes related to the state's 2025 budget framework. It does not make specific budget allocations or spending changes but serves as a formal step to guide future legislative action on budget-related laws. The bill directly affects the budget process by signaling the Legislature's direction for upcoming budget reforms, without altering current spending or revenue policies. This procedural step is required before the Legislature can implement detailed budget changes under the 2025 framework.
Bill status passed 3 of 5 stages cleared
Introduction
Jan 2025
Committee Review
Jul 2026
Senate Passage
Mar 2025
Assembly Passage
Governor
Introduced Jan 23, 2025 Last action Jul 2, 2026
Maddy AI version diff · 2 comparisons

What changed between versions

01/23/25 - Introduced 06/26/26 - Amended Assembly · 22 edits · Jun 26, 2026
MAJOR
SB 126 transitions from a bare placeholder (bill number, committee, date only) to a fully drafted education omnibus trailer bill with a comprehensive legislative counsel's digest covering dozens of provisions. The amended version adds substantial new funding appropriations, restructures existing programs, expands oversight requirements, and modifies teacher credentialing rules across California's K-12 education system.
Scope change
The bill expands from a placeholder with no substantive content to a comprehensive education omnibus trailer bill covering K-12 funding formulas, teacher credentialing and workforce development, school facilities, dual enrollment, early education, audit oversight, and multiple specific appropriations. It applies statewide to all local educational agencies including school districts, county offices of education, charter schools, and educational joint powers authorities.
FISCAL

Appropriates $757,300,000 from the General Fund for the 2026-27 fiscal year to the Learning Recovery Emergency Fund for allocation to local educational agencies operating in 2026-27.

Appropriates $200,000,000 from the General Fund for the 2026-27 fiscal year for the California Prekindergarten Planning and Implementation Grant Program, transferring administration from the Superintendent to the State Department of Education.

Appropriates $408,000,000 from the General Fund for the 2026-27 fiscal year for the Student Teacher Stipend Program, increasing the annual base stipend pool from $100,000,000 to $125,000,000 and adding $27,500,000 annually for high-need field stipends starting July 1, 2027.

Appropriates $250,000,000 from the General Fund to augment the Teacher Residency Grant Program and requires capacity and sustainability grants of $100,000 to $300,000 per recipient.

Appropriates $50,000,000 from the General Fund for the Mathematics Professional Learning Partnership through the Kern County Superintendent of Schools, augmenting an existing $30,000,000 appropriation.

Requires the Legislature to initially appropriate $1,000,000,000 from the General Fund for the California Community Schools Partnership Program, with cost-of-living adjustments commencing 2027-28. Administration transfers from the Superintendent to the State Department of Education.

Appropriates $100,000,000 from the General Fund for a revised competitive dual enrollment grant program, making regional occupational centers eligible and adding an alternative grant of up to $100,000 for expanding existing programs.

Appropriates $10,000,000 from the General Fund for a new Pathways to Bilingual Teaching Program administered by the Commission on Teacher Credentialing, awarding competitive grants of up to $600,000 to consortia.

Appropriates $50,000,000 for the 2026-27 fiscal year for the California Universal Preschool Planning Grant Program for renewal or new grants.

Transfers $500,000,000 from the General Fund to the Public School System Stabilization Account for 2025-26, and requires 33% of any increased General Fund tax proceeds (for 2025-26 through 2027-28 combined versus the 2026-27 Budget Act forecast) to be deposited to the account for unfunded Proposition 98 obligations.

Increases the Los Angeles County Office of Education antibias education add-on from $3,000,000 to $4,000,000 starting 2026-27, for allocation to the Museum of Tolerance.

Appropriates $890,000 annually starting 2026-27 for the Los Angeles County Office of Education to maintain a statewide repository of curriculum-embedded performance tasks mapped to Next Generation Science standards.

SCOPE

Replaces the existing differentiated assistance add-ons to county office of education allocations (based on number and size of districts in need) with a universal and targeted assistance county office of education funding grant starting 2026-27, calculated as $500,000 plus inflation adjustments, an average daily attendance component, and a stability grant.

Exempts Plumas Unified School District from the administrative employee ratio penalty reduction in state support for fiscal years 2023-24 through 2026-27.

ENFORCEMENT

Changes the Superintendent's authority to take actions when a county office of education receives a negative financial certification from authorized to required (mandatory), and requires notice to the governing board before reclassifying a certification.

Authorizes the State Allocation Board to withhold new approvals for applicants in default or projected to default under its facility programs, with a provision that withholding does not make the board liable for damages caused by the applicant.

REQUIREMENT

Extends audit requirements, including posting on websites and filing deadlines, to educational joint powers authorities and charter schools. Changes the county superintendent's authority to investigate delayed audits from authorized to required.

Requires the Commission on Teacher Credentialing to levy a fee not to exceed $125 (up from $100) for renewal of teaching and service credentials commencing July 1, 2026, while retaining the $100 cap for issuance.

TIMELINE

Delays recognition of Proposition 98 excess moneys (from 2022-23 allocations) by one fiscal year, shifting the annual recognition period from 2027-28 through 2038-39 to 2028-29 through 2039-40, and the final share from 2039-40 to 2040-41.

Extends the Teacher Residency Grant Program commitment completion period from 5 school years to 8 school years for candidates to fulfill their 4-year teaching requirement, and authorizes hardship-based waiver of repayment obligations.

DEFINITION

Repeals the requirement that subject matter examinations are a prerequisite for assignment and instead requires the Commission on Teacher Credentialing to support candidates in establishing competence through degree major or coursework, with exams available only when those methods do not establish competence.

ELIGIBILITY

Authorizes regional occupational centers or programs to establish middle college high schools or enter into College and Career Access Pathways partnerships, expanding beyond school districts, county offices of education, and charter schools.

Floor votes · Senate Mar 20, 2025

How they voted

2810
Passed · 2 other
Total votes 40
Mar 20, 2025
D Democratic30
28 Yea 2
93% Yea
R Republican10
10 Nay
100% Nay
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
13
Key actions
2
Committee
3
Amendments
1
Jul 2, 2026
Committee
Re-referred to Com. on BUDGET pursuant to Assembly Rule 97.
lower
Jun 26, 2026
Lower · Passed
From committee with author's amendments. Read second time and amended. Re-referred to Com. on BUDGET.
lower
Mar 24, 2025
Committee
Referred to Com. on BUDGET.
lower
Mar 20, 2025
Upper · Passed
Read third time. Passed. (Ayes 28. Noes 10. Page 439.) Ordered to the Assembly.
upper
Feb 5, 2025
Committee
Referred to Com. on B. & F. R.
upper
Jan 23, 2025
Introduced
Introduced. Read first time. To Com. on RLS. for assignment. To print.
upper
0 primary · 0 co-sponsors

Sponsors

No sponsor information available.