Budget Act of 2025.

California Senate Bill 175 (SB 175), titled the 'Budget Act of 2025,' was introduced by the Senate Budget and Fiscal Review Committee on January 23, 2025. The bill's text expresses the Legislature's intent to enact statutory changes related to the Budget Act of 2025. As of March 24, 2025, SB 175 was referred to the Assembly Budget Committee for further consideration. The bill's progression indicates it is a procedural measure to facilitate the state's budgeting process for the 2025–2026 fiscal year.

Governor Gavin Newsom signed a balanced state budget on June 27, 2025, which includes tax cuts for military retirees, full funding for free school meals, investments in housing, and job creation initiatives. The budget also allocates funds for universal pre-kindergarten, expanded school programs, and public safety enhancements. These measures have been praised for addressing key social issues and promoting economic growth.

While the budget has been lauded for its comprehensive funding initiatives, some critics have expressed concerns about the long-term fiscal sustainability of the increased expenditures. Questions have been raised regarding the potential for future budget deficits and the adequacy of funding allocations to meet the diverse needs of California's population.

Source: LegiScan roll call vote data.