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What you should know about the $351.7 billion state budget Newsom just signed

LA Times · Jun 30, 2026, 2:58 AM

Key takeaways

  • Gavin Newsom on Monday signed his final state budget as governor, a $351.7-billion spending plan that seeks to uplift the poorest Californians through a tax system reliant on the stock market gains of the wealthy.
  • “Over the past eight years, we built great things for the people of California — some of the boldest actions any government in this country has taken in a generation,” Newsom said.
  • Economists have warned that the revenue bump is potentially temporary and analysts say the growth in state spending could leave California in a challenging position if the economy declines.

California Gov. Gavin Newsom receives applause after delivering his first state of the state address at the Capitol in Sacramento in 2019. (Rich Pedroncelli / AP) By Taryn Luna Senior Sacramento Reporter Follow June 29, 2026 7:58 PM PT 1 8 min Click here to listen to this article Share via Close extra sharing options Email Facebook X Linked In Threads Reddit Whats App Copy Link URL Copied! Print 0:00 0:00 1x This is read by an automated voice. Please report any issues or inconsistencies here.

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SACRAMENTO — Gov. Gavin Newsom on Monday signed his final state budget as governor, a $351.7-billion spending plan that seeks to uplift the poorest Californians through a tax system reliant on the stock market gains of the wealthy.

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