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SB 148 – Higher Education Budget Trailer Bill
SB 148 amends existing law and appropriates funds to support program expansions. SB 148 makes the following changes:
(1) Requires that for the 2026-2027 and 2027-2028 fiscal years, each community college campus provide classified employees with access to food pantry services offered by the Basic Needs Center. It also requires report data and information related to that access to the chancellor’s office, as specified, and requires the annual reports submitted by the chancellor’s office to include that data and information.
(2) Expands the definition of “basic needs services and resources” to include childcare services and resources. The bill defines “childcare services and resources” to include information on affordable childcare options on and near campus and information and connections to local resource and referral agencies to obtain support in applying to state and federal childcare subsidies and programs and finding local childcare providers, including, but not limited to, the California state preschool program, Head Start, the California Work Opportunity and Responsibility to Kids (CalWORKs) childcare program, and general child care and development programs. Childcare services and resources may also include direct financial support or service support. It also authorizes a Basic Needs Center to provide direct financial or service support to parenting students.
(3) SB 148 provides that if a federal, state, or institutionally administered student need-based scholarship, grant, or fee waiver of less than $300 is identified following determination of a student’s Middle Class Scholarship Program (MCSP) award, the bill, for purposes of determining the student’s MCSP award amount, does not require the student’s MCSP award to be recalculated. The bill requires each institution participating in the MCSP to sign an institutional participation agreement with the commission, acknowledging the institution’s willingness to administer the MCSP program, as specified.
(4) The bill authorizes grant recipients to also use funds from the Zero-Textbook-Cost Degree Grant Program for developing and implementing degrees to obtain professional development and technical assistance to assist in the development of open educational resource materials. The bill authorizes the Chancellor’s Office to allocate any unallocated resources appropriated for purposes of the program, on or after June 30, 2025, to a community college district to contract for the establishment of statewide open educational resources infrastructure, as provided.
(5) Appropriate $49,734,000 from the Public School System Stabilization Account to be transferred by the Controller to Section B of the State School Fund for the support of community college districts, for the fiscal year 2025-2026, as specified.
(6) Existing law requires the Board of Governors of the California Community Colleges to adopt regulations providing for the payment of apportionments to community college districts on a specified schedule. Existing law, notwithstanding that provision referenced above, adjusts the payment of apportionments to community college districts for the 2024-25 fiscal year to defer $243,693,000 of those payments to the 2025-26 fiscal year in accordance with a designated schedule. SB 148 specifically references two items of appropriation made in the Budget Act of 2025 as the funding source of the deferral payment described above.
(7) Beginning in the 2026-27 fiscal year, the bill prohibits the Chancellor of the California Community Colleges from reserving more than 3.5% of funds appropriated for Mathematics, Engineering, Science, Achievement (MESA) programs on administrative and discretionary costs of supporting MESA programs, and authorizes the Chancellor, in consultation with the California Community College Association of MESA Directors, to allocate the reserved funds solely for statewide coordination and enhancement of MESA programs.
(8) The Chancellor’s Office is authorized to reallocate funds appropriated for the 2025-2026 fiscal year to community college districts to ensure all eligible California Dream Act application (CADAA) filers receive a grant. The bill also requires the Chancellor’s Office to report to the appropriate policy committees and budget subcommittees of the Legislature on the progress of community college districts in awarding the emergency financial assistance grants to students, as specified.
(9) For the 2025-26 fiscal year, it makes funding appropriated in the Budget Act of 2025 in certain items of appropriation for community colleges available for transfer by the Controller to Section B of the State School Fund for purposes of distributing those funds to community college districts.
(10) The bill incorporates additional changes to Section 66023.5 of the Education Code proposed by SB 271 to be operative only if this bill and SB 271 [YC1] are enacted and this bill is enacted last. SB 271 was passed before this bill, and therefore, the changes made by SB 148 take effect.
(11) The bill incorporates additional changes to Section 70022 of the Education Code proposed by AB 88 and SB 67 to be operative only if this bill and either or both of those bills are enacted, and this bill is enacted last.
(SB 148 amends Sections 66023.5, 66205.5, 70022, 70023, 78052, 84321.64, and 88682 of, and adds Section 84750.7 to the Education Code, and amends Section 21 of Chapter 9 of the Statutes of 2025 for appropriations.)