Revenue & Budget:
This budget represents an increase of 2.9% from the previous fiscal year (FY24), reflecting restrained revenue growth. The $56.1 billion budget allocates full funding for the Student Opportunity Act, boosts local aid, and covers the costs of tax reductions implemented last year. It includes an anticipated $1.3 billion in revenue from the Fair Share surtax, which is earmarked for education and transportation initiatives.
To manage the gap between revenue and spending, the budget trims $450 million from various items and avoids $500 million in additional spending. The Rainy Day Fund is expected to receive a $97 million deposit. For more information on the revenue estimates and budget rationale, check out the FY2025 Budget briefs by the Administration.
Affordable Housing Priorities:
Many of CHAPA's affordable housing priorities received an increased investment in the Governor's FY2025 budget proposal while many others received a level of funding and some of them had lower allocations than FY2024. Please see our Language analysis of the affordable housing priorities for policy details.
Along with the FY2025 budget, the Administration also filed a Supplemental budget that draws from the transitional escrow funds to cover the EA shelter costs for FY2024 and FY2025. The Supp budget proposes $70 million for the Housing Stabilization Fund to provide for acquisition, preservation, rehab, and homelessness prevention; $50 million for Public Housing; $20 million for the Housing Innovation Fund, and $10 million for the Momentum Fund.