California lawmakers have returned to Sacramento, initiating the final month of the 2026 legislative session with several high-profile education bills still awaiting action. While most students are on summer recess, decisions made in the coming weeks will shape the state's educational landscape.

Much of the state’s education agenda is already established. Gov. Gavin Newsom has signed the 2026-27 state budget, which includes a record $128.1 billion Proposition 98 guarantee for TK-12 schools and community colleges. This budget features a 4.31 percent increase to the Local Control Funding Formula, providing districts with flexible funding to address rising operating costs, including new paid pregnancy disability leave requirements.

The spending plan also commits $2.4 billion to special education, a $5 billion one-time Student Support and Professional Development Block Grant, and continued funding for community schools, expanded learning, and literacy initiatives.

However, the state’s plan to repay nearly $3.94 billion in education funding deferred from the previous fiscal year continues to draw attention. The budget commits to making these payments over time, contingent on future state revenues exceeding current projections through the 2027 May Revision. Supporters state this approach allows the state to meet its funding commitment while maintaining budget flexibility, while critics argue it delays money that schools were expecting to receive.

Several education measures have already been signed into law, with most taking effect in 2027. AB 181, authored by Assemblymembers David Alvarez and Darshana Patel, restructures California’s education leadership by creating a governor-appointed education commissioner while maintaining the elected state superintendent of public instruction. AB 2148, authored by Al Muratsuchi, clarifies that public school employees and contractors must be natural persons, not artificial intelligence, reinforcing that AI cannot replace educators. Additionally, AB 2003, authored by Marc Berman, expands statewide suicide prevention resources, creating free online training for educators, students, and families, but does not require schools to begin conducting suicide risk screenings.

As the session nears its close, proposals concerning school finance, substitute teachers, employee misconduct reporting, charter school facilities, and early mathematics screening remain under consideration. The Legislature has until August 31 to pass bills, which will then go to Gov. Newsom, who faces a September 30 deadline to sign or veto them. Lawmakers must navigate procedural milestones, including final fiscal committee action on August 14 and the last day to amend bills on the floor on August 21.