For students struggling with the cost of college, has some bad news: there may be less financial aid this fall.
In Friday鈥檚 revision, which gets finalized in June, Newsom proposed significant cuts to one of the state鈥檚 largest financial aid programs, the Middle Class Scholarship. Since its creation in 2013, the governor has 鈥� money that went directly into students鈥� hands. The program now serves more than 300,000 students, but with , the program may return to more humble beginnings.
For the Cal Grant, the state鈥檚 cornerstone financial aid program, Newsom signaled that he won鈥檛 fulfill . That promise began in 2022, when he signedsaying the state would allow more students to qualify and provide many of them with more money each year. But the promise came with a condition: he would only implement the reform if the 2024-25 budget year allowed for it.
Faced with a this year, advocates have spent months . Expanding Cal Grant would prioritize community college students. 鈥淐al Grant is for our lowest income, more under-resourced students. That鈥檚 been our priority,鈥� said Manny Rodriguez, the California director of policy and advocacy at The Institute for College Access and Success.
Currently, community college students are eligible to receive just over $1,600 a year from the Cal Grant, though it鈥檚 . Had Newsom fulfilled his promise to expand it, these grants would get larger over time, around 2,000 per student by 2030, Rodriguez said.
The Middle Class Scholarship focuses on wealthier students: those who attend a UC or CSU campus and whose household income is below $217,000 a year. The average UC or CSU student received between through the Middle Class Scholarship.
In many cases, though, students can receive even more. David Ramirez is a senior at UCLA and the government relations chair for the UC Student Association. This year, he received $7,500 from the Middle Class Scholarship, he told CalMatters. 鈥淚 wouldn鈥檛 be able to attend this university if I didn鈥檛 have that financial aid.鈥� In addition to his classes, he works shifts as an Uber Eats delivery driver.
Ramirez doesn鈥檛 receive a Cal Grant but has advocated on behalf of both programs. 鈥淚t鈥檚 not about deciding which one is more important,鈥� he said. 鈥淭hose community college students will have to transfer, and they鈥檒l need the resources when they get here too.鈥�
Ultimately, by denying Cal Grant reform and cutting the Middle Class Scholarship, the governor disappointed advocates across the board. 鈥淲e have a math problem,鈥� the governor said, referring to the projected $27.6 billion deficit. 鈥淚s this what I want to do? No.鈥�
While they won鈥檛 see any of the promised reforms, students receiving a Cal Grant will see no changes in their annual financial aid if the governor鈥檚 budget is finalized.
Meanwhile, students receiving a Middle Class Scholarship would have less financial aid starting this fall, said Jake Brymer, deputy director of policy and public affairs at the California Student Aid Commission. If the reduction in aid is proportional to the proposed budget cuts, students could see their awards cut by more than 80%.
The Legislature still has another month to negotiate with the governor and finalize the state budget, and Brymer said the Legislature may find other ways to implement the budget cuts. For example, he said, the Legislature could propose reducing the number of students who receive Middle Class Scholarships, instead of reducing the award amount.
Ramirez won鈥檛 be affected by the budget cuts, since he graduates from UCLA next month, but he knows that he鈥檒l continue to struggle with the cost of college even after he graduates. He鈥檚 starting a public service fellowship this fall and has $10,000 in student loans.
鈥淚鈥檓 supposed to be celebrating my graduation,鈥� he said, 鈥淏ut I鈥檓 also worried about paying for rent.鈥�
Reporter Mikhail Zinshteyn contributed to this story
Adam Echelman covers California鈥檚 community colleges in partnership with Open Campus, a nonprofit newsroom focused on higher education.
is a nonprofit, nonpartisan media venture explaining California policies and politics.