On June 22, Gov. Gavin Newsom, Senate President Pro Tempore Toni G. Atkins and Assembly Speaker Anthony Rendon announced they have reached an agreement on the 2020-21 state budget.

“The COVID-19 global pandemic has caused a sudden and dramatic change in our nation’s and state’s economic outlook – and has had a cascading effect on our state budget,” the leaders said in a statement. “California was better positioned for this sudden change than at almost any time in its history, building out record reserves following years of responsible budgeting. Even still, the size and scope of the pandemic and the accompanying economic crisis have been unprecedented – leaving California to make hard choices and figure out how to sustain critical services with much less.

“In the face of these challenges, we have agreed on a budget that is balanced, responsible and protects core services – education, health care, social safety net and emergency preparedness and response. This budget also invests in California small businesses harmed by the pandemic.

“This agreement reflects our shared commitment to supporting schools and is built on a foundation of equity – allocating billions of dollars for students most affected by learning loss and continuing our state’s leadership toward reforming the criminal justice system.

“To be clear, this budget required some tough decisions and more work remains ahead. But they were necessary steps for keeping California on firm fiscal footing while we continue to meet the COVID-19 challenge, protect vital services and our most vulnerable communities, and build a strong fiscal bridge to a safe, speedy economic resurgence. Californians are doing their part – now it’s imperative for our federal partners to pass a responsible and comprehensive relief plan so states and local communities can continue to keep Americans safe while leading our national economic recovery.”