May Revision Fails Families, Burdens Communities

Struggling Californians are on their own.  

That’s the message the Governor’s May Revision sends communities throughout California – on H.R. 1, In-Home Supportive Services (IHSS), homelessness funding and Proposition 36. 

The Governor’s final state budget proposal before he terms out at the end of the year would fund just five percent of the County Family’s modest request to reduce harm to individuals and families — and less than half a percent of what’s needed next year. 

It is a failure of scale, urgency, and responsibility. 

“The May Revision abandons struggling families the same way the President and Congress did by passing H.R. 1,” said CSAC CEO Graham Knaus. “It doubles down on the federal cuts, leaving more families without healthcare or food, weakening our economy, and ultimately walking away from the communities that need support the most. This does not reflect California values.” 

The May Revision turns a blind eye to the damage already set in motion by H.R. 1. More children will go hungry, more families will lose healthcare, and local hospitals will be pushed past the breaking point. 

Here’s a breakdown of where the Governor’s proposal falls short on each issue: 

• H.R. 1: No money for the state’s unfunded mandate on counties to provide indigent care in their communities. No funding for public hospitals at risk of shutting down. And a fraction of the general fund support needed to keep eligible Californians from losing their health care and food support. Instead, the Governor’s proposal includes just $104 million of $1.9 billion in Fiscal Year 2026-27 and less than $17 million of $4.5 billion the following year. 

• IHSS: The May Revision retains a $233.6 million shift in IHSS costs from the state to counties — an approach overwhelmingly rejected in both the Senate and Assembly budget frameworks. This cost shift would undermine the existing fiscal structure for IHSS and directly strain all county safety net services. 

• Proposition 36: The Governor proposes no new funding, yet again. And last year’s $50 million for behavioral health was both insufficient and delayed — finally reaching counties nearly nine months after the Governor signed it into law. That one-time funding for a single county department falls far short of what’s needed to implement the measure. 

• Homeless Housing Assistance and Prevention (HHAP): The May Revision does not restore the 50 percent cut from last year’s budget and only includes $500 million 2026–27 – down from $1 billion in previous rounds. Counties cannot tackle homelessness alone. Without reliable, ongoing state investment, the progress made across California is at risk. 

“At the end of the day the state should not be expecting us to deliver services up to the roof when they’re only willing to fund what’s on the floor,” Knaus said. “That’s unacceptable. It doesn’t work, and it guarantees failure.” 

The state is leaving counties and communities to stabilize these systems at the severe expense of other public services such as public safety, fire response, homelessness, elections and more. We need the Governor and Legislature to meet the urgency this moment demands and stand with counties to protect the essential services millions of Californians rely on every single day.