What California’s 2025–26 Budget Means for School Counseling
California’s education budget for 2025–26 includes major funding opportunities that could transform how school counselors serve students — here’s what you need to know.
California’s 2025–26 budget includes significant new and ongoing investments in education, with real opportunities for school districts to strengthen their school counseling programs. Whether you're a district leader, county leader, or school counselor looking to advocate for more support services, understanding the available California school counseling funding streams is key.
This post breaks down the most relevant state and federal funding sources — including newly announced grants, block funds, and expiring programs — and how they can be used to support school counseling, student mental health, and expanded learning.
Big Picture: 2025–26 State Budget Overview
Governor Newsom signed the 2025-26 balanced budget on June 27, 2025.
This budget provides $118 billion for education and includes funding for the Governor’s priorities, such as early education and literacy.
The Budget Act of 2025-26 fully funds the 2.3% cost-of-living increase ($2.1 billion) for the Local Control Funding Formula (LCFF) and allocates a $1.7 billion block grant on a one-time basis, based on ADA, that is fully discretionary—allowing districts to spend the funds according to their local needs, including professional development for school counselors.
New State Funding Source That Can Support School Counseling
Student Support and Professional Development Block Grant
SACS Code 6019
This one-time $1.7 billion block grant provides fully discretionary funding for California school districts to address rising costs and fund district priorities.
Funds will be allocated on an equal per-ADA basis; estimated at $315 per ADA
Funds are fully discretionary and can be used in any area of local need, including student supports and staff training
Funds available for use through June 30, 2029
📌 This grant is a flexible opportunity to fund school counselor expansion, training, or support services based on local needs. Districts are not required to follow suggested spending priorities.
Ongoing State Funding Sources That Can Support School Counseling
LCFF/LCAP Supplemental & Concentration Funds
SACS Resource Code 0000 (Unrestricted)
The Local Control Funding Formula (LCFF) creates funding targets based on student needs and provides districts greater flexibility to use these funds to improve student outcomes.
Includes base grants + supplemental + concentration grants
These grants are calculated based on student demographic factors
The Local Control Accountability Plan (LCAP) must describe how LEAs will address local priorities and meet annual goals
📌 School counselors can be included in these plans as part of student support strategies
Extended Learning Opportunities Program (ELO-P)
SACS Resource Code 2600, 8590
Ongoing ELO-P funds can be used to support student access to expanded learning programs—this includes hiring school counselors.
Beginning July 1, 2025:
Funds can be used to support attendance recovery
Attendance Recovery can result in an up to 10 days of attendance credit per student per year when the ELO-P operates on the same school site where the student attends school
Average Daily Attendance (ADA) can be generated in 1-hour increments
🔎 Additional information: CA Afterschool Network website
Grant Programs That Can Support School Counseling - Ending in 2026
A-G Completion Improvement Grant ($694 million)
SACS Resource Code 7412, 7413
Supports professional development for teachers, administrators, and school counselors
Designed to improve the LEA’s A–G completion rate
Educator Effectiveness Block Grant ($1.5 billion)
SACS Resource Code 6266
May be used to fund professional learning for certificated staff, including school counselors
Arts, Music, and Instructional Materials (AMIM) Discretionary Block Grant
SACS Resource Code 6762
Funds may be used for 5 purposes, including to obtain professional development aligned to best practices for improving school climate
School counselors can significantly improve school climate by:
Promoting positive behavior
Addressing mental health concerns
Fostering safe, inclusive environments
🟢 School counselors play a central role in improving school climate—this is a natural fit.
📌 The governing board of each LEA must approve or revise a plan for spending these funds at a public meeting.
Grant Programs That Can Support School Counseling - Ending in 2028
Learning Recovery Emergency Block Grant ($6.3 billion)
SACS Resource Code 7435
📅 Ends June 30, 2028
$378.6 million was restored in the 2025 enacted budget
$114 per ADA based on 2021–22 ADA and UPP
Funds are intended to support:
Learning recovery
Staff and student social-emotional well-being
📌 Funds must align with EC 32526(c) and require a needs assessment for 2025–2028.
Grant Programs That Can Support School Counseling - Ending in 2031
California Community Schools Partnership Program (CCSPP) ($16.7 billion)
SACS Resource Code 6332
Supports strong and intentional community partnerships and whole child/family development, including:
Integrated support services
Family and community engagement
Collaborative leadership and practices for educators and administrators
Extended learning opportunities
📌 This long-term program offers sustained support for school counseling roles as part of a whole-child strategy.
Federal Funding That Can Support School Counseling
CA Title I ($2.1 billion)
SACS Resource Code 3010
Helps meet educational needs of students, close achievement gaps, and enable students to meet academic standards
ESSA Schoolwide Guidance specifically includes school counselors as an allowable expense (see top of page 5)
Student Support and Enrichment Grant
Provides funding for county offices of education alternative education programs to offer additional student support and enrichment.
CA Title IV ($19 million)
SACS Resource Code 4127
Purpose of Title IV, Part A is to improve students’ academic achievement by:
Improving school conditions for student learning
Fostering safe, supportive, drug-free environments that support student academic achievement
Expanding access to school-based counseling and mental health programs
📌 Note: Funds for this program have recently been withheld by the federal government and it is not expected to be included in the next federal budget bill.
Download the Full Funding Breakdown
Want all the California school counseling funding details in one place?
Download the full PDF summary with full program descriptions, SACS codes, and dollar amounts—written by Paul Meyers, Hatching Results Vice President.
Final Thoughts + What You Can Do Next
The 2025–26 California budget and associated funding programs offer important opportunities to invest in school counseling, mental health, and professional development. From fully discretionary block grants to long-term community school initiatives, there’s never been a better time to ensure school counselors are prioritized in district spending decisions.
✅ Need help identifying the best California school counseling funding sources for your district’s goals?
✅ Looking for support in making the case for expanding your school counseling program?
We’re here to help. Contact the Hatching Results team to explore how we can partner with you to strengthen your school counseling services and improve outcomes for students.
