CALIFORNIA — Governor Gavin Newsom proposed $38 million in additional funding for Calbright College in his 2026–27 budget, bringing total state support to $53 million. The proposal, reaffirmed in his revised May 2026 budget, comes as the online-only community college faces pending layoffs and scrutiny from the California Legislative Analyst’s Office over its cost-effectiveness.

Calbright College, launched in 2019 as an all-online institution offering free, self-paced certificate programs for adult learners, has enrolled more than 7,000 students and awarded over 2,000 certificates in its first seven years. Lawmakers initially gave the college seven years to implement a competency-based education model and meet benchmarks, including achieving accreditation by spring 2025.

In February 2026, Calbright sent preliminary layoff notices to more than half its workforce due to budget uncertainty, and in May, its Board of Trustees approved notices for 93 of 178 employees, with layoffs scheduled for July unless rescinded. State law and union contracts require community colleges to issue such notices by March 15.

“The governor’s proposal reflects renewed support from lawmakers and demand to reach more working-age Californians,” said Ajita Talwalker Menon, president and CEO of Calbright College. “We believe that policymakers understand the harm that will be caused if Calbright doesn’t receive that funding, because it will prevent us from reaching students in all corners of California.”

The Legislative Analyst’s Office (LAO) reported in March 2026 that Calbright’s enrollment reached 7,660 students in 2025—a 67% increase over 2024—and that it awarded 1,019 certificates, up 59% from the prior year. However, the LAO noted that only 13.4% of students completed programs within 150% of the median time and questioned whether the $38 million request was justified without new performance expectations. The office recommended funding Calbright through the Student Centered Funding Formula used for other community colleges.

Calbright students enroll year-round rather than by quarter or semester, which college leaders say makes the Student Centered Funding Formula an imperfect fit. According to Calbright data, 94% of its students are age 25 or older, and 25% are parenting students.

The California State Legislature must finalize a budget by June 15, 2026, and Newsom must sign it by June 30. Calbright has survived three prior attempts by lawmakers to shut it down.