The Money
The state budget is official for the new fiscal year that began on July 1, 2026. Governor Newsom’s proposed budget for developmental services was approved, as described in our May Revision budget announcement, and with two new adjustments:
- to slightly reduce an investment in regional centers operations, and
- to provide $1 million annually over the next four years for the Self-Determination Program with the funding focused on local resource fairs and standardized statewide trainings about the program.
This was a good budget year for developmental services. Services for nearly 527,000 people are fully funded. The LOIS effort was put into law and is proceeding and rate reform nearly is complete. No budget reductions were made, and many important improvements are underway.
The Laws
In addition to funding, the state budget includes many changes to the law. These changes were made by Senate Bill 163, which was signed into law in early July. These changes include the major topics listed below. Details about all of the changes to laws are available in the trailer bill directive to regional centers.
- Updates to the roles of the Department and the California Department of Education for the Early Start Program
- Improvements to the training of, and support for, regional center governing boards
- Putting the Life Outcomes Improvement System (LOIS) into the law
- Creating a new grievance process focused on person-centeredness
- Updates related to rate reform
- Setting the stage for improved access to employment