California Budget Revision: Where Healthcare Funding Stands

On May 13, 2026, Governor Gavin Newsom released the annual “May Revise” for the state’s 2026-2027 budget outlook. 

The May revision provides a more accurate revenue estimate than January’s initial budget proposal because it includes updated tax receipts from April. Recently, revenue forecasts have improved, with both the state Senate and Assembly citing a short-term revenue surge as a reason to avoid previously anticipated cuts, enabling the governor to state that the revised budget resolves the earlier projected deficits. 

California 2026 Proposed Healthcare Legislation Impacting Physicians

The 2025–2026 legislative cycle has entered its second year amid rapid change in healthcare and mounting challenges. Legislators have introduced bills addressing patient privacy, the growing use of artificial intelligence in healthcare, and continued efforts to broaden scope of practice for non-physician providers.

The following is an overview of bill proposals currently moving through the legislative process. 

 

AB 2398 Alvarez (D - San Diego) — Practice of Medicine: Physician Graduate License Act

Reaching the Ballot Initiative Finish Line
As the November 3rd midterm elections quickly approach, California voters should prepare to face one of the longest and most comprehensive ballots of the last several election cycles.
California 2026-2027 Proposed Healthcare Budget Outlook
In early January, Governor Newson presented his 2026-2027 proposed budget.
New Healthcare Laws in 2026: Key Takeaways for Practicing Physicians
New healthcare-related laws, effective January 1, 2026, focus on increased regulatory oversight of healthcare transactions, limits on corporate influence, prescription drug cost controls, and guardrails on the use of artificial intelligence (AI) in clinical settings.