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Superintendent reports hopeful governor's budget, SAMHSA grant reinstated and HHS childcare cuts on hold

Santa Cruz County Board of Education · January 23, 2026
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Summary

Dr. Sabah summarized the governor's proposed budget as promising for TK–12 education, reported that an announced SAMHSA funding cut to California was rescinded restoring about $1.5 million in local mental-health funds, and said a proposed HHS cut to childcare subsidies affecting several states is currently tied up in court.

Dr. Bernice Sabah opened the superintendent's reports by calling the governor's proposed budget "very promising for education" while cautioning it is only a proposal that will undergo a May revise. She encouraged trustees to attend a January 29 budget workshop to learn more about proposals and technical methodology.

On federal funding, Sabah said the COE received a SAMHSA notice that California funding was being cut and then received a subsequent letter rescinding that action; she said the reinstated funding would represent roughly $1,500,000 in mental-health funds to local districts and programs. "We received a notification that from the, SAMHSA, grants... they are cutting all funding to California. But then today, we found out that that has been rescinded, and we received a subsequent letter saying that that that the funding had been reinstated," she said. Sabah also said the Health and Human Services intent to cut childcare subsidies for five states (including California) is on hold because states have sued and the action is stayed by the courts. She added the COE is coordinating locally on early childhood continuity and working with community partners on Head Start program continuity and other events.