Views from the 2020 PACE/USC Rossier Poll
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In the run-up to 2020 elections, where do California voters stand on key education policy issues? This report examines findings and trends from the 2020 PACE/USC Rossier poll. Key findings include rising pessimism about California education and elected officials, continued concern about gun violence in schools and college affordability, and negative opinions about higher education. However, there is substantial support for increased spending, especially on teacher salaries.

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This report highlights the challenges that California’s school districts face due to increasing employee health benefit costs, including retiree benefits. Such costs strain district budgets, making it harder to address other priorities, like increasing teacher salaries or supporting disadvantaged students. The brief suggests that districts must navigate these costs more effectively, with potential help from state policymakers, to ensure they are sustainable and not left as unfunded liabilities.

Evidence to Inform Policy
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Governor Newsom’s first Budget Proposal increases funding for education in California. There are areas of substantive overlap in the Budget Proposal and research findings from the Getting Down to Facts II (GDTFII) research project, released in September 2018, which built an evidence base on the current status of California education and implications for paths forward. As the Budget moves from proposal to reality, it is critical that the evidence from GDTFII continues to inform the policy process.

California’s Current Policies and Funding Levels
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California's education system aims to provide all public school students with a broad course of study consistent with state standards. However, many educators feel that the state's funding system does not provide adequate resources to meet these expectations. While funding levels have improved, they remain below those of many other states. An adequacy study estimated that providing an adequate education would have required California to spend $25.6B more in 2016-17. The study also found that larger gaps between actual spending and adequate costs were associated with lower student performance.

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California's Local Control Funding Formula highlights low performance of special education students. Many districts allocate more base funding for all students into special education. A study found state funding growth has not kept pace with district costs, and the current formula inadequately funds preschool programs for infants and toddlers with disabilities. The study suggests better alignment between special education and the LCFF, and improved governance and accountability structures.

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California's Local Control Funding Formula (LCFF) has increased per-pupil revenues, especially for low-income districts, and provided more flexibility in expenditures, leading to improvements in student outcomes. The funding was distributed based on the proportion of disadvantaged students, and expenditure increases were primarily allocated to teachers, pensions, and special education. The policy was implemented during a time of increased K-12 funding after the Great Recession and existing revenue distribution patterns.

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The California State Teachers’ Retirement System (CalSTRS) has amassed a $107 billion "debt" due to the accrual of pension liabilities. CalSTRS contributions are legislated to nearly double by 2021. The higher rates are required through 2046, requiring significant contributions from teachers, school districts, and the state government. Solutions involve reducing benefits, increasing contribution rates, or modifying the underlying benefit structure. California could consider reforms from other states to develop its own policy response.

A 10-Year Perspective
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California's public school system has a vast inventory of buildings and properties, but many are in poor condition. The state's current school facilities funding system is criticized for not targeting aid towards districts with the greatest facility needs, resulting in a relatively regressive finance system. Local sources of funding greatly outstrip state support, and charter school facility funding continues to expand.

What Do We Know?
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The Local Control Funding Formula (LCFF) shifts control of education dollars to local districts, enhancing resource allocation practices. However, inadequate base funds may constrain progress. Stakeholder engagement is evolving yet remains challenging, and school board involvement is typically modest. LCFF communication and accountability mechanisms receive mixed reviews. County offices of education have expanded their role but will need to increase their capacity. Public awareness of the LCFF lags, but it enjoys substantial support.

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American schools have long suffered from inequitable distribution of funding, resources, and effective teachers. The LCFF reform in California is a promising solution to address achievement gaps for high-need students, but successful implementation is critical. Research has found that stakeholder engagement, explicit equity frameworks, and evidence-based programs are crucial to ensure positive impact. Studies have also revealed challenges such as underspending funds and insufficient stakeholder engagement, highlighting the need for continuous improvement.