BILL ANALYSIS AB 347 Page 1 Date of Hearing: May 23, 2007 ASSEMBLY COMMITTEE ON APPROPRIATIONS Mark Leno, Chair AB 347 (Nava) - As Amended: May 10, 2007 Policy Committee: EducationVote:6-0 Urgency: No State Mandated Local Program: Yes Reimbursable: Yes SUMMARY This bill is intended to facilitate the resolution of Valenzuela v. O'Connell et al. , regarding the California High School Exit Exam (CAHSEE) graduation requirement. Specifically, this bill: 1)Requires a school district to use the uniform complaint process (complaint process) to identify and resolve any deficiencies related to intensive instructional services provided to pupils who have not passed one or both parts of the CAHSEE (the CAHSEE graduation requirement) after the completion of grade 12, as specified. This measure also requires the notice posted in each tenth or twelfth grade classroom that specified the complaint process to include information regarding a pupil's ability (after grade 12) to receive intensive instructional services, as specified above. 2)Expands the current CAHSEE supplemental services intervention program to allow pupils who have met the CAHSEE graduation requirement within two years of completing grade 12 to receive services. 3)Requires a school district, as a condition of receiving CAHSEE supplemental service funds, to notify all pupils who have not met the CAHSEE graduation requirement by the end of grade 12 in writing of the availability of these services in sufficient time to register for them and file a complaint (as specified above). 4)Requires the intensive supplemental instruction to be comparable to that provided to pupils in grades 9-12 by ensuring the following: (a) instructors have comparable levels AB 347 Page 2 of qualification or experiences, (b) the amount of instructional time is comparable, and (c) pupils have access to comparable instructional materials. This measure also requires English language learner (ELL) pupils who have not meet the CAHSEE graduation requirement by the end of grade 12 to have services to improve English proficiency, as specified. FISCAL EFFECT 1)Annual significant GF/98 cost pressure, likely between $12.9 million and $24.8 million, to allow pupils who have met the CAHSEE graduation requirement within two years of completing grade 12 to receive intensive supplemental services, as specified. As of February 2007, the State Department of Education (SDE) estimates there are 12,725 students in the Class of 2006 and 36,930 students in the Class of 2007 who have not met the CAHSEE graduation requirement. 2)GF administrative costs, of approximately $181,500, to the SDE to provide training and hire staff to meet the compliance requirements of this measure. 3)The 2007-08 proposed budget provides $72.4 million (GF/98) for the CAHSEE supplemental intervention services program, including a cost-of-living adjustment. SUMMARY CONTINUED : 5)Requires the State Department of Education (SDE) to use the Categorical Program Monitoring (CPM) to monitor compliance with the requirement that pupils who have not met the CAHSEE graduation requirement by the end of grade 12 be provided with intensive instruction and services. This bill also requires the SDE to notify a school district in writing, if it fails to comply with the requirements specified above. 6)Requires a school district, as a condition of receiving Middle and High School Supplemental Counseling (MHSSC) program funds, to ensure that the counselor meeting with each pupil and his or her parent(s) to explain the availability of intensive instruction and services options for up to two years after the completion of grade 12 or until the pupil has met the CAHSEE graduation requirement, whichever comes first. AB 347 Page 3 COMMENTS 1)Background . The CAHSEE is an assessment that each public school pupil must pass, beginning in the 2005-06 school year, as a condition of high school graduation. This assessment, established by SB 2 (O'Connell), Chapter 1, Statutes of 1999-2000, has two parts: English language arts (ELA) and mathematics. Valenzuela v. O'Connell et al. , a class-action lawsuit, was filed in February 2006 to challenge the requirement that all graduating seniors pass the CAHSEE before they receive their diploma. After Alameda Superior Court Judge Robert Freedman issued an injunction in favor of Valenzuela (which halted the exam's graduation requirement for the class of 2006), O'Connell appealed to the California Supreme Court to stay the injunction. On May 24, 2006, the California Supreme Court stayed Judge Freedman's order, thereby reinstating the exam's graduation requirement for the class of 2006, and sent the case to the California Court of Appeals for further hearing and action. On August 11, 2006, the State Court of Appeals upheld the CAHSEE as a graduation requirement. However, the court also stated that "we accept the trial court's conclusion that plaintiffs (Valenzuela) established a likelihood of success on the merits as to denial of their fundamental right to equal educational opportunity." The State Court of Appeals also recommended that the parties "find the pathways necessary to provide equal and adequate access to meaningful remedial assistance to students" under the auspices of the original trial court (Alameda Superior Court Judge Robert Freedman). On January 29, 2007, a stipulation order was issued that required the Superintendent of Public Instruction (SPI), Jack O'Connell, to send a letter to school districts (by January 31, 2007) explaining the importance of their ability to reach out and inform members of the Class of 2006 who have not met the CAHSEE graduation requirement regarding the availability of remediation instructional programs offered by the district. In addition to the letter, the SPI agreed to telephone 30 school districts (identified by Valenzuela) AB 347 Page 4 to discuss the letter, as specified. In agreement for the SPI completing these requirements, Valenzuela agreed to not seek further relief for members of the Class of 2006 in the current academic year (2006-07). According to the SPI, the sponsor of this bill, "adoption of this legislation is intended to facilitate resolution of Valenzuela v. O'Connell et al. (the CAHSEE litigation)." 2)CAHSEE passage rates . According to the SPI, nearly 40,000 seniors from the class of 2006 did not pass the CAHSEE by the end of the 2005-06 school year. SPI released data in April 2007 that indicates an additional 4,800 of these students have passed the exam. This brings the Class of 2006 passage rate to an estimated 92.3%. According to the SPI, "For the Class of 2007, the independent evaluator of the CAHSEE found that as of February of this year, more than 390,697 students have passed both the ELA and mathematics portions of the CAHSEE, bringing the cumulative passing rate to an estimated 91.4 percent. This passage rate is 2.1 percentage points higher than the passage rate for the Class of 2006 at the same point in time last year." According to a UCLA study, soon to be published in the Santa Clara University Law Review, the percent of tenth graders graduating three years later dropped dramatically from an average of 73% over the prior five years to 63% in 2006, most likely as a result of the CAHSEE graduation requirement. Specifically, the UCLA report states: "Using data on the Class of 2006 provided by the State Department of Education, there are as many as 50,000 students that did not graduate in the Class of 2006 compared to what would have been expected had previous years' graduation rates held steady. This means more students did not graduate after the CAHSEE was implemented than the total number of students who graduated in each of 30 states, leaving California with one of the lowest graduation rates in the nation." 3)Related legislation a) AB 480 (De Leon), pending in this committee, requires AB 347 Page 5 the SPI to invite providers of innovative programs for ELLs to submit proposals of programs designed to provide intensive intervention-focused supplemental instruction to ELL pupils enrolled in grades 10-12 who have not passed the CAHSEE. b) AB 1379 (Brownley), pending in this committee, requires the SPI to identify additional criteria and measures by which high school pupils can demonstrate proficiency (other than passing the CAHSEE) in order to receive a high school diploma, as specified. Analysis Prepared by : Kimberly Rodriguez / APPR. / (916) 319-2081