BILL ANALYSIS Ó AB 1772 Page 1 Date of Hearing: May 2, 2012 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair AB 1772 (Buchanan) - As Amended: April 11, 2012 Policy Committee: Education Vote:7-4 Urgency: No State Mandated Local Program: Yes Reimbursable: Yes SUMMARY This bill, beginning with the 2014-15 school year, requires a child to complete one year of kindergarten before he or she may be admitted to first grade. FISCAL EFFECT 1)Due to creation of a new mandate, GF/98 state reimbursable mandated costs, in the tens of millions to hundreds of millions, to require children to complete one year of kindergarten prior to admission to first grade. For example, a school district that currently enrolls 1,000 kindergarteners may claim teacher salary costs of approximately $2 million GF/98 to meet the requirements of this bill. In addition because this bill creates a mandate for kindergarten, school districts may seek state reimbursement for costs associated with establishing kindergarten classes, including teacher salaries and instructional materials, regardless if they are currently receive revenue limit (general purpose) or categorical funding for this purpose. In an analogous situation, the Commission on State Mandates (CSM) determined that when the state added the completion of science classes as a requirement for high school graduation in the 1980s, the state created state reimbursable mandated costs and districts could claim direct and indirect costs to provide these classes (regardless if they were already providing these science classes). According to the Legislative Analyst Office (LAO), the state owes approximately $2 billion in prior year claims and approximately $200 million annually for this mandate. AB 1772 Page 2 2)Even if the CSM does not determine this bill to be a state reimbursable mandate, there would be increased GF/98 revenue limit (general purpose) costs of $45.6 million to the state for increased kindergarten attendance due to the requirement that all children attend K. COMMENTS 1)Background . Existing law does not require children to attend kindergarten. SB 1381 (Simitian), 705, Statutes of 2010 specifies if a child does attend kindergarten, he or she must be admitted if the child will have his or her fifth birthday according to the following dates: (a) December 2 of the 2011-12 school year; (b) November 1 of the 2012-13 school year; (c) October 1 of the 2013-14 school year; and September 1 of the 2014-15 and each school year thereafter. Existing law also authorizes the governing board of a school district, on a case-by-case basis and with parent/guardian approval, to admit a child who is five years old any time during the school year to kindergarten if specified conditions exist. Statute also requires a child to be admitted to first grade, if he or she will have his or her sixth birthday according to the following dates: (a) December 2 of the 2011-12 school year; (b) November 1 of the 2012-13 school year; (c) October 1 of the 2013-14 school year; and (d) September 1 of the 2014-15 school year and each school year thereafter. Current law requires each person between the age of 6 and 18 years to be subject to full-time compulsory education, unless otherwise exempted. Each child is required to attend school full-time or the length of the school day designated by the governing board of the school district in which the residency of the parent/legal guardian is located. Likewise, each parent/guardian is required to send the pupil to school, as specified. 2)Purpose . According to the author, "Early childhood education is critical to student success. Parents recognize this and that is why such a high percentage of students first enroll in kindergarten. With the state adding Transitional Kindergarten for five-year- olds born in September, October, and November AB 1772 Page 3 ÝSB 1381 (Simitian), Chapter 705, Statutes of 2010], it is important both academically and as a policy statement to make kindergarten mandatory, not optional." 3)Need ? In the 2010-11 school year, 471,918 children were enrolled in kindergarten and 477,277 children were enrolled in first grade. According to the State Department of Education (SDE), less than 5% of children do not attend kindergarten. Assuming two percent of children enrolled in first grade do not attend kindergarten, less than 10,000 children are not attending kindergarten. Current law does not require children to complete kindergarten for admission to school and as such, school districts cannot claim state reimbursable costs for providing kindergarten instruction. If there are such a small number who are not attending kindergarten, is there a need to mandate completion and create a state GF/98 reimbursable mandate? 4)Unpaid K-12 mandates . According to LAO, the state owes approximately $3.4 billion in K-12 mandate costs for prior years (not including the high school graduation mandate). Prior to the 2010 Budget Act, the state deferred mandate payments for several years with the promise of making the payments to school districts in future years. As a result, districts did not received payment for annual services they were required to conduct. SB 90 (Committee on Budget and Fiscal Review), Chapter 7, Statutes of 2011 allocated $80 million GF/98 to school districts for annual K-12 mandate costs; the state, however, still owes school districts for the prior year costs. Analysis Prepared by : Kimberly Rodriguez / APPR. / (916) 319-2081