BILL ANALYSIS                                                                                                                                                                                                    Ó



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        SENATE THIRD READING
        SB 1458 (Steinberg)
        As Amended  July 5, 2012
        Majority vote 

         SENATE VOTE  :24-11  
         
         EDUCATION           8-0         APPROPRIATIONS      12-5        
         
         ----------------------------------------------------------------- 
        |Ayes:|Brownley, Ammiano,        |Ayes:|Gatto, Blumenfield,       |
        |     |Buchanan, Butler, Carter, |     |Bradford,                 |
        |     |Eng, Grove, Williams      |     |Charles Calderon, Campos, |
        |     |                          |     |Davis, Fuentes, Hall,     |
        |     |                          |     |Hill, Cedillo, Mitchell,  |
        |     |                          |     |Solorio                   |
        |     |                          |     |                          |
        |-----+--------------------------+-----+--------------------------|
        |     |                          |Nays:|Harkey, Donnelly,         |
        |     |                          |     |Nielsen, Norby, Wagner    |
        |     |                          |     |                          |
         ----------------------------------------------------------------- 
         SUMMARY  :   Makes changes to the composition and use of the Academic 
        Performance Index (API).  Specifically,  this bill  :   

        1)Provides that achievement test results shall constitute no more 
          than 40% of the value of the API for secondary schools commencing 
          with the 2014-15 school year.

        2)Provides that achievement test results shall constitute at least 
          40% of the value of the API for primary and middle schools 
          commencing with the 2014-15 school year.

        3)Authorizes the Superintendent of Public Instruction (SPI), with 
          the approval of the State Board of Education (SBE), to:

           a)   Incorporate the rates at which pupils successfully promote 
             from one grade to the next in middle school and high school and 
             successfully matriculate from middle school to high school into 
             the API;

           b)   Incorporate valid, reliable, and stable measures of pupil 
             preparedness for postsecondary education and careers into the 
             secondary school API; and,








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           c)   Develop and implement a program of school quality review 
             that features locally convened panels to visit schools, observe 
             teachers, interview students, and examine student work, if an 
             appropriation for this purpose is made in the annual Budget 
             Act.

        4)Requires that, when additional elements are selected for the API 
          they not be incorporated into the API until at least one full year 
          after the SBE made the decision.

        5)Requires the SPI to annually provide to local education agencies 
          and the public an understandable explanation of the individual 
          components of the API and their relative values within the API.

        6)Repeals the requirement to use the API to select schools for 
          participation in the Immediate Intervention/Underperforming 
          Schools Program (II/USP) and to rank schools pursuant to the High 
          Achieving/Improving Schools Program (HA/ISP).

        7)Requires the SPI, on or before October 1, 2013, and in 
          consultation with the Public School Accountability Act advisory 
          committee, to:

           a)   Report to the Legislature and recommend to the SBE for 
             adoption a method or methods to increase the emphasis on pupil 
             performance in science and social science in the API; and,

           b)   Report to the Legislature an alternative method or methods, 
             in place of decile rank, for determining eligibility, 
             preferences, or priorities for any statutory program that 
             currently uses decile rank as a determining factor.

        8)Expresses the intent of the Legislature that the state's system of 
          public school accountability be more closely aligned with the 
          public's expectations for public education and the workforce needs 
          of the state's economy and that the state's accountability system 
          evolve beyond its narrow focus on pupil test scores to encompass 
          other valuable information about school performance, as specified.

        9)Finds and declares that the overreliance of the API has been 
          limited by an overreliance on the Standardized Testing and 
          Reporting Program (STAR) test scores, that the API does not 
          indicate the degree to which a school has prepared its pupils for 








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          success in postsecondary education and career, and that the 
          transition to new common core academic content standards and 
          related assessments present an opportunity to reexamine the state 
          system of public school accountability.

         EXISTING LAW  establishes the API, which summarizes a school's or a 
        local educational agency's (LEA's) academic performance and progress 
        on statewide assessments.  The API is a single number ranging from 
        200 to 1,000 and is required to include a variety of indicators, 
        including results of the Standardized Testing and Reporting Program 
        (STAR) tests, attendance rates, and high school graduation rates.  
        Existing law requires that achievement test scores constitute at 
        least 60% of the API.  However, the only indicators used so far to 
        calculate the API have been test scores, so, in practice, test 
        scores constitute 100% of the API.  

        Among other things, the API is used to rank schools into deciles, 
        based on their API scores.  Each school receives two ranks-one 
        relative to all other schools in the state and one relative to 100 
        other schools with similar pupil demographics.  Decile ranks are 
        used for a variety of purposes, including:

        1)Identifying schools for participation in the II/USP and HA/ISP 
          programs.

        2)Compliance with the Williams settlement.

        3)Charter school renewal.

        4)Identifying schools for the Open Enrollment Act.

        5)Identifying eligible schools for the Assumption Program of Loans 
          for Education.

        6)Reporting on the School Accountability Report Card (SARC).

        7)Determining allowable expenditures for the Professional 
          Development Block Grant.

        8)Identifying eligible schools for the Quality Education Investment 
          Act.
         FISCAL EFFECT  :   According to the Assembly Appropriations Committee:

        1)General Fund (GF) administrative costs of approximately $250,000 








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          to the State Department of Education to meet the requirements of 
          this measure, including additional staff to research the 
          appropriate indicators to recommend for inclusion in the API.  

        2)This bill, commencing with the 2014-15 school year, requires no 
          more than 40% of the API at the secondary level to consist of 
          assessment results.  As such, it is unclear if LEAs are currently 
          collecting appropriate data to incorporate additional indicators 
          into the API.  If the state needs to collect additional data 
          beyond what is currently collected, there will be GF/98 costs, 
          likely in the hundreds of thousands to millions, to LEAs.   

        3)GF/98 cost pressure, likely in excess of $4.5 million, to 
          implement a program of school quality review that features locally 
          convened panels to visit schools, observe teachers, interview 
          pupils, and examine pupil work.  This bill requires the enactment 
          of this provision to be contingent upon funding in the budget for 
          this purpose.  

          This measure does not specify parameters or elements of this 
          review; the state, however, currently is required under federal 
          law to assist LEAs that do not meet federal accountability 
          requirements.  The state meets this requirement by funding School 
          District Intervention and Assistance Teams.  This cost estimate is 
          based on this process.      

         COMMENTS  :   According to the author, "It is time for the API to 
        evolve into a less punitive, more constructive representation of 
        school performance, and to encompass a more comprehensive set of 
        expectations and aspirations for school performance, such as 
        graduation and/or dropout rates, and, as appropriate, measures of 
        pupil preparedness for college and career."  A recent report from 
        Education Sector, "Ready by Design:  A College and Career Agenda for 
        California" (June 2012) finds that there is no correlation between a 
        school's API score and its graduation or college enrollment rates 
        and concludes that the API is a flawed measure of college and career 
        readiness.  The report suggests that other measures, which are based 
        on data that are already collected and that are better indicators of 
        college and career readiness, could be added to the API at the high 
        school level.  These measures include:

        1)High school graduation and/or dropout rates.

        2)Data on pupils who pass the "a-g" requirements (coursework 








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          required for admission to the University of California).

        3)Passage rates and test-taking rates on Advanced Placement and 
          Early Assessment Program exams.

        4)Data on enrollment in postsecondary institutions.


         Analysis Prepared by  :    Rick Pratt / ED. / (916) 319-2087 


                                                                  FN: 0005012