BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session AB 1014 (Thurmond) - Education finance: Safe Neighborhoods and Schools Fund: Learning Communities for School Success Program ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: June 23, 2016 |Policy Vote: ED. 7 - 1, ED. 9 - | | | 0 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: No | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: August 1, 2016 |Consultant: Jillian Kissee | | | | ----------------------------------------------------------------- This bill meets the criteria for referral to the Suspense File. Bill Summary: This bill establishes the Learning Communities for School Success Program, which requires the California Department of Education (CDE) to administer grants for local educational agencies (LEAs) to implement programs and services consistent with Proposition 47 to improve outcomes for students by reducing truancy and supporting students who are at risk of dropping out of school or are victims of crime. Fiscal Impact: The implementation of this bill is contingent upon funds appropriated in the budget act or another statute. The Budget Act of 2016 includes a total of $27.9 million for this purpose. Specifically, the budget includes $9.4 million of estimated Proposition 47 savings, with an additional $18 AB 1014 (Thurmond) Page 1 of ? million in one-time Proposition 98 to be spent over three years, and $493,000 General Fund for CDE state operations. The CDE anticipates costs of almost $720,000 in the first year for start-up and program administration costs, including contracting with consultants to provide technical assistance, conducting stakeholder meetings and program monitoring, and funding for CDE support staff. This translates to an additional need of $227,000 over the amount provided in the budget act. Second year costs (2017-18) are anticipated to be $763,000. Background: The Safe Neighborhoods and Schools Act was approved by voters as Proposition 47 in November 2014 and makes significant changes to the state's criminal justice system. It reduces the penalties for certain non-violent, non-serious drug and property crimes, and requires that the resulting state savings be spent on: 1) mental health and substance use services; 2) truancy and dropout prevention; and 3) victim services. Further, Proposition 47 requires that 25 percent of the Safe Neighborhoods School Fund be allocated to the CDE for a grant program to reduce truancy, high school dropout, and student victimization rates. Proposition 47 requires the Department of Finance, beginning with July 31, 2016, to calculate the savings derived by the Proposition in the preceding fiscal year. Proposed Law: This bill establishes the Learning Communities for School Success Program for the purpose of implementing the K-12 education portion of the Safe Neighborhoods and Schools Act, as approved as Proposition 47 by the voters. The CDE is required to administer the program providing three-year grants and coordinate assistance to LEAs to support them in identifying and implementing evidence-based, non-punitive programs that are aligned with the goals for students contained in each LEA's local control and accountability plan. The main components of the program include: CDE is required to conduct outreach and technical assistance before the initial application deadline to LEAs that are likely to be given priority to help them with their grant AB 1014 (Thurmond) Page 2 of ? applications. CDE is required to consult with stakeholders, with the intent that stakeholders provide input on the design of the application and review process. LEAs are required to use grant funds for planning, implementation, and evaluation of activities for evidence-based, non-punitive programs and practices to keep vulnerable youth in school. LEAs may use grant funds for the following purposes: to establish a community school, as specified; for activities that improve attendance and reduce chronic absenteeism; restorative practices to improve retention rates, reduce suspensions and other school removals, and reduce the referral of students to law enforcement agencies; for activities that advance social-emotional learning; and to establish partnerships with community-based organizations. Priority for grant funds is required to be given to LEAs with high rates of chronic absenteeism, out-of-school suspension, or school dropouts, or located in a community with a high crime rate. Grantees must provide a 20 percent local match and are prohibited from spending funds on law enforcement activities. The CDE is required to establish a structure to deliver training and technical assistance to grantees using regional workshops and technical assistance providers that have subject matter expertise. Grantees are required to evaluate and report to their respective governing board and the CDE the results of the activities implemented. The CDE is required to compile the information as part of an overall evaluation of the grant AB 1014 (Thurmond) Page 3 of ? program implementation and submit an interim report of preliminary evaluation findings to the Legislature by January 31, 2019 and a final evaluation by January 31, 2020. The CDE is allowed up to five percent of Proposition 47 savings for administrative costs, including administering grant awards, coordinating training and technical assistance, and completing the evaluation. Related Legislation: SB 527 (Liu, 2016) is identical to this bill and is pending in the Assembly Appropriations Committee. Staff Comments: This bill provides a plan to spend the education share of savings in accordance with the provisions of Proposition 47. It is the result of an agreement on a framework between both houses of the Legislature, in collaboration with the CDE, Department of Justice, Department of Finance, and stakeholders. This bill implements the framework, along with SB 527 (Liu), which is identical to this bill. Enactment of both bills is contingent upon the passage of both bills. -- END --