BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      AB 1426


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          ASSEMBLY THIRD READING


          AB  
          1426 (Levine)


          As Amended  May 28, 2015


          Majority vote


           ------------------------------------------------------------------- 
          |Committee       |Votes |Ayes                 |Noes                 |
          |                |      |                     |                     |
          |                |      |                     |                     |
          |----------------+------+---------------------+---------------------|
          |Education       |7-0   |O'Donnell, Chávez,   |                     |
          |                |      |Kim, McCarty,        |                     |
          |                |      |Santiago, Thurmond,  |                     |
          |                |      |Weber                |                     |
          |                |      |                     |                     |
          |----------------+------+---------------------+---------------------|
          |Appropriations  |17-0  |Gomez, Bigelow,      |                     |
          |                |      |Bonta, Calderon,     |                     |
          |                |      |Chang, Daly, Eggman, |                     |
          |                |      |Gallagher,           |                     |
          |                |      |                     |                     |
          |                |      |                     |                     |
          |                |      |Eduardo Garcia,      |                     |
          |                |      |Gordon, Holden,      |                     |
          |                |      |Jones, Quirk,        |                     |
          |                |      |Rendon, Wagner,      |                     |
          |                |      |Weber, Wood          |                     |
          |                |      |                     |                     |
          |                |      |                     |                     |
           ------------------------------------------------------------------- 









                                                                      AB 1426


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          SUMMARY:  Modifies the State Board of Education (SBE) funding  
          determination for blended learning charter schools that offer  
          classroom-based instruction no less than 60% of the instructional  
          time and no more than 80%.  Specifically, this bill:


          1)Defines "blended learning charter school" as a charter school  
            that offers a formal education program in which a pupil learns  
            at least in part through online delivery of content and  
            instruction with some element of pupil control over time, place,  
            and pace and at least in part at a supervised location away from  
            home, operates a single schoolsite within the geographic  
            jurisdiction of the authority that granted its charter, and has  
            no more than one satellite facility.


          2)Requires the SBE to adopt criteria for the determination of  
            funding for blended learning charter schools that include  
            facilities costs. 


          3)Provides that a blended learning charter school that seeks a  
            funding determination shall not lose eligibility for facilities  
            assistance funding.


          FISCAL EFFECT:  According to the Assembly Appropriations  
          Committee, general Fund administrative costs to California  
          Department of Education of approximately $75,000 to review  
          additional funding determinations. 


          COMMENTS: 


          Purpose of the bill.  Under current law, charter schools can  
          receive full average daily attendance (ADA) funding if they offer  
          classroom-based instruction at least 80% of the time.  This allows  








                                                                      AB 1426


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          the charter to provide differentiated instructional models, such  
          as blended learning, without a reduction in funding.  Once a  
          charter school falls below 80% classroom-based, the charter is  
          required to seek a funding determination from the SBE.  In making  
          its determination, the SBE is required to consider a number of  
          factors, including the amount of the school's total budget spent  
          on certifications, employees' salaries and benefits, and on  
          schoolsites, and the teacher-to-pupil ratio in the school.  This  
          review provides important safeguards to ensure the state is  
          investing the appropriate amount of resources for this type of  
          instruction. 


          This bill establishes a new "zone" of charter schools that provide  
          at least 60% classroom-based instruction time but not more than  
          80% classroom-based instruction, and makes funding for these  
          schools subject to a determination by the SBE.  Existing law  
          already requires these charter schools to seek an SBE funding  
          determination.  The bill modifies this requirement for this subset  
          of charter schools by adding the additional requirement that the  
          SBE include facility costs.  The bill also makes these schools  
          eligible for facilities funding if they are otherwise eligible. 


          Arguments in support.  Supporters of this bill, the California  
          Charter Schools Association, state blended learning programs are  
          not well supported by the existing policy environment.  They state  
          the current SBE funding determination process has forced blended  
          learning charter schools to "severely curtail their blended  
          learning innovation".  They further state the current process is  
          "arbitrary and artificially constraining when applied to blended  
          learning charter schools."


          Arguments in opposition.  The California Teachers Association,  
          (CTA), which is opposed to this bill, states there is no research  
          highlighting the importance of the zone between 60% to 80% of  
          students instructional time that necessitate special  
          consideration.  A high quality charter school using a blended  








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          model of instruction has the potential to be a valuable  
          alternative for certain targeted students for whom the traditional  
          classroom model is not feasible.  However, too often this approach  
          is neither targeted nor high quality.  They note charter schools  
          that move into the online learning environment interact more with  
          for profit companies who have a responsibility to their  
          shareholders, taking the focus away from students.  CTA believes  
          charter schools that seek to provide more online instruction out  
          of class should utilize the existing process for non-classroom  
          based instruction apportionments. 




          Analysis Prepared by:                                               
          Rick Pratt / ED. / (916) 319-2087  FN: 0000630