BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON EDUCATION
                              Senator Carol Liu, Chair
                                2015 - 2016  Regular 

          Bill No:             SB 527              
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          |Author:    |Liu                                                  |
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          |Version:   |August 15, 2016                         Hearing      |
          |           |Date:    August 26, 2016                             |
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          |Urgency:   |No                     |Fiscal:    | Yes             |
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          |Consultant:|Lynn Lorber                                          |
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          Subject:  Education finance:  Safe Neighborhoods and Schools  
          Fund:  Learning Communities for School Success Program

          NOTE:  This bill was amended in the Assembly to replace its  
                contents and this is the first time the bill is being  
                heard by this Committee in its current form.


            SUMMARY
          
          This bill establishes a grant program, to be administered by the  
          California Department of Education (CDE) that furthers the  
          purpose of Proposition 47 in reducing truancy and supporting  
          students who are at risk of dropping out of school or who are  
          victims of crime.

            BACKGROUND
          
          Existing law:

          1)   Establishes the Safe Neighborhoods and Schools Act, through  
               passage of Proposition 47 in November 2014, which reduces  
               the penalties for certain non-violent, non-serious drug and  
               property crimes.  Existing law requires 25% of the  
               resulting savings to be deposited in the Safe Neighborhoods  
               and Schools Fund to fund a grant program administered by  
               the CDE to reduce truancy and support students who are at  
               risk of dropping out of school or who are victims of crime.  
                (Government Code § 7599, et seq.)








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          2)   Requires local educational agencies to adopt and annually  
               update a local control and accountability plan (LCAP),  
               which must include a description of annual goals to meet  
               the state priorities, and any additional local priorities,  
               for all students and each numerically significant subgroup  
               and a description of the specific actions to achieve the  
               goals identified in the LCAP.  
          (Education Code § 52060 and § 52066)

            ANALYSIS
          
          This bill:

             1)   Establishes the Learning Communities for School Success  
               Program to implement the K-12 education portion of the Safe  
               Neighborhoods and Schools Act (Proposition 47).

             2)   Requires the California Department of Education (CDE) to  
               administer a grant program and coordinate assistance to  
               local educational agencies (LEAs) in identifying and  
               implementing evidence-based, non-punitive programs and  
               practices that are aligned with the goals for students  
               contained in each LEA's local control and accountability  
               plan (LCAP).  

          Application

             3)   Requires a LEA that chooses to apply for funding to  
               submit an application to the CDE, in a format and by a date  
               determined by the CDE.  This bill requires the application  
               to include, at a minimum, all of the following:

                  a)        Information about the student and school needs  
                    within the LEA.

                  b)        The activities the LEA will undertake with the  
                    grant funding.

                  c)        How the activities support the LEA's goals for  
                    students contained in its LCAP.

                  d)        How the LEA will measure outcomes associated  
                    with the proposed activities and metrics reported in  
                    the LEA's LCAP.








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             4)   Requires the CDE to issue application guidelines that  
               include, at a minimum, information about the CDE's plans  
               for overall evaluation of the program considering the  
               objectives in #13.  This bill requires the CDE, in  
               consultation with the executive director of the State Board  
               of Education, for purposes of facilitating program  
               evaluation, to identify a set of measures and associated  
               data sources that are deemed valid and reliable for  
               measuring student and school outcomes and assessing the  
               benefits of the program.

             5)   Requires CDE to consult with stakeholders, including but  
               not limited to, representatives of LEAs, teachers and other  
               school personnel, parents, advocacy organizations with  
               experience working with target vulnerable populations, and  
               parent- and youth-serving community-based organizations.  
               This bill states legislative intent that stakeholders  
               provide input to the CDE on the design of the application  
               and review process, including the size of the grant awards,  
               but not in determining who will be awarded grants.

          Grant awards

             6)   Requires the CDE to determine eligibility for grants and  
               the distribution of grant funding based on all of the  
               following factors:

                  a)        Student and school needs the LEA will address  
                    with the grant funds.

                  b)        Number of students to be served with the grant  
                    funds.

                  c)        Number, size, and type of participating  
                    schools within the LEA.

                  d)        Any challenges the local educational agency  
                    (LEA) experiences in building capacity for fulfilling  
                    the purposes of this bill.

                  e)        The unique characteristics of small school  
                    districts, given their challenges with economies of  
                    scale and access to services in rural locations.








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             7)   Requires the California Department of Education (CDE),  
               before the initial application deadline, to conduct  
               targeted outreach to LEAs that are likely to be given  
               priority for funding and offer the LEAs technical  
               assistance as they develop their grant applications.  This  
               bill authorizes the CDE to provide technical assistance  
               with application development, which may include assistance  
               from external entities the CDE may contract with to provide  
               training and technical assistance.

             8)   Provides that an application is to be for three years of  
               funding and authorizes the CDE to establish requirements  
               for grantees to meet at the end of the first and second  
               years of funding in order to receive funding for the  
               remaining grant period.

          Use of grant funds

             9)   Requires a LEA that receives a grant to use the grant  
               funds for planning, implementation, and evaluation of  
               activities in support of evidence-based, non-punitive  
               programs and practices to keep the state's most vulnerable  
               students in school.  This bill requires these activities to  
               complement or enhance the actions and services identified  
               to meet the LEA's goals as identified in its LCAP.  This  
               bill authorizes these activities to include but not be  
               limited to, all of the following:

                  a)        Establishing a community school, as defined.

                  b)        Implementing activities or programs to improve  
                    attendance and reduce chronic absenteeism, including  
                    but not limited to, early warning systems or early  
                    intervention programs.

                  c)        Implementing restorative practices,  
                    restorative justice models, or other programs to  
                    improve retention rates, reduce suspensions and other  
                    school removals, and reduce the referral of students  
                    to law enforcement agencies.

                  d)        Implementing activities that advance  
                    social-emotional learning, positive behavior  








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                    interventions and supports, culturally responsive  
                    practices, and trauma-informed strategies.

                  e)        Establishing partnerships with community-based  
                    organizations or other relevant entities to support  
                    the implementation of evidence-based, non-punitive  
                    approaches to further the goals of the program.

                  f)        Adding or increasing staff within a LEA whose  
                    primary purpose is to address ongoing chronic  
                    attendance problems, including but not limited to, 
                    conducting outreach to families and children  
                    currently, or at risk of becoming, chronically truant.

          Priority for funding

             10)  Authorizes the California Department of Education (CDE),  
               in selecting grant recipients, to give priority to a local  
               educational agency (LEA) that meets any of the following  
               criteria:

                  a)        Has a high rate of chronic absenteeism,  
                    out-of-school suspension, or school dropout for the  
                    general student population or for a numerically  
                    significant student subgroup, as identified in the  
                    local control and accountability plan (LCAP).  This  
                    bill defines "high rate" as a rate that exceeds the  
                    state average.

                  b)        Is located in a community with a high crime  
                    rate.

                  c)        Has a significant representation of foster  
                    youth among its student enrollment.

          Other requirements

             11)  Requires a LEA that receives a grant to comply with the  
               following:

                  a)        Provide a local contribution of matching  
                    expenditures equal to at least 20% of the total grant  
                    award.  This bill authorizes the local contribution to  
                    be from cash expenditures or in-kind contributions,  








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                    and encourages a LEA to exceed the 20% match  
                    requirement to enable the LEA to sustain the  
                    activities or programs beyond the three-year grant  
                    period.

                  b)        Use the grant funds to increase or improve  
                    services that the LEA currently provides for purposes  
                    specified in this bill.

                  c)        Not use grant funds to pay for law enforcement  
                    activities, including personnel or equipment.

          Training and technical assistance

             12)  Requires CDE to establish a structure to deliver  
               training and technical assistance to grantees using  
               regional workshops and technical assistance providers that  
               have expertise on student engagement, school climate,  
               truancy reduction, and supporting students who are at risk  
               of dropping out of school or who are victims of crime.   
               This bill authorizes CDE to contract with those providers  
               to assist the grantees as well as to serve as a resource  
               for other LEAs that may use their own funding sources to  
               engage in this community of practice.  This bill requires  
               technical assistance provided pursuant to this bill to be  
               consistent with the technical assistance provided to a LEA  
               by the county superintendent of schools or the  
               Superintendent of Public Instruction in the development of  
               the LCAP.


          Evaluation and report

             13)  Requires a local educational agency (LEA) that receives  
               grant funding to evaluate and report to the governing board  
               of the school district, the county board of education, or  
               its chartering authority, and the California Department of  
               Education (CDE) the results of the activities it undertakes  
               with the grant funds.  This bill requires CDE to compile  
               information from grantee reports as part of an overall  
               evaluation of the grant program implementation, assess the  
               benefits of participation in the program, and identify the  
               student and school outcomes associated with the strategies  
               and programs implemented by grantees. This bill requires  








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               CDE to submit an interim report of preliminary evaluation  
               findings to the Legislature by January 31, 2019, and a  
               final evaluation report to the Legislature by January 31,  
               2020.

          Miscellaneous

             14)  Authorizes 5% of the funds to be used for the  
               administrative costs of implementing this bill, including  
               but not limited to, administering grant awards,  
               coordinating the training and technical assistance  
               structure, and completing the evaluation.

             15)  Establishes the following definitions:

                  a)        "Community school" means a public school that  
                    participates in a community-based effort to coordinate  
                    and integrate educational, developmental, family,  
                    health, and other comprehensive services through  
                    community-based organizations and public and private  
                    partnerships with one or more community partners for  
                    the delivery of community services that may be  
                    provided at a school site to students, families, and  
                    community members.

                  b)        "Local educational agency" means a school  
                    district, county office of education, or charter  
                    school.

             16)  Prohibits the provisions of this bill from becoming  
               operative unless funds are appropriated in the annual  
               Budget Act or another statute to the Safe Neighborhoods and  
               Schools Fund in accordance with the Safe Neighborhoods and  
               Schools Act for the purposes specified in this bill.

             17)  Provides that this bill is contingent upon the passage  
               of AB 1014 (Thurmond).

          STAFF COMMENTS
          
          1)   Need for the bill.  In November 2014, voters approved  
               Proposition 47, establishing the Safe Neighborhoods and  
               Schools Act.  The Proposition reduced penalties for  
               specified non-violent drug and property crimes, resulting  








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               in a reduced prison population and thereby reduced state  
               costs.  The Proposition requires the Department of Finance  
               to, on or before July 31st of each fiscal year, beginning  
               with July 31, 2016, to calculate the savings derived by the  
               Proposition during the preceding fiscal year.  The savings  
               are required to be allocated for specified purposes,  
               including 25% to the California Department of Education  
               (CDE) to administer a grant program to public agencies  
               aimed at improving outcomes for public school students in  
               kindergarten through grade 12 by reducing truancy and  
               supporting students who are at risk of dropping out of  
               school or are victims of crime.  Proposition 47 provided no  
               guidance for the structure or details of the grant program.  
                This bill provides those details.

          2)   Assembly amendments.  This bill, when it left the Senate,  
               related to the implementation of a grant program relative  
               to the education portion of Proposition 47.  This bill was  
               substantively amended in the Assembly to recast the  
               provisions of the Proposition 47 grant program.  SB 527 now  
               reflects the framework agreed upon by 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 AB 1014  
               (Thurmond), which is identical to this bill.  While this  
               Committee does not typically pass two bills on the same  
               topic, these bills represent an agreement between both  
               Houses and enactment of both bills is contingent upon the  
               passage of both bills.

          3)   Fiscal impact.  According to the Assembly Appropriations  
               Committee:

               a)        The 2016-17 Budget provides a total of $27.9 for  
                    the purposes of this bill.  Specifically, the budget  
                    includes $9.9 million in Proposition 47 savings and an  
                    additional $18 million in one-time Proposition 98  
                    funds to implement the K-12 grant program required  
                    under Proposition 47, pursuant to legislation. 

               b)        Administrative costs to the CDE in the range of  
                    $400,000 to $800,000 to administer grants, provide  
                    technical assistance, and collect and analyze data.   
                    This bill, consistent with the Safe Neighborhoods and  








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                    Schools Act, allows the CDE to use no more than 5% of  
                    the funding the department receives from the Act for  
                    administrative costs.

            SUPPORT
          
          Advancement Project

            OPPOSITION
           
           None received.

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