BILL ANALYSIS                                                                                                                                                                                                    






                          SENATE COMMITTEE ON EDUCATION
                               Gloria Romero, Chair
                            2009-2010 Regular Session
                                         

          BILL NO:       AB 2592
          AUTHOR:        Buchanan
          AMENDED:       May 28, 2010
          FISCAL COMM:   Yes            HEARING DATE:  June 23, 2010
          URGENCY:       No             CONSULTANT:Lynn Lorber

           SUBJECT  :   Early learning quality rating scale.

           KEY POLICY ISSUES  :  

          Should the California Department of Education implement an  
          early learning quality rating scale that measures the quality  
          of child care and development programs?

          Should this rating scale be implemented on a pilot basis?

          Should license-exempt providers be included in the rating  
          scale? 

          Is this bill premature?

           SUMMARY:   

          This bill requires the California Department of Education to  
          implement an early learning quality rating scale that  
          measures the quality of child care and development programs  
          until June 30, 2017.

           BACKGROUND  

          SB 1629 (Steinberg, Ch. 307, 2008) established the Early  
          Learning Quality Improvement System Advisory Committee  
          (advisory committee), comprised of 13 members, for the  
          purpose of developing the policy and implementation plan for  
          an Early Learning Quality Improvement System (quality rating  
          scale).  The advisory committee was required to submit an  
          interim report in 2009, and is required to submit a final  
          report by December 31, 2010.  (Education Code  8300)

          The advisory committee held a number of meetings in different  
          locations throughout the state in 2009 and issued a  
          preliminary report in January of 2010.  The advisory  



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          committee focused its work mainly on two of the four elements  
          of quality required to be considered, and learned about  
          existing local systems as well as features of systems from 19  
          other states.  According to the report, some of the common  
          elements found in the quality rating and improvement systems  
          from other states include standards, accountability measures,  
          program and practitioner outreach and support, financing  
          incentives, and parent/consumer education.  According to the 


          report, some of the lessons learned from other states'  
          experiences include:

                 Conduct a pilot and have the training for the rating  
               infrastructure in place before implementing the quality  
               rating system statewide.

                 Set clear standards from the outset for the rating  
               system.

                 Use environment rating scales as a core element of  
               the quality rating system, although they can be  
               expensive to administer.

                 Determine who should conduct the quality ratings,  
               recognizing that this is a key decision.

                 Accompany ratings with financial incentives and  
               technical assistance, given that participation in most  
               quality rating systems is voluntary, and that providers  
               are taking some risk to be rated.

          The advisory committee has approved a preliminary general  
          design of a quality rating system featuring a non-weighted  
          block system.  Six quality elements - family involvement,  
          ratios and group size, environment rating scales, staff  
          education and training, teaching and learning, and program  
          leadership - makeup the evaluation components.  According to  
          the report, all the quality criteria in each tier need to be  
          accomplished to obtain that rating, and the criteria included  
          in each tier builds upon those in previous blocks.  For  
          example, if a program meets Tier 1 criteria in the "Family  
          Involvement" scale, it would be scored in the Tier 1 box.  If  
          it meets criteria for Tiers 1 through 5, it would be scored  
          in the Tier 5 box for that scale.  The following is the  
          matrix of standards:




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           ------------------------------------------------------------ 
          |     Quality Elements     | Tier | Tier | Tier | Tier |Tier |
          |                          |  1   |  2   |  3   |  4   |  5  |
          |--------------------------+------+------+------+------+-----|
          |Family involvement        |      |      |      |      |     |
          |--------------------------+------+------+------+------+-----|
          |Ratios and group size:    |      |      |      |      |     |
          |   -    Infant            |      |      |      |      |     |
          |   -    Toddler           |      |      |      |      |     |
          |   -     Preschool        |      |      |      |      |     |
          |--------------------------+------+------+------+------+-----|
          |Environmental rating      |      |      |      |      |     |
          |scale that focus on       |      |      |      |      |     |
          |structural quality and    |      |      |      |      |     |
          |teacher/provider - child  |      |      |      |      |     |
          |interaction               |      |      |      |      |     |
          |--------------------------+------+------+------+------+-----|
          |Staff education and       |      |      |      |      |     |
          |training                  |      |      |      |      |     |
          |--------------------------+------+------+------+------+-----|
          |Teaching and learning     |      |      |      |      |     |
          |--------------------------+------+------+------+------+-----|
          |Program leadership        |      |      |      |      |     |
           ------------------------------------------------------------ 

          This interim report stresses that what has been developed is  
          not final.  The advisory committee is scheduled to complete  
          the design structure of the quality rating system in 2010.  

          On November 16, 2009, Governor Schwarzenegger issued  
          Executive Order 
          S-23-09, which established the California State Advisory  
          Council on Early Childhood Education and Care (advisory  
          council) for the purpose of submitting an application for  
          American Recovery and Reinvestment Head Start funding by 
          August 1, 2010.  This executive order cites the requirement  
          that states have an advisory council pursuant to the federal  
          Improving Head Start for School Readiness Act of 2007.  This  
          advisory council is comprised of the Early Learning Quality  
          Improvement System Advisory Committee members plus five  
          additional representatives.

           ANALYSIS  

           This bill  requires the California Department of Education to  
          implement an early learning quality rating scale until June  



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          30, 2017.  Specifically, this bill:

          1)   Requires the California Department of Education (CDE) to  
               implement a quality rating scale based on the final  
               recommendations developed by the Early Learning Quality  
               Improvement System Advisory Committee, that reflects the  
               cultural and linguistic diversity of California's young  
               children.

          2)   Requires the quality rating scale to be implemented on a  
               pilot basis, with the sunset date of June 30, 2017.

          3)   Authorizes the quality rating scale to do any or all of  
               the following:

               a)        Measure the quality of services of an early  
                    care and education provider.

               b)        Measure elements of quality in an early care  
                    and education program and facility that include,  
                    but are not limited to, the following:

                    i)           Quality of the learning environment.

                    ii)            Quality of adult-child interactions.

                    iii)           Adult-to-child ratios.

                    iv)            Provider's education and  
                         professional qualifications, including those  
                         recognized by the Commission on Teacher  
                         Credentialing.

                    v)           Parent and family involvement.

               c)        Inform parents about the quality of a facility  
                    in a simple and easy to understand manner.

          4)   Requires the CDE to develop criteria for the selection  
               of early care and education providers and facilities to  
               participate in the pilot program.  Requires the CDE to  
               ensure that the providers and facilities selected are  
               geographically diverse and provide services to low  
               income children, children with special needs, and  
               English learners.





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          5)   Requires the California State Advisory Council on Early  
               Childhood Education and Care (advisory council) to do  
               both of the following:

               a)        Conduct an annual review of the pilot program  
                    and provide ongoing recommendations for the  
                    improvement of the quality rating scale.

               b)        Develop criteria to be used to evaluate the  
                    pilot program.

          6)   Requires the CDE to develop and implement any rules and  
               regulations necessary for the implementation of this  
               bill.

          7)   Requires the CDE to conduct an evaluation of the pilot  
               program based on the annual reviews and criteria  
               developed by the advisory council, and requires the CDE  
               to submit the evaluation to the appropriate policy  
               committees of the Legislature by January 1, 2016.

          8)   Prohibits this bill from being implemented unless  
               federal early care and education funds are provided for  
               the purposes of this bill.

          9)   Sunsets the provisions of this bill on June 30, 2017.

           STAFF COMMENTS  

           1)   Need for the bill  :  According to the author, "this bill  
               is necessary for California to compete for $9 billion  
               from the federal Early Learning Challenge Fund (ELCF)  
               proposed by President Obama as part of the 2011 budget.   
               This competitive grant proposal challenges states to  
               develop effective, innovative models to raise quality  
               through high standards, incentivizing excellence, and  
               focusing on outcomes.  Draft legislation in Congress (HR  
               3221, Miller) has identified the Quality Rating Scale  
               (QRS) as the primary vehicle for early learning systems  
               change, and it is likely to be a requirement for states  
               to compete for the ELCF, which could mean from $100  
               million to $200 million a year for California to  
               implement its QRS."  

          2)   What about license-exempt providers  ?  License-exempt  



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               child care providers must be fingerprinted and meet  
               background check requirements, but are not required to  
               meet education or training requirements, staffing  
               ratios, and are not monitored or overseen by the state.   
               This bill does not include license-exempt child care  
               providers in the quality rating scale.  Does this assume  
               license-exempt programs are devoid of quality?  Would it  
               make sense to include these providers in a rating system  
               when they are not regulated by the state?   

          3)   Unresolved issues  .  California has a system of  
               reimbursement rates that does not always incentivize  
               providers to improve program quality (e.g., child care  
               programs in high-cost counties that meet only basic  
               health and safety requirements can earn higher  
               reimbursement rates than child care and development  
               programs that meet higher standards). In addition, child  
               care providers need education and training in order to  
               improve the quality of programs.  These issues are  
               longstanding but remain unresolved.
           
          4)   Premature  ?  The final report of the Early Learning  
               Quality Improvement System Advisory Committee, regarding  
               the structure of the quality rating system, is due by  
               December 31, 2010.  Should the Legislature wait for this  
               report before requiring the implementation of a quality  
               rating scale?

          Staff understands that a source of federal funding being  
               sought to fund this bill is the federal Early Learning  
               Challenge Fund.  However, this fund has not been  
               established nor has funding been appropriated for this  
               purpose; it is still a proposal in bill form, awaiting  
               hearing in the Senate Committee on Health, Education,  
               Labor and Pensions.
           
          5)   Fiscal impact  .  According to the Assembly Appropriations  
               Committee, this bill would require one-time federal  
               early care and childhood funds, likely between $1  
               million and $2 million.  

          6)   Related budget action  .  The budget conference committee  
               is currently considering an item that provides $1  
               million from one-time federal funds, and three positions  
               for the advisory committee and advisory council to  
               conduct a study on the feasibility of developing a  
               system to collect and store data related to the state's  



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               early education programs.  
           
           SUPPORT
           
          Advancement Project
          Association of California School Administrators
          Bay Area Council
          Business-Education Alliance of Merced County
          California Federation of Teachers
          California Head Start Association
          California Kindergarten Association
          California State PTA
          Children Now
          Delhi Unified School District
          Fight Crime: Invest in Kids
          First 5 California
          Livingston Union School District
          Los Angeles Area Chamber of Commerce
          Merced County District Attorney
          Options - A Child Care and Human Services Agency
          Orange County Department of Education
          Preschool California
          San Diego Regional Economic Development Corporation
          Santa Clara County Office of Education
          Silicon Valley Leadership Group
          University of California, Merced
          Worldcolor Merced
          Individuals

           OPPOSITION
           
          None received.