BILL ANALYSIS                                                                                                                                                                                                    �




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          Date of Hearing:   April 30, 2014

                           ASSEMBLY COMMITTEE ON EDUCATION
                                Joan Buchanan, Chair
                    AB 2178 (Levine) - As Amended:  March 28, 2014
           
          SUBJECT  :   Pupil instruction: Blended Learning Pilot Program

           SUMMARY  :   Establishes the Blended Learning Pilot Program (pilot  
          program). Specifically,  this bill  :  

          1)Makes findings and declarations related to blended learning  
            programs.

          2)Defines "blending learning" as 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.

          3)Requires the State Board of Education (SBE) to administer this  
            program for the purpose of exploring various models of  
            innovation and document best and promising practices in the  
            emerging educational delivery model known as blended learning.

          4)Permits the pilot program to operate for three years,  
            commencing with the 2015-16 school year.

          5)Requires the SBE to establish an application process and  
            timeline to ensure pilot program participants are selected and  
            applicable waivers are approved before the commencement of the  
            2015-16 school year.

          6)Permits the SBE to solicit and receive grants from private  
            not-for-profit foundations and organizations for purposes of  
            funding the administration of the pilot program.

          7)Permits a school district, county office of education, charter  
            school, or charter school management organization to  
            participate in the pilot program and specifies that a single  
            applicant may include more than one school if each school in a  
            single application shares a common educational model and  
            administrative structure.

          8)Requires each application to include, at minimum the  









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            following:

             a)   A written proposal describing the blended learning  
               program offered by the applicant and the specific pupil  
               population served by the applicant.

             b)   Evidence of the applicant's track record of success in  
               operating a blended learning program and of the applicant's  
               track record of success in serving the target pupil  
               population, and particularly in closing the achievement gap  
               for high-need pupils, including English learners, pupils  
               living in poverty, foster youth, and other pupil subgroups  
               identified as underperforming.

             c)   A written plan for documenting and reporting its  
               promising practices and pupil outcomes during the term of  
               the pilot program, including specific educational goals and  
               outcomes that align with the applicant's local control and  
               accountability plan.

             d)   A description of any partnerships the applicant has  
               developed with individuals and organizations outside of the  
               applicant organization, including, but not limited to,  
               blended learning policy and research entities, academic  
               institutions, educational technology experts, community  
               organizations, and local employers.

             e)   Evidence of support for the application by individuals  
               and organizations outside of the applicant organization.

             f)   A description of specific statutes for which the  
               applicant requests a waiver and a description of the  
               educational benefit to be achieved as a result of the  
               waiver and any alternative conditions, procedures, or  
               requirements that may be applied as an alternative to the  
               statutes proposed to be waived.

          1)Permits the SBE to select up to 20 applicants in accordance  
            with specified criteria that includes the viability and  
            reasonableness of the applicant's planned program.

          2)Permits the SBE to amend a waiver request submitted by an  
            applicant, consider alternative waivers, or impose additional  
            terms on an applicant as a condition of a waiver receipt at  
            the SBE's discretion.









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          3)Specifies that an applicant for the pilot program shall be  
            deemed a school district for the purposes of requesting and  
            receiving waivers under this pilot program and that any  
            waivers granted by the SBE shall further the intent of the  
            pilot program to offer greater flexibility to further  
            innovation and pupil achievement in blended learning programs.

          4)Exempts a charter school or charter school management  
            organization participating in the pilot program from the  
            following:

             a.   The requirement that classroom-based instruction must  
               occur under the immediate supervision and control of a  
               certificated teacher who is an employee of the school; and

             b.   The requirement that limits funding for online  
               instruction to no more than 70% of the funding to which the  
               charter school would otherwise be entitled to receive. 

          5)Requires a charter school participating in this pilot program  
            to notify its authorizing entity of its participation in the  
            pilot program and requires the charter school to provide its  
            authorizing entity a copy of any waiver that is approved as a  
            result of participation, but also specifies that approval of  
            an associated waiver is not to be considered a material  
            revision to the school's charter.

          6)Permits the SBE to terminate the participation of a  
            participant in the pilot program, and any associated waivers,  
            for good cause.

          7)Requires each pilot program participant to submit a report to  
            the SBE on its progress and outcomes.

          8)Requires the SBE, no later than December 31, 2018, to submit a  
            report to the Legislature on the results of the pilot program,  
            including recommendations on whether to continue any of the  
            waivers for the schools that participated in the pilot program  
            and whether any other changes in the law are supported as a  
            result of the outcomes achieved in the participating schools.

          9)Repeals these section on January 1, 2019, unless a later  
            statute is enacted that deletes or extends that date.










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           EXISTING LAW  

             1)   Permits the SBE to approve requests by governing boards  
               of local school districts or a county board of education to  
               waive all or part of any section of the Education code or  
               any regulation adopted by the SBE, with specified and  
               limited exceptions.

             2)   Establishes the eligibility requirements for  
               apportionment funding for charter schools that offer  
               nonclassroom-based instruction and specifies that a charter  
               school may receive apportionment funding for such  
               instruction pursuant to regulations adopted by the SBE. 


             3)   Requires that, for purposes of apportionments based on  
               classroom-based instruction, charter school pupils be under  
               the immediate supervision and control of a certificated  
               teacher who is an employee of the school.


           FISCAL EFFECT  :   Unknown

           COMMENTS  :   

           Background  .  Blended learning is a method of instruction that  
          combines on-line or technology learning and more traditional  
          face-to-face or classroom interactions. Blended learning  
          programs are being used across the state in various public  
          school settings.  There is a number of different blended  
          learning models that schools may choose to implement, including:



                 Face-to-Face Driver: The teacher decides when to  
               implement online learning on a case-by-case basis, to help  
               supplement the curriculum. 


                 Rotation: In this model, students move on a fixed  
               schedule between online learning (which is most often  
               self-paced) and traditional teacher instruction in a  
               classroom, usually organized by small student groups. 










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                 Flex: In this model, the online platform dominates  
               student instruction. On-site teachers provide support as  
               needed through tutoring or small-group sessions.


                 Online Lab: Courses are taught entirely online. Labs  
               rely heavily on software modules, but online teachers are  
               also available. 


                 Self-Blend: Most often seen in high schools across the  
               country, the self-blend model lets students take online  
               courses to enhance traditional classroom learning. 


                 Online Driver: This program is designed so that an  
               online platform delivers the entire curriculum. Check-ins  
               with a teacher are often optional, though occasionally they  
               are mandatory.<1>


           The proposed pilot will include only hand-picked, "successful"  
          programs.   This bill creates a three year pilot program for up  
          to 20 schools or organizations to explore whether statutory  
          changes are necessary to better implement and support the  
          growing number of blended learning programs across the state.   
          The findings and declarations in this bill presuppose the  
          benefits of a blended learning program by stating "[e]arly  
          results are showing that a blended learning environment can  
          improve pupil achievement, particularly for those pupils with  
          the greatest needs."  Because this pilot program requires an  
          applicant to have a proven track record of success in delivering  
          blended learning programs, the only conclusion that can be  
          reached is that "successful programs are successful."  



           Waiver authority.   Charter schools do not have the same waiver  
          authority as school districts, in large part because they are  
          already exempt from most provisions of the Education Code.   
          However, this bill grants charter schools participating in the  

          ---------------------------
          <1> The Rise of K-12 Blended Learning: Profiles of Emerging  
          Models 









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          pilot project the same general waiver authority as school  
          districts.  A school district can only apply for a waiver from  
          the SBE upon a vote of its governing board after a public  
          hearing.  Charter schools are not governed by publicly elected  
          boards, and there is no parallel process required for charter  
          schools to seek public input from the families they serve prior  
          to requesting a waiver.



           One pilot, many schools, no teachers.   This bill exempts charter  
          schools participating in the pilot from the requirement that  
          classroom-based instruction must occur under the immediate  
          supervision and control of a certificated teacher who is an  
          employee of the school.  At the same time, this bill authorizes  
          charter school management organizations to apply for  
          participation in the pilot program.  As their name implies,  
          charter school management organizations manage more than one  
          charter school, and this bill specifically permits an applicant  
          to include more than one school.  So, an unknown number of  
          charter schools could be involved through management  
          organizations, and each one would be exempt from the requirement  
          that their pupils receiving classroom-based instruction be under  
          the immediate supervision and control of a certificated teacher.



           A funding windfall.   This bill also exempts charter schools  
          participating in the pilot from existing funding provisions  
          relating to nonclassroom-based instruction.  Specifically,  
          existing law requires the SBE to adopt regulations to determine  
          funding for charter school nonclassroom-based instruction, and  
          further provides that funding for nonclassroom-based instruction  
          shall not be more than 70 of the amount of funding to which the  
          charter school would otherwise be entitled.  Exempting charter  
          schools from this provision would result in at least a 43%  
          increase in their funding for nonclassroom-based instruction,  
          with no requirement for a corresponding increase in services  
          provided to pupils.



           Self evaluation.   This bill does not require an independent  
          evaluation of the results of the pilot.  Instead, it requires  
          each school in the pilot to submit a report at the end of each  









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          year on its progress and outcomes.  Participating schools would  
          define their own standards and criteria for measuring progress  
          and outcomes, so there would be no standard metric with which to  
          compare outcomes across schools.


           Online instruction has not been shown to be effective  .  The use  
          of online instruction has grown in recent years, but there have  
          been few well-controlled studies of its effectiveness with K-12  
          students.  This is the main finding from a review of the  
          research reported by the U. S. Department of Education (USDOE)  
          in September 2010 ("Evaluation of Evidence-Based Practices in  
          Online Learning:  A Meta-Analysis and Review of Online Learning  
          Studies").  The USDOE report contains the findings of a  
          meta-analysis of research on online learning, which concludes  
          that "on average, students in online learning conditions  
          performed modestly better than those receiving face-to-face  
          instruction."  However, the report cautions against generalizing  
          this finding to the K-12 population, because only five of the 45  
          studies in the analysis involved K-12 instruction.  (The others  
          involved medical training, higher education, and other non-K-12  
          instruction.)  All of the five K-12 studies involved blended  
          instruction, in which online learning is combined with  
          face-to-face instruction.  Because blended instruction often  
          includes additional instructional time, the positive effects  
          observed with this approach may be the result of the additional  
          time on task, and cannot be attributed to the media, per se,  
          according to the USDOE report.  

          More recent studies indicate online instruction alone is not as  
          effective as regular classroom instruction:

                 A 2011 study of charter school performance in  
               Pennsylvania by the Center for Research on Education  
               Outcomes (CREDO) at Stanford University found that each of  
               that state's 8 online charter schools ("cyber schools")  
               significantly underperformed brick and mortar schools and  
               regular (non-virtual) charter schools in reading and math.

                 A review of virtual schools in Wisconsin by the Gannett  
               Wisconsin Media Investigative Team found that students  
               receiving online instruction "often struggle to complete  
               their degrees and repeat grades four times as often as  
               their brick-and-mortar counterparts," and they "trail  
               traditional students in every subject but reading."









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                 A 2011 report from the Office of the Legislative Auditor  
               in Minnesota reported that full-time online students were  
               more likely to completely drop out of school and made less  
               progress on state standardized math tests than students in  
               traditional schools.

                 A 2011 report from the Ohio Department of Education  
               rated only three of Ohio's 27 virtual schools as  
               "effective" or "excellent."

                 A 2006 performance audit by the Colorado Department of  
               Education of that state's virtual schools found that, "in  
               the aggregate, online students performed poorly on the CSAP  
               (Colorado State Assessment Program) exams and had higher  
               repeater, attrition, and dropout rates."

                 The Florida Virtual Academy, a statewide virtual school,  
               reports that 81% of its students who complete their courses  
               receive a passing grade.  However, the Tampa Bay Times  
               reports that the Virtual Academy's records show that  
               two-thirds of students who enroll in a course don't finish  
               it.  When dropouts are included, the actual pass rate is  
               28%.  The Times was unable to get Virtual School Florida  
               Comprehensive Assessment Test scores from either the  
               Virtual School or the Florida Department of Education.

          One of the largest providers of on-line instructional software  
          is K12, Inc., a private, for-profit publicly traded corporation.  
           K12, Inc. materials are used extensively in California,  
          primarily by charter schools.  The NCAA recently announced that  
          it will stop accepting coursework from 24 schools nationwide (13  
          in California) that use the K12, Inc. curriculum, because "their  
          courses were found to not comply with the NCAA's nontraditional  
          course requirements."  Other K12, Inc. schools are currently  
          being evaluated by the NCAA for compliance with its "core course  
          and nontraditional course requirements."  All of the 13 schools  
          in California that are affected by this decision are charter  
          schools that would be eligible to participate in the pilot  
          established by this bill and, by doing so, receive a minimum 43%  
          increase in their funding.



           An alternative approach.   As acknowledged in this bill's  









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          findings and declarations, many local education agencies are  
          already implementing some form of blended learning.  In fact,  
          the findings and declarations state that we already know that "a  
          blended learning environment can improve pupil achievement."   
          However, they also state that unspecified changes are needed to  
          remove unspecified constraints to further innovation imposed by  
          existing law.  In the past, the Legislature has often directed  
          the Legislative Analyst's Office (LAO) to conduct evaluations of  
          existing programs and to make recommendations regarding to  
          continue, discontinue, or revise the program based on its  
          findings.  Those recommendations inevitably involve statutory  
          and regulatory changes to the program.  The Committee may wish  
          to consider an LAO evaluation as an alternative to the pilot  
          program established by this bill.
          
          Arguments in Support.   According to the California Charter  
          School Association, the sponsors of this bill, "our current  
          education policies support two paths to instruction: the  
          traditional classroom model and the virtual classroom model.  
          Yet, blended learning operates in the middle of that spectrum."   
          Blended learning models allow students to increase or decrease  
          the pace of each lesson without influencing the pace of their  
          classmates, yet retaining that crucial access to a qualified  
          classroom teacher.  This bill is designed to provide a  
          comprehensive analysis of blended learning on a state-wide level  
          with the intention of influencing possible statutory changes  
          that might improve the adoption and implementation of blended  
          learning.

           Arguments in Opposition.   Opponents of this bill contend that  
          such innovative and experimental blended learning programs are  
          already in operation and may continue under the existing funding  
          structures.  The opponents are concerned that relaxed scrutiny  
          will result in public funds being used to subsidize private  
          industry's role in on-line learning by focusing on enrollment  
          rather than instruction.  With concerns about low pay and high  
          numbers of student contacts for on-line instructors, opponents  
          urge the committee to consider that existing statutes and  
          regulations already permit a charter school to receive a funding  
          determination for non-classroom based instruction.  This  
          determination requires that any on-line instruction be conducted  
          for the instructional benefit of the pupil and authorizes the  
          SBE to consider, among other factors, the school's total budget  
          expended on certificated employee salaries/benefits, the  
          school-site, and the teacher-to-pupil ratio.









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           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California Charter Schools Association Advocates
          Rocketship Education
          Students First

           Opposition 
           
          California Teachers Association
          National Organization for Women-California
           
          Analysis Prepared by  :    Rick Pratt / ED. / (916) 319-2087