Bill Analysis AB 792 (Havice) for State Assembly Floor

California Continuation Education Association Document

Title: Bill Analysis AB 792 (Havice) for State Assembly Floor

Author: Leonor Ehling

Date: September 11, 1997

BILL ANALYSIS

AB 792

CONCURRENCE IN SENATE AMENDMENTS
AB 792 (Havice)
As Amended July 22, 1997
Majority vote

ASSEMBLY: 43-32 (June 4, 1997) SENATE: 28-1 (September 9, 1997)

Original Committee Reference: ED .

SUMMARY : Provides an equalization funding formula for continuation high schools, requires these schools to submit outcome data on an annual basis, and requires the Superintendent of Public Instruction (SPI) to contract for an independent evaluation of the continuation high school model.

The Senate amendments :

1) Change the hold harmless provisions of the equalization formula, as follows: those districts whose present funding levels exceeded the funding schedule set forth in the bill are to be held harmless for the first three years that the bill is in effect, and afterward be reduced over a period of five years to the level of the schedule in this bill (at an annual rate of 20% of the difference between the original level and the schedule).

2) Prohibit the SPI from contracting for an independent evaluation (as required by this bill) until there is an appropriation to conduct it.

3) Eliminate legislative intent to ensure that school districts provide effective dropout prevention programs and alternative programs for students not successful in regular district schools.

4) Make technical changes to the provisions of the bill's evaluation requirement.

EXISTING LAW :

1) Provides some districts with a fixed "add-on" to their revenue limits for the operation of continuation high schools. However, only districts that have started up continuation high schools since 1979 receive this add-on, and the add-on is not adjusted annually for changes in enrollment.

2) Requires districts with high schools to establish continuation high schools as an alternative programs for pupils ages 16-18. Continuation high schools are required to provide a minimum of three hours of instruction per day and 15 hours per week.

3) Establishes that pupils may voluntarily enroll in these school or may be involuntarily transferred for certain discipline-related offenses or truancy.

AS PASSED BY THE ASSEMBLY , this bill:

1) Established legislative intent to equalize funding for continuation high schools and to ensure that school districts provide alternative programs and effective dropout prevention programs.

2) Established an equalization formula to distribute funding to school districts, beginning in the 1998-99 fiscal year, based on: a) the funding level prescribed by a schedule in the bill, which considers average daily attendance (ADA) and the number of certificated employees in the districts' continuation high schools; and b) 1997-98 funding levels. Those districts with 1997-98 funding levels above the funding schedule are held harmless from any reduction, and those with funding levels below the funding schedule receive Cost-of-living Adjustments (COLA) and equalization amounts until they reach the level prescribed by the funding schedule. Annually adjusts funding levels based on changes in continuation school ADA and the number of certificated employees at the schools. Also makes special provisions for county-wide unified school districts with less than 2501 ADA.

3) Required the SPI to contract for an independent evaluation of the effectiveness of continuation schools and report to the Legislature on the results of the evaluation by March 1, 2000. Required the Legislative Analyst to convene a task force to oversee the implementation of the independent evaluation. Specified the required composition of the overseeing task force.

4) Required districts receiving equalization funding pursuant to this bill to evaluate their continuation high schools and report their findings to the SPI by October 1 of every year. Required the evaluation report to include the following: number of pupils served, costs of the program, attendance patterns, dropout rates, number of pupils who receive a high school diploma, number of pupils passing the California High School Proficiency Examination or GED, number of pregnant or parenting pupils, number of pupils returning to comprehensive high schools, and involvement of pupils in occupational training programs.

5) Required the SPI to designate persons not employed by the district under review, to review the annual evaluation reports.

6) Required the SPI to summarize the evaluation reports every two years by December 1 and submit recommendations to the Governor, the Legislature and the districts maintaining continuation high schools.

FISCAL EFFECT : Approximately $60 million for equalization adjustments. Unknown one-time General Fund (GF) costs to the SPI, in excess of $200,000, to contract out for the independent evaluation of continuation high schools. Unknown annual GF (Proposition 98) costs to school districts to annually evaluate their programs, as specified.

COMMENTS : Continuation high schools are one of the most common forms of alternative programs for pupils who do not succeed in traditional high schools. Estimates of the population served by these programs range from approximately 5% of total high school ADA statewide to 10% of all California high school students.

Analysis prepared by : Leonor Ehling / aed / (916) 445-9431

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