Legislative Update from CCAE President Mike Wada

On Friday, May 27, AB 189 successfully passed out of Assembly Appropriations. To quote Edmundo Cuevas, who is the Legislative Director for Assemblyman Mike Eng, "I am writing to notify you that AB 189 passed out of the Assembly Committee on Appropriation Suspense File on a B-Roll Call. B Roll Call means it had Democratic members in support and Republican members in opposition. The amendments require the State Department of Education to establish a categorical flexibility account. I will get more details on the amendments next week."

For us, the important issue is that the separate public hearing requirement remains intact. In addition, fees could be charged for ESL and citizenship during flexibility. Remembering that there was a requirement for school districts to report to CDE how much they took from each categorical, Appropriations tweaked the process with what Edmundo described in order to avoid creating further costs for districts.

Bottom line is that AB 189 moves to the Assembly floor next week. We do not know what day or time the bill will come up for a vote. Our lobbyist, Craig Brown, is working in the background. The field now needs to contact their specific Assembly member to urge them to vote for AB 189. I have attached a sample letter that was done for the Appropriations committee. Select one or two elements to focus on for your letter. Do not delay. We need the support letters in Sacramento as soon as possible.

Adult education remains a hot topic in the Legislature. Sunshining what we do in Assembly Education, Assembly Appropriations, and now the full Assembly is educating policymakers as to how we impact California. We have picked up supporters from civil rights groups, business and industry, and teacher unions. We are a step away from moving over to the State Senate.

 

Regarding AB 18 (Brownley), CCAE took an “oppose unless amended” position earlier this month. The bill will go to the Assembly floor, probably this week. The letter below explains CCAE’s position, the rationale, and what CCAE requests.

It is important that you let your Assembly person know your feelings. If AB 189 passes, AB 18 would not only undo the effects but actually put us into a more precarious position.

May 31, 2011

Hon. Julia Brownley                                              AB 18:  OPPOSE Unless Amended

State Assembly                                                       Assembly Floor

State Capitol                                                           

Sacramento, CA 95814

Dear Assembly Member Brownley:

The California Council for Adult Education (CCAE) has reviewed your AB 18, as amended on May 27, and must respectfully take a position of opposition to the bill unless it is amended to move adult education into the career technical education block grant.

AB 18 makes a number of changes to the school finance methodology including changing approximately 26 categorical programs to be  to each school district in a discretionary fund in addition to the base revenue limit.  The bill also establishes new block grants that are targeted for specific populations of students.  The bill will take effect at the end of the current statutory period authorizing categorical flexibility.

CCAE has one requested amendment and several concerns.  First, the bill currently allows programs like regional occupation programs/centers and partnership academies to stand alone because they are focused on career technical education.  CCAE supports the focus on CTE and would urge you to amend AB 18 to include adult education program funding in this CTE block grant.   

Like these other programs, adult education is targeted at the skills adults need to get jobs and to improve career opportunities.  Adult education programs target poor adults whose primary language is not English.  We provide ESL skills, Adult Basic Educaiton, graduation requirement and entry level CTE courses.  In California there are approximately 5 million adults between the ages of 18 and 40 that do not have a high school diploma.  Adult education is one of the only opportunities for these adults to gain language and job skills that will make them employable.  Making adult education a revenue limit add-on where the funds are available for use in any manner will almost certainly drain funds from these critical educational opportunities for this adult population.

CCAE also has two key concerns that we would like to raise that are associated with the movement of these 26 categorical programs into a discretionary fund,  First,  the adult education apportionment of almost $650 million goes to fewer than 300 of the state’s 1000 school districts.  Beyond that, there are only 62 adult programs that receive funding based on serving more than 1000 ADA.  Additionally, there are only 10 programs that receive funding in excess of 4000 ADA, with Los Angeles Unified School District receiving over 70,000 worth of ADA and almost one-half of the total apportionment.  Considering these funds to be discretionary funding only exacerbates the disparity between district discretionary resources at a time when we have almost completely equalized revenue limits.   

Second, CCAE is concerned that the changes to school finance in AB 18 will make it more difficult to begin to restore programs and services to students that have been cut over the last several years.  In it is current form, AB 18 will make very large sums of funding available for

collective bargaining.  While CCAE supports collective bargaining, we are concerned that the discretionary revenues similar to revenue limits will push local boards into choosing salary increases for existing employees over the prioritization of program and service restorations.  CCAE believes that program restoration, the rehiring of counselors, teacher librarians, classroom aids and adult education teachers should be the highest priority once Prop 98 funding increases.  In this regard, the bill would result in billions of dollars in discretionary revenue that will differ widely between districts.  CCAE does not believe this is the best approach to addressing the future of K-12 funding.

For these reasons, CCAE must respectfully oppose AB 18 unless it is amended.  If you would like to discuss these issues further please contact me.

Sincerely,

Jeffrey Frost

CCAE legislative Advocate

cc:  Members of the Assembly

On Wednesday, May 25th the BUSD Board of Education received the Superintendent's recommendations on budget reductions for the 2011-12 school year. As previously reported here, Berkeley Adult School received a reprieve from Governor Brown and Superintendent Huyett, and there are some caveats. Below is the language from the Information [agenda] Item 4.1 I relating to BAS, which details specific requests (full version available here)

IMPACT OF GOVENOR’S MAY REVISIONS

The Governor released May Revisions of his January Budget proposal. The May Revision included the recognition of $2.8 billion in additional revenue for 2010-11 and $3.5 billion for 2011-12. This new revenue is being used to eliminate $2.1 billion of deferred payments from the State to school districts. The Governor recognized that school districts have borne a disproportionate share of cuts during the past few years an all cuts-budget would require a suspension of Proposition 98, which he was not willing to do.

The bottom line is the revenue that Districts will receive based on average daily attendance (ADA) will be roughly flat for next school year. The good news is that the District does not have to make draconian cuts at this time as anticipated. The bad news is that the Governor cautions against expectations that this new revenue erases the Budget problem by pointing out that the ongoing structural deficits continue. To balance the budget, the Governor assumes extension of the higher tax levels.

Although, the District revenue will remain relatively flat next year, the District still has an anticipated structural deficit of approximately $.7 million due to the following:

• The District has relied on one-time federal stimulus funds of $3.5 million this year and will only have $1.7 million next year.
• The District made cuts last year to offset state budget cut of $2.4 million and the state budget cut never materialized. Only $.7 million of the District cuts were restored.
• The District has to cover increased costs for step and column, increased health benefits costs for classified employees that are below the District’s subsidy, and inflation costs.
• The District also has a projected reduction in revenue limit due to loss of enrollment to a new charter school

Staff, the Superintendent’s Budget Advisory Committee and the Superintendent are in agreement and have proposed budget reductions to address the $.7 million deficit (BAS's contribution to this deficit is $90,000, the other contributions available on the full agenda item here). However, there is a difference of opinion on how the savings will be used if the proposed changes in the adult education program exceed their target of $90,000. The Superintendent’s Budget Advisory Committee, based on a split vote of 7-6, recommends that any additional savings be transferred to the general fund. Staff recommend that any additional savings be transferred to the general fund and be targeted for Career Technical Education (CTE) programs throughout the District. The Superintendent supports the staff recommendation.

The Superintendent’s Budget Advisory Committee requested that Staff research and considers the following proposed budget reductions:

• Establish minimum class sizes at Berkeley Adult School in which classes will not be offered or must be consolidated.

DISTRICT GOAL

V. Resources: Generate and equitably allocate resources for programs and services that enable every student to succeed.

STAFF RECOMMENDATION

Receive the Superintendent’s proposed budget reductions to balance budget for fiscal year 2011-2012 for information.

Proposed Budget Reduction - Recommendation

• Adult School charge additional fees (Increase fees for ESL program from $30 to $45 and review other course fees on the basis of competitiveness and set new fees. When setting new fees, issues of access should be considered; not all courses can sustain a fee increase).
• Restructure Inter City Services
• Reduce .5 FTE Budget Analyst

.

Here's a new report from RAND Corporation about how 10 school districts in California leveraged Categorical Flexibility legislation (Adult Education is a Categorical program). This report is indicative of what's happening with Adult Education in California and important for stakeholders to understand as we evolve our services under "flexible" funding sources.

http://www.rand.org/news/press/2011/05/26.html

On Friday, May 20, Bay Area Adult Education Administrators met for our annual luncheon, and we welcomed our CDE Director of Adult Education, Debra Jones. Ms. Jones shared a new report which is important to get to our stakeholders, locally and beyond (BUSD community, City and County officials, local, state and national representatives). This document speaks about the return on investment from Adult Education. I urge you to download and read the entire white paper at http://www.mcgraw-hillresearchfoundation.org/roi-adult-ed-and-training and I feel compelled to share the introduction here, now.

Executive Summary

The current sharp focus on deficit reduction in Washington, DC, and in state capitals around the country obscures the very real economic benefits U.S. society derives from its public investment in adult education and workforce development programs.

It is important to keep in mind – especially during tough economic times – that a preemptive focus on adult education actually saves governments money by reducing societal healthcare, public assistance, and incarceration costs. Adult education also improves and expands the nation’s available pool of human capital by helping motivated but under educated people achieve gainful employment in today’s increasingly high-tech and global job market, and at a far lower cost per learner when compared to either K-12 or higher education.

As a result, adult education and career training is potentially one of the most cost-effective tools the nation has to recover its economic health in the aftermath of the “Great Recession.”

The Alliance for Excellent Education (AEE) and other groups have been taking advantage of sophisticated economic impact modeling tools to quantify just how much society gains from its investment in adult education at the national, state, and local levels, not only in terms of direct economic benefits (higher salaries, leading to more consumer spending and increased tax revenues), but also in terms of lower social costs (reduced public assistance, reduced prison costs due to lower rates of recidivism) and improved quality of life for both individuals and society.

In 2010, for example, AEE released a report that analyzed the effect of educational achievement on the local economies of the 45 largest metropolitan areas in the U.S. (comprising the nation’s 50 largest cities).

Employing a forecasting model developed by Economic Modeling Systems, Inc., AEE was able to calculate how each of these local metropolitan economies would benefit in the future in areas such as: individual earnings; home and auto sales; jobs and economic growth; spending and investment; and tax revenues.

They found that if only half of the dropouts from the Class of 2008 from these 45 metropolitan areas had managed to graduate, they would have contributed the following additional combined economic benefit to their communities during an average year:

• $4.1 billion in additional earnings, compared to their likely earnings without a diploma;

• An additional $2.8 billion in spending and $1.1 billion in investments;

• They would have purchased homes worth $10.5 billion more mid-career than they would have been able to buy as dropouts, and spent an additional $340 million on vehicle purchases each year;

• Their additional spending and investments would have likely generated 30,000 new jobs, increasing the gross regional products of their areas by $5.3 billion at around the time they reached the midpoint of their careers; and

• State and local tax revenues in each of the areas would have increased as a result of this increased economic activity – an additional $536 million in an average year.

Adult education is an investment that can help recapture some, if not all, of these potential losses.

In addition, several states have made concerted efforts to demonstrate the economic value received from the public’s investment in workforce and adult education programs in their states. Included in this report are some of the highlights from various studies and reports concerning the cost/benefit ratios of adult education in Arizona, Arkansas, Georgia, Nevada, Minnesota, Michigan, New Mexico, Rhode Island, Tennessee, and Texas.

Adult education is also an investment in the future of our nation, as research shows that better educated parents raise better-educated, more successful children, who are less likely to end up in poverty or prison.

A recent infusion of additional public funding from the American Recovery and Reinvestment Act of 2009 (ARRA) has demonstrated what can be accomplished in a short amount of time when adult education programs are: well funded and aligned with employment-oriented services that focus on the customer (the learner), attuned to occupational needs at the local level; and committed to monitoring performance for continuous improvement.

As the authors of a 2008 report prepared by the National Commission on Adult Literacy wrote:

“[A] decade into the 21st century, America faces a choice. We can invest in the basic education and skills of our workforce and remain competitive in today’s global economy, or we can continue to overlook the glaring evidence of a national crisis and move further down the path to decline.”

On May 16, 2011, Governor Brown unveiled his May Revision to the State Budget.  In his presentation of the May Revision, the Governor focused on three key issues:  1) he continued to make the case that even with an increase in new revenue, California still has a significant budgetary shortfall and an extension of the current taxes set to expire is still needed; 2) he committed $3 billion of the new revenues to Proposition 98 and directed them to reduce a small portion of the deferrals; and 3) he intends to stay the course he began in January of ensuring passage of a balanced approach to solving the state’s budget problems.   

Prop 98 is a constitutional amendment approved by voters in November 1988 and amended by Proposition 111 in 1990. The four provisions are: 1) a guarantee of minimum funding for K-12 schools and community colleges based on a specific calculation; 2) an allocation to K-14 education of 50% of the difference when state tax revenues exceed the Gann spending limit, with the remaining 50% rebated to taxpayers; 3) annual School Accountability Report Cards (SARCs) with at least 13 specific items for each school; and 4) a "prudent" state budget reserve. With a two-thirds vote of the Legislature and signature of the governor, Proposition 98 may be suspended for one year.

That said, Berkeley Adult School will raise fees to be more in-line with other adult education classes and consolidate some programming where duplication exists, targeting net savings of $90,000 (even better than the original Scenario A), which will contribute to a District budget shortfall (due to ending ARRA funds) of $700,000. We are feeling a huge sense of relief as we had been preparing for Scenario B, which called for over $1M in reductions. Now we follow through with plans for the 2011-12 school year and we are excited to serve our community.

Apologies for the later than usual update. There is so much going on with an unknown budget, community updates, service to BUSD, accreditation, graduation, and statewide advocacy efforts.

BUSD Budget Advisory Committee meets this Tuesday, May 17, 6-8 pm at Oregon Street. We’ll know more as this week unfolds, and we’re planning on the scenario B reductions of $1,035,000 from our $3.1M budget. There are a variety of ways to get to where we’re going, and in the best case most of us agree on the route. We’ll continue to work collaboratively on the best way to serve our learning community with our District’s support. Our focus will center on core programming, defined by the California Department of Education and BUSD as Career Technical Education, Adult Basic & Secondary Education, and English as a Second Language. Berkeley Adult School will provide services beyond core programming as fee-based Community Education and work to develop partnerships and find grant opportunities to serve community members in non-core programs.

In our community, the issue of a proposal by the Alameda County Office of Education to operate a Community School classroom on our campus came before the BUSD Board of Education, last Wednesday, May 11. While there seemed to be some momentum for the Board to move the item forward for vote, there has been clear concern from the neighborhood, and our Board noted that, and requested more time and information, stressing the desire to offer a quality program that works well for the District and our school community. There is a neighborhood blog and a Google group, both springing from this discussion, and I encourage our readers to tune in:

http://groups.google.com/group/bas-accountable?hl=en&pli=1

For residential and business neighbors of the Berkeley Adult School to discuss events, concerns and other matters concerning the Berkeley Adult School overall and in particular how the addition of the Community School affects the neighbors and neighborhood.

http://berkeleyadultschoolneighbors.com/

This blog is directly inspired by (and dedicated to) Heather Wood and Vanessa Kaskiris who are working tirelessly to spread good, solid data and important information about the potential community impacts of the proposed Community Day School (CDS) at our beloved Berkeley Adult School (BAS).

How do we serve the Berkeley Unified School District?

• Professional Development and Employment Training - high quality Career Technical Education programs for our community and district employees.
• Credit recovery for BUSD High School students.
• Adult Basic and Secondary Education (GED/HS Diploma).
• English as a Second Language for parents and community members.
• We also serve thousands of students with personal enrichment and community education. Our reach into the community has been deep and has a long tradition, and it is with difficulty that we reduce funding to programs that benefit our citizens. Nonetheless, we’ll continue to offer enrichment classes which are funded by student fees.

Next year, BAS will seek renewed accreditation with the Western Association of Schools and Colleges (WASC), which “values accreditation as a process designed to strengthen schools in the delivery of quality educational programs. Accreditation is important to schools as it impacts students' access to colleges and universities and career opportunities in a variety of ways. An effective WASC self-study review is a powerful tool for schools to improve the quality of education and more effectively serve staff and students.” To that end, we are integrating WASC activities into our regular meeting time and on-going activities in preparation of the Visiting Committee review in the spring of 2012.

Graduation for Berkeley Adult School students who have been awarded a GED or a High School Diploma is Wednesday, June 15, at 7:00pm in our Multipurpose Room.

Stave Advocacy updates: The recent CCAE/COABE national conference in San Francisco was a huge success, with over 1300 participants from San Diego to Portland, Maine, Seattle to Miami and points between. Thanks to conference organizers from both CCAE and COABE. The focus of Adult Learning in this country, as viewed by these two professional organizations is skills for the 21st century. While there continues to be plenty of discussion about core vs. enrichment programs, the money is going to core programs (academic, vocational and language acquisition).

Since I last reported on the California Department of Education, the website page related to Adult Education has been updated; you can view it here: http://www.cde.ca.gov/sp/ae/po/cefadulted.asp

ALERT: Assembly Bill 18 (BROWNLEY), and AB 189 update

AB 18 is a measure that proposes to restructure school finance to block grant categorical programs (that's us). As currently written, Adult Education could be an "add-on" to a district's revenue limit, thus exposing our funds to be used for other purposes. This proposed restructuring of Adult Education funding would be incorporated into two block grants without distinguishing its income stream or intent.

This bill passed out of the Assembly Education Committee on Wednesday, but not without a great deal of discussion about the impacts of the bill on Adult Education. Jeff Frost testified in opposition raising the issue of the need for adult populations to be adequately served and for the program to be shifted into a CTE category along with ROP and the High School Partnership Academies.

AB 189 author, Mr. Eng spoke passionately on the need to protect services to adults and urged Ms. Brownley to commit that she would amend the bill to ensure such protection. While she did not ake a direct committment, she spoke of her support for Adult Education and agreed to work with Mr. Eng and the committee to appropriately protect Adult Education programs and students.

Regarding AB 189, UTLA has taken a "support" position, and we now have two of the three major teacher unions supporting this proposal.