Russell Frank, Ph.D.

Director II

Assessment and Accountability

Services

Mike Barney

Director II

Instructional Services

LCFF and LCAP Reshapes School

Funding and Accountability

Part I: LCFF

Russ FrankRCOE

Resources• School Services of California• Legislative Analyst’s Report• WestEd

• Special Thanks to:• Nancy Sheets: Director II, RCOE• Paul Jessup: Deputy Superintendent, RCOE• Bill Spires: Director II, RCOE• Art Davis: RSDSS Director, Madera County

Office of Education• Janelle Kubinec: Director, National and

State Special Projects, WestED

Outcomes

1. Understand how the components of LCFF return districts to 07-08 funding over time

2. Discuss the implications for districts

3. Pose questions for follow up.

Local Control Funding Formula Components

 1. Target Base Rates Per 4 Grade Spans2. Adjusted Base Rates for CSR and CTE3. Supplemental Funding for any EL or LI4. Concentration Funding for ELs and LIs

above 55% of total enrollment5. TIIG Add-On6. HTS Transportation Add-On7. Economic Recovery Target Add-On8. “Commitment” to close the gap and

COLA

Formula Components of the LCFF: 1

Target Base Rates• Per ADA in CALPADS

• K-3: $6,845• 4-6 $6,947• 7-8 $7,154• 9-12$8,289

• It’s like the revenue limits of old.

Basic Rate for All Kids

Per ADA in CALPADSK-3: $6,8454-6 $6,9477-8 $7,1549-12 $8,289

* Basic Rate for All Kids* Like a the Old Revenue Limit

Formula Components of the LCFF: 1

Formula Components of the LCFF: 2

Adjusted Base Rates (ABR)

• Let’s keep class sizes low in K-3 -- 24-1 or negotiated level:

• Add 10.4 percent of the base rate.

• It costs more to educate 9-12 -- Targets CTE

• Add 2.6 percent of the base rate.

CSR K-3 and CTE 9-12

Provisions for K-3 CSR Adjustment• K-3 CSR at 24-1

by 20-21 • Unless CSR is

collectively bargained otherwise

• If negotiated at a different rate, LEA not subject to provision.

• If class size larger than 24 LEA must make progress toward reducing the gap by 10 % annually during transition.

Formula Components of the LCFF: 3

Supplemental Funding• The following

subgroups offer more challenges to educators:

• Low Income (LI) or what we used to call SED.

• Foster Youth as LI• English Learners

• Add 20% of the ABR per eligible student

SED or Low Income (LI) & English Learners ELs

Calculating Supplemental Funding

• Foster Youth are LI• EL/LI calculated on 3

year rolling average from CALPADS taken from CBEDS.

• 2013 CBEDS for 13-14 LCFF

• Unduplicated count. An EL who is low income = 1 student.

Dilemma of Reclassification• Student Reclassified as FEP

who is NOT also LI no longer generates extra $$$. LCAP Connection.

Supplemental Follow up

• Challenge: districts need to find out what their unduplicated 13-14 counts are.

Think About It• What are the

implications for your district?

• What questions arise for you?

• Share these thoughts with your partners

Formula Components of the LCFF: 4

Concentration Funding• High concentrations

of ELs and LI present an even greater challenge for LEAs.

• Each unduplicated LI or EL above 55% of enrollment generates 50% of the ABR

For Districts with many ELs & LI

Will You Get Concentration Funding?

LEA Ensures “Proportionality”

“Increase or improve services for ELs/LIs in proportion to the increase in funds apportioned on the basis of the number and concentration of unduplicated pupils”

?

LCFF and LCAP Templates

• WestEd and CDE role

• Fiscal Guidance by January 30, 2014

• Preview of Fiscal and LCAP by November 6-7 2013?

• RCOE Preview Nov. 21, 2013

• LCAP Template by March 30, 2013

Think About It• What are the

implications for your district?

• What questions arise for you?

• Share these thoughts with your partners

Formula Components of the LCFF: 5Targeted Instr. Improve. Grant• If received in 12-13

will receive again through 20-21.

• Can be used for any educational purpose.

• See list of RC districts

First of Three Add-Ons

Formula Components of the LCFF: 6

Home/School Transportation (HTST)• If LEA received

HTST in 12-13 it will receive again through 2020-21.

• Restricted to transporting eligible students.

• See list of RC districts.

Second of Three Add-Ons

Formula Components of the LCFF: 7

Economic Recovery Target (ERT)

• In the transition from 2007-08 formula to LCFF, some LEAs (230) lose funding due to their former concentrations of categorical funds.

• ERT is like a hold harmless for these LEAs.

• = increase each year for 8 years

• Likely no ERTs in RC

Third of Three Add-Ons

2013-14 Categorical Survivors

Formula Components of the LCFF: 8

Gap Funding1. Fully funding LCFF in

one year would cost $18 billion.

2. Target: Let’s get back to 2007-08 Levels

3. Gap funding “Commit-ment”: Aimed at closing each LEA’s difference between the 20-21 target funding and 13-14 funding by 12% annually.

8 Years to Close Funding Gap

TARGET

TARGET

TARGET

LCFF Funding

LCFF Funding

Getting to the TargetsLeverage for Closing the Gap

• “Commitment” to funding gap closing

• COLA increases to the Base Rate

• P1 in December: LEAs paint the first fuzzy picture of the increases.

• P2 in April: LEAs should generate a clearer idea of increase.

LCFF/LCAP Summary• Reforms

state’s much criticized funding mechanism.

• Far greater LEA flexibility on meeting student need.

• More meaningful stakeholder input during development.

Major Shifts Made by the Local Control Funding Formula

Before LCFF• Revenue Limits

• State categoricals w/temporary tiered flex

• K-3 CSR: Limited funding with unlimited class sizes

• Accountability and performance separate from funding

After LCFF• LCFF base funding dif-

ferentiated by grade span.

• Unduplicated pupil weights, concentration funding

• K-3 CSR targeting 24-1

• Local Control Accountability Plans required. (July 1, 2014)

What Stays the Same?

• Financial Audits• Compliance with Williams• School Accountability Report

Cards• Federal funding, planning and

accountability• LEA as subgrantee of the state

Downside?• Economic

downturn.• Low income

districts vulnerable.

• Prop 30 phase outs: 2016, 18

• In 20-21 gets us to where we were in 07-08.

Think About It

• What are the implications for your district?

• What questions arise for you?

• Share these thoughts with your partners