Was Prop 30 A Good Deal for Students?

Every parent in California was deluged with messages like the one below, advocating for the passage of Prop 30 ... to “Save Our Schools”!

Why Proposition 30 Matters

It’s no news that California schools are facing severe cuts in funding. No matter what the results of this November’s elections, schools will be facing an estimated cash flow reduction of 21.2% this year. Whether that reduction is a straight-out budget cut or a temporary monthly deferral of funds to next year depends entirely on the passage of The Local Schools and Public Safety Protection Act, or Proposition 30.

The Hard Truth: Proposition 30 is critical to the fiscal sustainability of California schools. If it does not pass, $5 billion in permanent cuts will go into effect. That is $460 per student! Take a moment to imagine the impact this would have on REACH.

What It Is: Proposition 30 raises taxes on upper income Californians, and temporarily raises sales tax by one-quarter cent for four years. These funds will go into a separate “Education Protection Account”. Funds will also go towards supporting local public safety, including police, fire, and health services.
Why It Matters: Proposition 30 helps restore essential funding for our schools. It guarantees that funding stays in place no matter what happens with the state budget, limits the use of stopgap measures like repeated funding deferrals, and guarantees that the funds go to classroom expenses, not administrative costs. To put it simply, we need Proposition 30 to pass.
There is another proposition on the ballot, Prop.38. While well-intentioned, its uncertain impact make it a less viable choice.
What You Can Do: Vote for Proposition 30! Educate yourself and encourage others to vote.

Source: This is just a sample of the type of message that was sent to parents from educational institutions all over the state. http://www.reach-program.com/webgraphics/10_12.pdf

2 Years Later... Was Proposition 30 A Good Deal For Students?

Proposition 30 was entitled “The Schools and Local Public Safety Protection Act of 2012.” The Proposition explicitly stated that all of the funding would go directly to schools. However in a letter from the Legislative Analyst Office to State Attorney General Kamala Harris dated March 16, 2012 the LAO noted that under the law as proposed- revenues could also be used to address the state’s budgetary problem by PAYING FOR OTHER SPENDING COMMITMENTS:

Summary of Fiscal Effect

This measure would have the following major fiscal effects:

• Increased state revenues over the next seven fiscal years. Estimates of the revenue increases vary—from $6.8 billion to $9 billion for 2012-13 and from $5.4 billion to $7.6 billion, on average, in the following five fiscal years, with lesser amounts in 2018-19.

• These revenues would be available to (1) pay for the state’s school and community college funding requirements, as increased by this measure, and (2) address the state’s budgetary problem by paying for other spending commitments.

• Limitation on the state’s ability to make changes to the programs and revenues shifted to local governments in 2011, resulting in a more stable fiscal situation for local governments.

Source: http://www.lao.ca.gov/ballot/2012/120208.pdf