Dear Community Member,
These are unprecedented times for education in California. At no time in history have we had such high expectations for our schools and students with diminishing resources to meet them.
California's funding for schools and students have been cut by more than $8 billion in the last three years alone. Our District has cut $30 million in the past four years. There's no doubt that an immediate investment in education is necessary to prevent more harm to the next generation of students.
We have prepared a Q&A Fact Sheet regarding the State of our District's Budget and the impact of the tax initiatives on the November ballot. This information was shared at a recent Community Forum as well as various community events.
We will continue to keep all of you updated during this challenging fiscal time.
Dr. Mary Sieu
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Fact Sheet: State of the District Budget
What is the current State budget deficit?
- In the 2012-13 fiscal year, the State of California has a budget deficit of $15.7 billion.
How much funding was cut from education and ABC USD?
- In the last four years, the State cut education funding by $8 billion. For ABC USD, the cut was approximately $30 million.
How has the District been dealing with the budget cut from Sacramento?
- The District has reduced its budget by almost $30 million in the last four years. The District reacted to the State budget cut by:
- Implemented furlough days (less instructional days)
- Reduced programs and personnel. For example, the Adult school programs have been cut drastically. Class sizes have gone up at the K-3rd levels…
- Spent down the District’s fund balance
- Utilized the federal stimulus funds (the American Recovery and Reinvestment Act, or ARRA)
What is the current District budget deficit?
- In the 2012-13 fiscal year, the Board of Education approved a budget reduction of $6.4 million. In addition, if Proposition 30 does not pass, ABC USD could be facing an additional budget cut of approximately $8.8 million.
What is Proposition 30?
- Proposition 30: Schools and Local Public Safety Protection Act, is a ballot initiative sponsored by Governor Jerry Brown. It aims to raise approximately $6 billion in new taxes to balance the State Budget.
Who is supporting Proposition 30?
- This proposition is supported by Governor Jerry Brown, the State Superintendent of Schools Tom Torlakson, ABC Unified School District’s board members, administrators (ACSA), labor groups, cities, and counties.
What taxes will be impacted by Proposition 30?
- Proposition 30 will increase sales tax by one-quarter cent for four years, from January 1, 2013 through December 31, 2016. In addition, Proposition 30 will increase the State Personal Income Tax on higher incomes for seven years, from the 2012 tax year through the 2018 tax year. Specifically, for those individuals with taxable income of more than $250,000 or joint filers with taxable income of more than $500,000, the State Personal Income Tax will increase by one percent, and up to three percents, if the individual’s taxable income is higher than $1 million.
What will happen if Proposition 30 passes?
- Proposition 30 will bring in approximately $6 billion annually for the State for seven years. The passage of Proposition 30 would avert a fiscal catastrophe for public schools. If Proposition 30 passes, ABC will receive “flat funding” for the 2012-13 fiscal year, and will avoid additional funding cut from Sacramento.
What will happen if Proposition 30 fails?
- If Proposition 30 fails, ABC’s budget will be cut by approximately $8.8 million. The potential impact on our programs will be severe, including but not limited to:
- Drastically reduce the Adult School programs & classes
- Charge for Home to School transportation
- Reduce extra curricular activities such as band, high school sports, cheer, middle school sports, and elementary school music programs
- Reduce school sites’ budget
- Reduce instructional days
- Reduce compensation
What is Proposition 38?
- Proposition 38: Our Children Our Future: Local Schools and Early Education Investment Act, is a ballot initiative aims to raise revenue for public schools, child care and preschool programs, and state debt payments.
Who is supporting Proposition 38?
- This proposition is supported by civil rights attorney Mollly Munger, the State Superintendent of Schools Tom Torlakson, ABC Unified School District’s board members, CA State PTA, and CA Advancement Project.
What taxes will be impacted by Proposition 38?
- Proposition 38 will increase the State Personal Income Tax on most California taxpayers for 12 years, from the 2013 tax year through the 2024 tax year. Specifically, for those individuals with taxable income of more than $7,316, the State Personal Income Tax will increase from .4 of one percent, and up to 2.2 percents, if the individual’s taxable income is higher than $2.5 million.
What will happen if Proposition 38 passes?
- Proposition 38 will bring in approximately $10 billion annually for public education for 12 years. The revenues raised by this measure would be deposited into a newly created California Education Trust Fund. These funds would be dedicated exclusively to K-12 schools, Early Care and Education, and to pay down the State debt.
What will happen if Proposition 30 fails?
- If Proposition 38 fails, public education and ABCUSD will not be receiving additional funding to restore, retain, enhance and expand instructional programs at school sites.
What will happen if both Proposition 30 and Proposition 38 pass?
- If both measures passed, the Constitution specifies that only one measure can take effect. The measure with higher “yes” votes will prevail.
What can I do to help?
- You can help by sharing this fact sheet with your friends and neighbors, and encourage everyone to go to vote.
* This fact sheet can also be downloaded in this article's image carousel.