California Proposition 2, Public Education Facilities Bond Measure (2024)

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California Proposition 2
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Election date
November 5, 2024
Topic
Bond issues and Education
Status
On the ballot
Type
Bond issue
Origin
State Legislature

California Proposition 2, the Public Education Facilities Bond Measure is on the ballot in California as a legislatively referred bond act on November 5, 2024.[1][2]

A "yes" vote supports issuing $10 billion in bonds to fund construction and modernization of public education facilities.

A "no" vote opposes issuing $10 billion in bonds to fund construction and modernization of public education facilities.


Übersicht

What would Proposition 2 fund?

See also: Measure design

Proposition 2 would issue $10 billion in bonds with $8.5 billion dedicated to elementary and secondary educational facilities and $1.5 billion for community college facilities. Proposition 2 would make changes to the formula used to determine the amount each district is required to contribute to be eligible to receive state funding from the bond revenue. The measure would have required the state government to cover between 50 and 55% of construction project costs and 60 and 65% of modernization project costs.[2]

What is California's bonded debt capacity?

See also: Bond debt in California

The Legislative Analyst's Office reported that California is repaying an estimated $80 billion in bonded debt and is authorized to sell an outstanding $35 billion in bonds. The state spends approximately $6 billion from the General Fund (3% of the total fund) each year to repay bonds. The office estimated that the cost to repay Proposition 2 would be an estimated $500 million annually for 35 years.[3]

When was the last time California voters approved a bond measure to fund public education facilities?

See also: Bond issues on the ballot in California

California voters last approved a bond measure to fund public education facilities in 2016 with the approval of Proposition 51, which issued $9 billion in bonds to fund improvement and construction of school facilities for K-12 schools and community colleges. It was approved by a margin of 55.18% to 44.82%.

California voters defeated a bond measure, Proposition 13, to fund public education facilities in March 2020. It would have authorized $15 billion in general obligation bonds for school and college facilities, including $9 billion for preschool and K-12 schools, $4 billion for universities, and $2 billion for community colleges. Proposition 13 was the first statewide education-related bond issue that voters rejected since 1994. It was defeated with 53.01% voting against the measure.

Measure design

See also: Text of measure

Click on the arrows (▼) below for summaries of the different provisions of California Proposition 2.

Funds for school districts: distribution and prioritization of bond funds for schools

Proposition 2 would issue $10 billion in bonds with $8.5 billion dedicated to elementary and secondary educational facilities and $1.5 billion for community college facilities. The law would allocate the bond revenue according to the following schedule:[2]

  • $3 billion for new construction of school facilities, with up to 10% available to small school districts;
  • $4 billion for the modernization of school facilities, with up to 10% available to small school districts and $115 million for lead in water testing and remediation;
  • $600 million for charter school facilities;
  • $600 million for career technical education program facilities; and
  • $1.5 billion for California Community Colleges.

Proposition 2 would make changes to the formula used to determine the amount each district is required to contribute to be eligible to receive state funding from the bond revenue. The measure would have required the state government to cover between 50 and 55% of construction project costs and 60 and 65% of modernization project costs.[2]

The law would require school districts to submit a five-year school facilities master plan approved by the school district governing board to the Department of General Services to participate in the school facilities program. The plan must include an inventory of existing school facilities and classroom capacity, projected enrollment growth, a capital planning budget for the district, financing and other funding sources for the projects, the school district's current assessed value, and the district's deferred maintenance plan.[2]

Changes to local school bonds: rules for schools to raise revenue

Proposition 2 would increase the maximum amount of bonded debt a school district could issue and still be eligible for financial hardship from $5 million to $15 million and increase the maximum by an inflation adjustment each fiscal year beginning with the 2026-2027 fiscal year. In California, school districts must place local general obligation bonds on the ballot, and the bond measure must receive 55% of the vote to be approved.[2]

Funds for higher education facilities: distribution and prioritization of bond funds for community colleges

Proposition 2 would issue $1.5 billion in bonds to fund construction on existing and new campuses and renovation of facilities. The measure would authorize the bond revenue for the purposes authorized by the state legislature in the annual state budget. The measure would require any requests for funds from the bond issue by the California Community Colleges to include a five-year capital outlay plan that demonstrates the needs and priorities of the community college system and prioritizes seismic retrofitting.[2]

Accountability measures: reporting requirements

Proposition 2 would require the governing board of a school district, charter school, or community college district to perform an independent audit of any projects funded in whole or in part by the bonds. The measure would also require the audit to be published online by the governing board. Governing boards would also have to hold at least one public hearing to solicit input on school district projects before requesting state funds.[2]


Text of measure

Full text

The full text of the ballot measure is below:[2]

Support

Yes on Proposition 2-Coalition for Adequate School Housing Issues Committee and Yes on Proposition 2-Community College Facility Coalition Issues Committee are leading the campaign in support of Proposition 2.[4]

Supporters

Unions

  • California Federation of Teachers
  • California Labor Federation

Organizations

  • Alameda County Office of Education
  • Association of California School Administrators
  • California Builders Alliance
  • California Chamber of Commerce
  • California Retired Teachers Association
  • Community College League of California
  • Los Angeles Unified School District

Arguments

  • State Asm. Al Muratsuchi (D-66): "The bottom line is, any school bond that we place on the ballot is not going to cover the enormous needs of our K-12 schools and community colleges. But this money will help address the most urgent needs. … I am hopeful and optimistic that California voters will recognize that this is a good deal."
  • Rebeca Andrade, superintendent of Salinas City Elementary District in Monterey County: "This money is badly needed. We don’t have the money to make the basic, structural repairs that are needed at every one of our schools. Students need safe spaces to learn if they’re going to reach their full potential."


Opposition

Ballotpedia has not located a campaign in opposition to the ballot measure. You can share campaign information or arguments, along with source links for this information, with us at [email protected].

Arguments

You can share campaign information or arguments, along with source links for this information, at [email protected]


Campaign finance

The campaign finance information on this page reflects the most recent scheduled reports that Ballotpedia has processed, which covered through June 30, 2024. The deadline for the next scheduled reports is September 26, 2024.


See also: Campaign finance requirements for California ballot measures

Ballotpedia identified two committees registered in support of Proposition 2—Yes on Proposition 2 - Coalition for Adequate School Housing Issues Committee and Yes on Proposition 2 - Community College Facility Coalition Issues Committee. Together the committees reported over $1.2 million in contributions.[4]

Cash Contributions In-Kind Contributions Total Contributions Cash Expenditures Total Expenditures
Support $1,214,725.01 $11,509.28 $1,226,234.29 $61,090.77 $72,600.05
Oppose $0.00 $0.00 $0.00 $0.00 $0.00

Support

The following table includes contribution and expenditure totals for the committees in support of the ballot measure.[4]

Committees in support of Proposition 2
Committee Cash Contributions In-Kind Contributions Total Contributions Cash Expenditures Total Expenditures
Yes on Proposition 2 - Coalition for Adequate School Housing Issues Committee $1,097,675.01 $11,509.28 $1,109,184.29 $40,964.90 $52,474.18
Yes on Proposition 2 - Community College Facility Coalition Issues Committee $117,050.00 $0.00 $117,050.00 $20,125.87 $20,125.87
Total $1,214,725.01 $11,509.28 $1,226,234.29 $61,090.77 $72,600.05

Donors

The following table shows the top donors to the committees registered in support of the ballot measure.[4]

Donor Cash Contributions In-Kind Contributions Total Contributions
DLR Group $100,000.00 $0.00 $100,000.00
Neff Construction, Inc. $80,000.00 $0.00 $80,000.00
Erickson-Hall Construction Co. $60,000.00 $0.00 $60,000.00
Tilden-Coil Constructors, Inc. $60,000.00 $0.00 $60,000.00
Murdoch, Walrath & Holmes $50,000.00 $209.93 $50,209.93

Methodology

To read Ballotpedia's methodology for covering ballot measure campaign finance information, click here.

Background

California Proposition 13 (March 2020)

See also: California Proposition 13, School and College Facilities Bond (March 2020)

In March 2020, California voters rejected Proposition 13 by a vote of 46.99% in support to 53.01% in opposition. Proposition 13 would have authorized the issuance of $15 billion in bonds for school and college facilities, including $9 billion for preschool and K-12 schools, $4 billion for universities, and $2 billion for community colleges. It was the first statewide education-related bond issue that voters rejected since 1994 when Propositions 1B and 1C were defeated.

Between 1994 and 2020, voters approved six bond measures for school facilities—Proposition 203 (1996), Proposition 1A (1998), Proposition 47 (2002), Proposition 55 (2004), Proposition 1D (2006), and Proposition 51 (2016).

Bond issues on the ballot in California

See also: Bond issues on the ballot

Californians cast ballots on 46 bond issues, totaling $200.536 billion in value, from January 1, 1993, through March 5, 2024. Voters approved 34 (74%) of the bond measures—a total of $163.054 billion. Nine of the measures were citizen initiatives, and six of the nine citizen-initiated bonds were approved. The legislature referred 37 bond measures to the ballot, and 28 of 37 legislative referrals were approved. The most common purposes of a bond measure between 1993 and 2024 were water infrastructure and housing, for which there were nine bond measures each.

Click show to expand the bond revenue table.

Bond debt in California

The Legislative Analyst's Office reported that California is repaying an estimated $80 billion in bonded debt and is authorized to sell an outstanding $35 billion in bonds. The state spends approximately $6 billion from the General Fund (3% of the total fund) each year to repay bonds. The office estimated that the cost to repay Proposition 2 would be an estimated $500 million annually for 35 years.[5]

Path to the ballot

See also: Legislatively referred bond measures in California

A two-thirds (66.67%) vote is required during one legislative session for the California State Legislature to place a legislatively referred bond measure on the ballot. That amounts to a minimum of 54 votes in the California State Assembly and 27 votes in the California State Senate, assuming no vacancies. Bond measures do require the governor's signature.

This bond measure was introduced as Assembly Bill 247 (AB 247) on January 18, 2023. It passed the Assembly on May 25, 2023, by a vote of 66-0 with 14 absent. The Senate passed an amended version on July 3, 2024, by a vote of 34-3. The Assembly passed the amended version on July 3 by a vote of 72-1.[1]

Vote in the California State Senate
July 3, 2024
Requirement: Two-thirds (66.67 percent) vote of all members in each chamber
Number of yes votes required: 27  Approveda
YesNoNot voting
Total3433
Total percent85.0%7.5%7.5%
Democrat3101
Republican332

Vote in the California State Assembly
July 3, 2024
Requirement: Two-thirds (66.67 percent) vote of all members in each chamber
Number of yes votes required: 54  Approveda
YesNoNot voting
Total7216
Total percent91.1%1.3%7.6%
Democrat6101
Republican1115

How to cast a vote

See also: Voting in California

Click "Show" to learn more about current voter registration rules, identification requirements, and poll times in California.

See also

External links

Footnotes