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Class Size Reduction

February 19, 2003 - We review recent research on class size reduction (CSR) which uncovered three major findings: (1) the effect of CSR on student achievement is inconclusive; (2) California's CSR program contributed to a decline in teacher quality; and (3) California's CSR program generated inequitable distribution of fully qualified teachers.

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Basic Aid Districts

February 19, 2003 - We recommend the Legislature approve the Governor's proposal to reduce basic aid payments by $15.3 million in 2002-03 and eliminate them entirely in 2003-04 for a savings of $17.8 million.

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Revenue Limits and Discretionary Funds

February 19, 2003 - We recommend that the Legislature (1) not fund revenue limit equalization as proposed by the Governor ($250 million), and (2) delay revenue limit equalization until a year when Proposition 98 can fund growth, cost-of-living adjustments (COLAs), and pay off any remaining deferrals.

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Proposition 98 Mandates

February 19, 2003 - We recommend that the Legislature increase funding for Proposition 98 mandates by $100 million and include $199 million for school district mandates in our proposed Core Services Block Grant.

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Governor's Categorical Program Reform Proposal

February 19, 2003 - We recommend the Legislature consolidate 62 programs into five block grants. Districts would report to the state key fiscal and outcome data on each grant.

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K-12 Education Introduction

February 19, 2003 - A discussion of budgetary and enrollment trends in the K-12 Education area.

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Proposition 98 Budget-Year Priorities

February 19, 2003 - The Governor's budget offers a reasonable set of solutions for addressing the 2003-04 budget situation. We highlight a number of areas, however, that are worthy of careful consideration and deliberation.

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2002-03 Mid-Year Revisions: Proposition 98

February 19, 2003 - Responding to Governor's mid-year budget proposal, the Legislature provided Proposition 98 funding $289 million higher than proposed by the Governor.

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Office of Criminal Justice Planning Shift

February 19, 2003 - Given the Office of Criminal Justice Planning's (OCJP's) poor performance in the administration of its programs, and the significant overlap of its mission and programs with those of other departments, we recommend that OCJP programs be shifted to other departments.

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Work Credits

February 19, 2003 - Inmates who are being processed in the reception centers or who are unassigned to a full-time work or education program due to a shortage of slots earn less than the maximum level of work credits. We recommend enactment of legislation allowing these inmates to earn day-for-day work credit instead of the one-day-for-two-days participation they currently earn thereby saving the state $70 million while reducing the sentence of approximately 29,000 inmates by only 27 days.

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Early Release of Elderly Inmates

February 19, 2003 - Elderly inmates are two to three times as costly to incarcerate in state prison as younger inmates. Yet, research shows they are less likely to reoffend and have greater success on parole. For these reasons, we recommend the Legislature adopt legislation requiring that nonviolent elderly inmates be released early to parole.

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Court Security Realignment

February 19, 2003 - The Governor's court security realignment proposal does not constitute a realignment of responsibilities and control over court security, rather, it is a funding source swap. Accordingly, we recommend that the Legislature exclude this component from the Governor's realignment proposal.

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Developmental Center Restructure

February 19, 2003 - Developmental centers (DC) population has declined significantly over the last forty years. We examine the DC system's population trends and cost-effectiveness, and provide the Legislature with options and recommendations related to future DC operations.

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Disease Management

February 19, 2003 - Poor management of treatment for persons with chronic diseases, such as asthma, diabetes, and heart disease, is driving up the state's costs for Medi-Cal. The implementation of a disease management program could eventually reduce state expenditures by as much as hundreds of millions of dollars annually.

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Consolidate Aging Programs

February 19, 2003 - In order to improve the operation of programs serving California's senior citizens, we recommend eliminating the Department of Aging and shifting its functions to the Department of Social Services. Consolidation should improve service delivery and result in administrative savings of $3.4 million.