Syllabus Education Doctorate Program EdD 613 | Spring 2011 EdD 613: Finance and Budget for Educational

Leaders Su Jin Jez, PhD jez@csus.edu office 916.278.5955 | cell xxx.xxx.xxxx Tahoe Hall 30305 Meeting times: Fridays 2/18, 3/4 from 5:30p to 9:30p Saturdays 2/19, 3/5 from 8a to 5:30p Meeting location: AIRC 1008 Introduction This course offers a basic understanding of the nature and role of budgeting and finance in the K-14 education sectors in California. Budgets are one of the most significant policy documents in the public domain. They reflect priorities, values, and power relationships. Although they have important technical aspects, budgets are fundamentally political statements. They reflect the choices that result from the political process and ultimately become issues in the electoral process. Similarly, how we finance education reflects political processes and public priorities. In this course, we will learn how K-12 and community colleges are financed and how educational finance relates to student outcomes. Course Objectives This course: Analyzes two related topics with respect to public educational institutions: state funding and internal budgeting; Provides a state overview of the economics and finance of K-12 and higher education, including methods of financing public education and contemporary policy issues regarding school and college finances in California; and Focuses on how educational leaders can most effectively manage resources to further the vision, goals, and philosophy of the organization. At the end of EdD 613, a student who successfully completes the course will be able to: Understand basic budget- and finance-related economic concepts and analysis; Understand the socio-political environment related to budgeting and finance; Understand basic budgeting concepts and budget analysis;

Understand the importance of accountability to all stakeholders with regards to budget and finance; Understand the role of public, private, and non-profit sectors in education budget and finance; and Write in academic contexts.

There will be no pop quizzes, and I dont expect anyone whos brand new to budgeting and finance to have to memorize anything. I want you to start getting a feel for things and know enough and be confident enough to ask questions (and be able to know where to look or who to ask to get answers). Format of Course This course employs the seminar style. That means students come to class having done all of the assigned readings and are well prepared to participate in conversations about the materials they have read. There will be some lecture, but also discussions and small group work designed to further learning. If you have not done the reading, you will not be able to participate. Course Grade In this course, I expect you to actively participate in in-class discussions and activities and to write a briefing memo. You are encouraged to work together on your memos but students must submit their own paper. Briefing memo (due March 14 at 8a to me via email, jez@csus.edu) 80% Participation 20% See attendance policy below

Participation: Besides actively participating in class, you may increase your participation
grade by submitting a one-sentence question that you have after completing the assigned reading for a class meeting.

This must be typed and printed to receive credit and must be in handed in at the very start of class (while handwritten questions or emailed questions are welcome, they will not receive credit). Its form should follow: NAME: [Your name] TOPIC: [Less than five word description of the topic asked about so that I know when to address in class] QUESTION: [A one-sentence question on a topic from reading that requires further clarification.]

Briefing memo: You will complete one comprehensive paper for this class. The paper
should be no more than 8 pages, typed, one-inch margins all around, and double spaced. You are to write a briefing memo to a new board member for a specific K-12 or community college district, depending upon your focus. The memo helps the new board member to understand the California budget situation, the financing of K-12 or community colleges in CA, and the specifics of the district budget you choose. The use of graphical forms of
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budget data is strongly encouraged. People learn best when you give them pictures, words and numbers. You should presume the board member is bright, but not knowledgeable about education finance. This memo is the only orientation they will have before taking their seat and making decisions on fiscal matters. The first portion of the briefing will be largely descriptive, explaining the context and specifics of the budget. The remaining portion will involve projecting into the future. Most education institutions are projecting significant cuts for next year. Explore the origins of those cuts, the projected impact on the district, school, or college you are writing about and then develop a plausible scenario for making reductions. I will provide the rubric that I will use to assign your grade on this paper during class. Please pay close attention to what is listed there because that is exactly what I will be looking for. I am happy to meet with students to discuss the paper and review outlines or drafts that are sent to me no later than Monday, March 7th (and I promise to return your draft by Friday, March 11th). This ensures that I have time to give your draft thoughtful feedback, and you have at least the weekend to make any changes I may recommend. Submit your paper to me via email (jez@csus.edu) in the form of a Word file with your last name in its file name. All papers are due by Monday, March 14 at 8a. For every 24 hours that the paper is submitted late, a half grade (i.e. A to A-) will be deducted from what you would have received if submitted on time.

Attendance: Students are expected to attend all course sessions and to be active

participants in class. A student who misses class without clearing it with me first may fail the course. Policies and Logistics Please complete all readings listed for the class date prior to coming to class. B- is a failing course grade in the EdD program. If you receive a B- in a course, you will have to retake it. If you have a disability and require accommodations, you need to provide disability documentation to SSWD, Lassen Hall 1008, (916) 278-6955. Please discuss your accommodation needs with me after class or during their office hours early in the semester. Please no cell phones or web surfing in class. If laptops are being abused in class, I will prohibit their use for all. Getting Help If there are concepts or ideas covered in a class session that you do not understand, it is important to your overall success in the course that you get these misunderstandings resolved before the next time we meet. You can do this by talking to your fellow classmates (I encourage you to form study groups or electronic study networks) or speaking with me. Academic Honesty When you do any writing for this class, or any class at Sacramento State, it is important that you are aware of what plagiarism is, and how its practice can become grounds for dismissal from the
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university. Details are available at the University Policy Manual found at http://www.csus.edu/umanual/student/UMA00150.htm . The following is directly from this manual: Plagiarism: Plagiarism is a form of cheating. At CSUS plagiarism is the use of distinctive ideas or works belonging to another person without providing adequate acknowledgement of that person's contribution. Regardless of the means of appropriation, incorporation of another's work into one's own requires adequate identification and acknowledgement. Plagiarism is doubly unethical because it deprives the author of rightful credit and gives credit to someone who has not earned it. Acknowledgement is not necessary when the material used is common knowledge. Plagiarism at CSUS includes but is not limited to: 1. The act of incorporating into one's own work the ideas, words, sentences, paragraphs, or parts thereof, or the specific substance of another's work without giving appropriate credit thereby representing the product as entirely one's own. Examples include not only word-for-word copying, but also the "mosaic" (i.e., interspersing a few of one's own words while, in essence, copying another's work), the paraphrase (i.e., rewriting another's work while still using the other's fundamental idea or theory); fabrication (i.e., inventing or counterfeiting sources), ghost-writing (i.e., submitting another's work as one's own) and failure to include quotation marks on material that is otherwise acknowledged; and 2. Representing as one's own another's artistic or scholarly works such as musical compositions, computer programs, photographs, paintings, drawing, sculptures, or similar works. Required text There is none. Instead, I will rely on articles and reports that are posted online (links in the syllabus below). This is to save you money and to not have you buy texts and only have us read a portion of them. Note that many of these websites I send you to have links to related articles. Feel free to click around websites and read more. If you happen upon anything that you found particularly interesting or useful, please share. Some budget and finance websites you might find useful General California Legislative Analysts Office www.lao.ca.gov California Budget Project www.cbp.org K-12 Legislative Analysts Office www.lao.ca.gov Ed Source
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www.edsource.org Ed-Data http://www.ed-data.k12.ca.us Getting Down to Facts: A Research Project Examining Californias School Governance and Finance Systems http://irepp.stanford.edu/projects/cafinance.htm School Finance Redesign Project http://www.crpe.org/cs/crpe/view/projects/3 Strategic School Funding for Results http://www.schoolfundingforresults.org/ CC/higher ed Legislative Analysts Office www.lao.ca.gov Community College Leagues Budget Advocacy Action Center www.ccleague.net Delta Cost Project www.deltacostproject.org Institute for Higher Education Leadership & Policy http://www.csus.edu/ihelp/

Course schedule Class 1 (2/18/11): A bit of background on how we got here In EdD 603, we touched on California finance and Californias on-going budgeting and finance woes. In this evening, we will dig further into how we got here. The Ungovernable State, Economist Magazine, May 14, 2009 http://www.economist.com/node/13649050 Why CA is Still Americas Future, Time Magazine, October 23, 2009 http://www.time.com/time/nation/article/0,8599,1931582,00.html Californias State and Local Revenue Structure after Proposition 13: Is Denial an Appropriate Way to Cope?, Professor Wassmer http://www.csus.edu/indiv/w/wassmerr/denial.pdf

**WILL WATCH IN CLASS** Proposition 13:

http://www.kpbs.org/news/2010/feb/23/proposition-13-1978

Class 2 (2/19/11): Budgets, budgets, and more budgets

***We will be working with partners on a two online modules. So, we will need a laptop for each pair***
California State Budget. In the morning, we will focus on Californias state budget and understanding common budgeting terms, revenue sources and expenditure categories. We will talk about concepts like tax incidence (who bears the burden of taxes) and debt and cash management. You do not need to print all of these but please have an electronic copy handy.

**WILL WATCH IN CLASS** Budget overview, LAO

http://www.lao.ca.gov/webcasts/2011/budget_intro/budget_intro.aspx

The budget process (a review from California Politics book from EdD 603) http://www.dof.ca.gov/fisa/bag/process.htm Cal Facts read Californias Economy, State-Local Finances, K-12, and Higher Education sections http://lao.ca.gov/reports/2011/calfacts/calfacts_010511.pdf Californias Budget: Just the Facts, PPIC, July 2010 (2pgs) http://www.ppic.org/content/pubs/jtf/JTF_BudgetJTF.pdf Californias Budget: Planning for the Future, PPIC, 2010 (4 pgs) http://www.ppic.org/content/pubs/report/R_610TGR.pdf Tax burdens: http://www.answers.com/topic/tax-incidence

**WILL WATCH IN CLASS** Pension:

http://www.pbs.org/newshour/bb/business/july-dec09/pensions_12-25.html
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**WILL DO IN CLASS** California Budget Challenge by Next 10 (we will do in class)

http://www.nextten.org/budgettool/site/thesim/flashcheck.html Internal budgets. In the afternoon, we will practice examining a real budget using the knowledge gathered so far. Please bring in the budget documents for the agency you plan to evaluate for the final paper. We will be working to understand different terms and the basic layout of different budgets. The helpful documents will include both the budget itself and previous memos to decision makers about the budget. School budgets (read The District's Responsibility, Building the Budget, Financial Reporting, Collective Bargaining, Site Level Budgeting, Fiscal Oversight in links in right frame) http://www.edsource.org/iss_fin_districtbud.html Sacramento school budgets try to plan for possible cuts http://www.sacbee.com/2011/01/14/3323279/sacramento-school-budgets-try.html School productivity http://www.americanprogress.org/issues/2011/01/pdf/dwwroi_exec_summ.pdf **for those who found the summary interesting, feel free to read the full report: http://www.americanprogress.org/issues/2011/01/pdf/dwwroi.pdf In class, we will work with their interactive map: http://www.americanprogress.org/issues/2011/01/educational_productivity/ Marin Community College budget (you do not need to print this entire document, but I am going to use it as a model for digging into a budget) http://www.marin.edu/WORD-PPT/AdoptionBudget2010-2011NEW8_31_10.pdf Class 3 (3/4; will probably spend time in class 4 on this, too): How we fund K-12 We will discuss how California finances its K-12 system, how it impacts educational processes and outcomes, and what other states are doing and alternatives for California to consider. How California Funds K12 Education, Professor Timar, September 2006 (43 pgs) http://irepp.stanford.edu/documents/GDF/STUDIES/02-Timar/2-Timar(3-07).pdf How Californias Schools Get Their Money, CBP, February 2009 (5 pgs) http://www.cbp.org/pdfs/2009/090202_SFF_HowSchoolsGetTheirMoney.pdf Finance System, EdSource http://www.edsource.org/iss_fin_sys.html (read the series of articles in the Finance System section: the basics, revenues, allocations, expenditures, dollars to districts, facilities financing, charter school funding, and history) School Finance Highlights 2010-11, EdSource, 2011 http://www.edsource.org/pub11-school-finance-highlights.html

**WILL WATCH IN CLASS** The Basics of Proposition 98, LAO

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http://www.youtube.com/watch?v=J7kg7y6KUHc&feature=related http://www.youtube.com/watch?v=_cQQ3QH6pww&feature=related http://www.youtube.com/watch?v=iVLEKzF4m2s&feature=related Keeping California School Districts Fiscally Healthy, EdSource, 2007 http://www.edsource.org/pub_bizstudy4-07_Summary.html Facing the Future: Financing Productive Schools, Center on Reinventing Public Education, 2008 http://www.crpe.org/cs/crpe/download/csr_files/pub_sfrp_finalrep_nov08.pdf ** OPTIONAL ** Inputs and Student Achievement: An Analysis of Latina/o-Serving Urban Elementary Schools, Julian Vasquez Heilig, Amy Williams, and Su Jin Jez, 2010 http://webpages.csus.edu/~jezs/Inputs_Student_Achievement.pdf **OPTIONAL** The 2011-12 Budget: Child Care and Development, LAO, 2011 http://www.lao.ca.gov/laoapp/PubDetails.aspx?id=2394 From LAO: The Governors budget plan provides $2.2 billion for child care and development (CCD) in 2011-12a reduction of $535 million, or 19 percent, compared to the current year. To achieve these savings he proposes several significant changes to current policies. In assessing the Governors CCD proposals and building its own CCD package, we recommend the Legislature: (1) balance access to and quality of care, (2) prioritize services for those who most need them, and (3) prioritize direct service over administrative activities. Consistent with these principles, we recommend the Legislature reject the Governors proposal to cut state subsidies by 35 percent, reconsider the Governors proposal to restore CalWORKs Stage 3 child care, and approveperhaps in modified formhis proposals to change eligibility criteria and reduce administrative and support activities. We also offer the Legislature a menu of additional CCD savings options and build three illustrative CCD packages. (20 pp.) **OPTIONAL** The 2011-12 Budget: To Defer or Not Defer? An Analysis of the Effects of K12 Payment Deferrals, LAO, 2011 http://www.lao.ca.gov/laoapp/PubDetails.aspx?id=2396 From LAO: Over the last several years, the state has deferred payments to school districts as a way to achieve significant Proposition 98 savings. Relying on deferrals has allowed the state to achieve significant one-time savings while simultaneously allowing school districts to continue operating a larger program by borrowing or using cash reserves. As the magnitude and length of payment deferrals have increased, however, school districts have found fronting the cash required to continue operating at a higher programmatic level increasingly difficult. As part of his 2011-12 budget plan, the Governor continues to rely heavily on payment deferrals. His one major budget proposal for K-12 education is a $2.1 billion deferral. In this report, we track the state's increased use of deferrals, discuss the advantages and disadvantages of deferrals, and highlight several other major factors the Legislature should consider as it decides whether to approve additional K-12 deferrals. (8 pp.) Class 4 (3/5): How we fund community colleges Today, we will focus on higher education finance: how its financed, the relationship to student performance, and the iron triangle that college administrators face.
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We will have a guest lecturer this day, Erik Skinner, California Community Colleges System Offices College Finance and Facilities Planning Division. Before being at CCCCO, Skinner served as the assistant secretary for fiscal policy for the Office of the Secretary for Education. From 1998 to 2001, Skinner was a fiscal policy analyst for the Legislative Analysts Office. Who Pays for Higher Education? http://www.lao.ca.gov/2005/fund_highred/062905_fundng_highred.pdf (50 pgs) http://lao.ca.gov/analysis/2011/highered/hed_budget_in_context_011911.pdf (16 pgs) http://lao.ca.gov/sections/higher_ed/FAQs/Higher_Education_Issue_05.pdf (2 pgs) http://lao.ca.gov/sections/higher_ed/FAQs/Higher_Education_Issue_01.pdf (2 pgs) How Does Californias Support for Higher Education Compare With Other States?, LAO, 2010 http://lao.ca.gov/sections/higher_ed/FAQs/Higher_Education_Issue_13.pdf (2 pgs) Invest in Success: How Finance Policy Can Increase Student Success at Californias Community Colleges, Professor Shulock, 2007 http://www.csus.edu/ihelp/PDFs/R_InvestInSuccess_10-07.pdf (55 pgs) The 2011-12 Budget: California Community College Fees, LAO, 2011 http://lao.ca.gov/analysis/2011/highered/ccc_fees_012711.pdf The 2011-12 Budget: Prioritizing Course Enrollment at the Community Colleges, LAO, 2011 http://lao.ca.gov/analysis/2011/highered/ccc_course_enrollment_012011.pdf The Iron Triangle: College Presidents Talk about Costs, Access, and Quality by National Center for Public Policy and Higher Education, October 2008 http://www.highereducation.org/reports/iron_triangle/IronTriangle.pdf (30 pgs) **OPTIONAL** Trends in College Spending 1998-2008: Where Does the Money Come From? Where Does It Go?, Delta Cost Project, 2010 http://www.deltacostproject.org/resources/pdf/Trends-in-College-Spending-98-08.pdf (40 pgs) **OPTIONAL** Calculating Cost-Return for Investments in Student Success, Delta Cost Project, 2009 http://deltacostproject.org/resources/pdf/ISS_cost_return_report.pdf ** OPTIONAL** Connecting the Dots Between Learning and Resources, Jane Wellman, 2010 http://learningoutcomesassessment.org/documents/Wellman.pdf Excerpt from introduction: To get a better handle on what is known and the much that remains to be discovered, this paper presents a conceptual approach for analyzing the relation of spending to student success, followed by an examination of what the existing research says about the topic. Since there is so little work directly on the topic of learning and resource use, this paper searches other areas of work for threads that might be sturdy enough to be woven into a fabric of knowledge about learning and resources. The paper concludes by recapping the research themes and by suggesting directions for future work.

** OPTIONAL** Good Policy, Good Practice II: Improving Outcomes and Productivity in Higher Education: A Guide for Policymakers, National Center for Public Policy and Higher Education, 2010 http://www.highereducation.org/reports/Policy_Practice_2010/GPGPII.pdf From website: This report revises and updates the 2007 report, Good Policy, Good Practice. It is a resource for policy makers and educators seeking examples of programs and policies to improve college access, completion rates, and cost effectiveness.

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