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AB-477 • 2026

Fair Pay for Educators Act: local control funding formula: base grants: funding targets.

Fair Pay for Educators Act: local control funding formula: base grants: funding targets.

Education
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Muratsuchi
Last action
2025-08-29
Official status
In committee: Held under submission.
Effective date
Not listed

Plain English Breakdown

The bill summary does not provide specific details about the exact amounts or limits on spending beyond fiscal year 2036-37.

Fair Pay for Educators Act: School Funding Increases

This act increases funding for California's public schools, including county offices of education and school districts, starting in the fiscal year 2036-37.

What This Bill Does

  • Increases base grants for different grade levels to higher amounts per student.
  • Boosts alternative education base grant funding.
  • Enhances funding for small schools and high schools based on pupil and teacher numbers.
  • Raises the amount added for transitional kindergarten students.

Who It Names or Affects

  • County superintendents of schools
  • School districts

Terms To Know

Local Control Funding Formula (LCFF)
A system that determines how state money is given to public schools based on specific needs.

Limits and Unknowns

  • The bill does not specify the exact amount of increase beyond fiscal year 2036-37.
  • It is unclear how these increases will be funded and if there are any limits on spending.

Bill History

  1. 2025-08-29 California Legislative Information

    In committee: Held under submission.

  2. 2025-07-14 California Legislative Information

    In committee: Referred to APPR. suspense file.

  3. 2025-07-02 California Legislative Information

    From committee: Do pass and re-refer to Com. on APPR. (Ayes 4. Noes 1.) (July 2). Re-referred to Com. on APPR.

  4. 2025-06-23 California Legislative Information

    From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on ED.

  5. 2025-06-18 California Legislative Information

    Referred to Com. on ED.

  6. 2025-06-04 California Legislative Information

    In Senate. Read first time. To Com. on RLS. for assignment.

  7. 2025-06-03 California Legislative Information

    Read third time. Passed. Ordered to the Senate. (Ayes 72. Noes 1. Page 1972.)

  8. 2025-05-27 California Legislative Information

    Read second time. Ordered to third reading.

  9. 2025-05-23 California Legislative Information

    From committee: Do pass. (Ayes 12. Noes 1.) (May 23).

  10. 2025-04-23 California Legislative Information

    In committee: Set, first hearing. Referred to suspense file.

  11. 2025-04-10 California Legislative Information

    From committee: Do pass and re-refer to Com. on APPR. (Ayes 9. Noes 0.) (April 9). Re-referred to Com. on APPR.

  12. 2025-04-10 California Legislative Information

    Coauthors revised.

  13. 2025-03-25 California Legislative Information

    Re-referred to Com. on ED.

  14. 2025-03-24 California Legislative Information

    From committee chair, with author's amendments: Amend, and re-refer to Com. on ED. Read second time and amended.

  15. 2025-03-24 California Legislative Information

    Referred to Com. on ED.

  16. 2025-02-11 California Legislative Information

    From printer. May be heard in committee March 13.

  17. 2025-02-10 California Legislative Information

    Read first time. To print.

Official Summary Text

AB 477, as amended, Muratsuchi.
Local
Fair Pay for Educators Act: local
control funding formula: base grants: funding targets.
(1) Existing law, commencing with the 2013–14 fiscal year, establishes a public school financing system that requires state funding for county superintendents of schools, school districts, and charter schools to be calculated pursuant to a local control funding formula, as specified. Existing law requires the Superintendent of Public Instruction to annually calculate a county local control funding formula for each county superintendent of schools that includes, among other components, a county office of education operations grant composed of (A) $655,920, as adjusted each fiscal year for inflation; (B) $109,320 per school district under the county office of education’s jurisdiction, as adjusted each fiscal year for inflation; (C) $70 per unit of countywide average daily attendance up to 30,000 units, $60 per unit for 30,001 to 60,000 units, $50 per unit for 60,001
to 140,000 units, and $40 per unit above 140,000 units, as adjusted each fiscal year for inflation; and (D) commencing with the 2022–23 fiscal year, add-ons of (i) $175,000 to the per-school district amount and (ii) $14 to each per-unit amount.
This bill, commencing with the 2036–37 fiscal year, would increase each of those inflation-adjusted amounts to instead be $1,308,227, $520,751, $164, $144, $124, and $104, respectively, and would retain the requirement to adjust those amounts for inflation each fiscal year. The bill, commencing with the 2036–37 fiscal year, would increase the per-school district and per-unit add-on amounts to instead be $262,500 and $21, respectively.
(2) Existing law requires the county office of education local control funding formula to also include, among other things, an alternative education base grant that includes, among its own components, a base grant equal to the
grade span-adjusted base grant for average daily attendance in grades 9 to 12, inclusive, for the 2022–23 fiscal year, multiplied by 1.33, as specified. Existing law requires that amount to be adjusted for inflation each fiscal year.
This bill, commencing with the 2036–37 fiscal year, would require the inflation-adjusted base grant component of the alternative education grant to instead be $24,593 and would retain the requirement to adjust that amount for inflation each fiscal year.
(3) Existing law provides for the funding of necessary small schools and high schools, as specified. Existing law requires that funding to include, among other things, various specified per-pupil and per-teacher amounts for different tiers based on the numbers of pupils and teachers, as specified. Existing law requires those amounts to be adjusted for inflation each fiscal year.
This bill, commencing with the 2036–37 fiscal year, would increase those various per-pupil and per-teacher inflation-adjusted amounts, as specified, and would retain the requirement to adjust that amount for inflation each fiscal year.
(4) Existing law, commencing with the 2013–14 fiscal year, requires school district and charter school funding pursuant to the local control funding formula to include, among other things, a base grant based on average daily attendance in kindergarten and grades 1 to 3, inclusive, grades 4 to 6, inclusive, grades 7 and 8, and grades 9 to 12, inclusive, of
$6,485,
$6,845,
$6,947, $7,154, and $8,289 per pupil, respectively. Existing law requires those amounts to be adjusted for inflation
each fiscal year.
This bill, commencing with the 2036–37 fiscal year, would increase those inflation-adjusted base grant amounts to instead be $14,879, $15,104, $15,551 and $18,023 per pupil, respectively, and would retain the requirement to adjust those amounts for inflation each fiscal year.
(5) Existing law requires funding pursuant to the local control funding formula to include, in addition to the base grant, supplemental and concentration grant add-ons that are based on the percentage of unduplicated pupils, as specified, served by the school district or charter school. In addition to the base, supplemental, and concentration grants of the local control funding formula, existing law, commencing with the 2022–23 school year, requires the Superintendent to compute an additional add-on of $2,813 multiplied by the then current fiscal year’s average daily attendance in transitional kindergarten, as
specified, and requires that add-on to be annually adjusted for inflation.
This bill, commencing with the 2036–37 fiscal year, would increase that inflation-adjusted add-on based on attendance in transitional kindergarten to instead be equal to
$4,220
$8,318
multiplied by the then current fiscal year’s average daily attendance in transitional kindergarten for the school district or charter school, as specified, and would retain the requirement to adjust that amount for inflation each fiscal year.

Current Bill Text

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