Contents

Highlights

California’s public school enrollment declined by about 1.8% in the 2021–22 school year
California’s public high school graduation rate increased slightly in 2020–21 from 90.7% to 91.3%, while its dropout rate increased slightly from 5.9 % to 6.4 % when compared to the previous year
In 2021–22, California’s public schools received a total of $136 billion in funding from the state (65%), property taxes and other local sources (23%), and the federal government (12%).
From 2019–20, California’s public schools and districts had total expenditures of $104.8 billion, which resulted in per-pupil spending of $16,486.

An Overview On The California State Education System

California is one of the most diverse states in the nation, with a population that includes people from various racial and ethnic backgrounds. It has a large and diverse public education system that serves over 6 million students in more than 10,000 schools and districts. The main goal of the system is to provide high-quality and equitable learning opportunities for all students, regardless of their background, location, or needs. The system aims to prepare students for college, careers, and civic life, as well as foster social mobility, economic development, and civic engagement.

2023 Enrollment Trends and Projections for Public Schools

California’s public school enrollment has been declining for the fifth consecutive year, reaching 5.9 million students in 2021–22, a decrease of more than 110,000 students and 1.8% from the prior year.
This follows a steady decline in public school enrollment statewide since 2014–15, when it peaked at 6.2 million students. The decline is expected to continue into the future, with a projected further drop of 524,000 students by 2030–31.

Enrollment Trends and Projections by Type of School and District

Unified districts, which serve students from kindergarten to twelfth grade, have the largest share of enrollment (68%) and experienced the smallest decline (1.5%) from 2020–21 to 2021–22.
Elementary districts, which serve students from kindergarten to eighth grade, have the second-largest share of enrollment (20%) and experienced the largest decline (3.3%).
High schools, which serve students from ninth to twelfth grade, have the smallest share of enrollment (10%) and experienced a moderate decline (2.2%).
Other districts, which include alternative schools and county offices of education, have a very small share of enrollment (2%) and experienced a slight increase (0.4%).

Enrollment Trends and Projections by Grade Level

The enrollment decline is most pronounced in the lower grades, especially kindergarten and first grade, which saw decreases of 9.6% and 7.8%, respectively, from 2020–21 to 2021–22.
This may reflect the impact of the COVID-19 pandemic on parents’ decisions to enroll their children in school or delay their entry.
The enrollment decline is less severe in the upper grades, with high school grades seeing decreases ranging from 0.4% to 1.6%.

Enrollment Trends and Projections by Charter Status

Charter schools, which are publicly funded but independently operated schools that offer more flexibility and choice for parents and students, have a growing share of enrollment (11.7%) and experienced an increase of 3.7% from 2020–21 to 2021–22.
Non-charter schools, which are traditional public schools that follow district policies and regulations, have a declining share of enrollment (88.3%) and experienced a decrease of 2.4%.

Racial Distribution Of Public School Students And Teachers

In 2020, California’s population was 39.4% Hispanic or Latino (of any race), 34.7% White (not Hispanic or Latino), 15.3% Asian (not Hispanic or Latino), 5.8% Black or African American (not Hispanic or Latino), 3.9% Two or more races (not Hispanic or Latino), 0.8% American Indian or Alaska Native (not Hispanic or Latino), and 0.4% Native Hawaiian or Other Pacific Islander (not Hispanic or Latino).
In the 2021–22 school year, California’s public school students were 56.1% Hispanic or Latino (of any race), 20.1% White (not Hispanic or Latino), 9.5% Asian (not Hispanic or Latino), 4.7% Black or African American (not Hispanic or Latino), 4.3% Two or more races (not Hispanic or Latino), 2.2% Filipino (not Hispanic or Latino), 0.4% American Indian or Alaska Native (not Hispanic or Latino), and 0.4% Native Hawaiian or Other Pacific Islander (not Hispanic or Latino).
In contrast, in 2018-19, California’s public school teachers were 64.6% White (not Hispanic or Latino), 20.6% Hispanic or Latino (of any race), 5.2% Asian (not Hispanic or Latino), 4.6% Black or African American (not Hispanic or Latino), 2.9% Two or more races (not Hispanic or Latino), 1.5% Filipino (not Hispanic or Latino), 0.3% American Indian or Alaska Native (not Hispanic or Latino), and 0.2% Native Hawaiian or Other Pacific Islander (not Hispanic or Latino).

Racial Distribution of Teachers' and Students' Population in California's Public Schools

2022 Statewide Assessment System and The Results

Smarter Balanced Summative Assessments

In 2021–22, the percentage of students who met or exceeded standards on the Smarter Balanced Summative Assessments declined by 4% for English language arts (ELA) and 7% for mathematics when compared to students who took the tests in 2018–19 before the pandemic. The decline was more pronounced for some student groups than others.
For ELA, the percentage of students who met or exceeded standards declined by 9% for Black students, 8% for Hispanic students, 7% for low-income students, and 6% for English learners. For mathematics, the percentage of students who met or exceeded standards declined by 12% for Black students, 10% for Hispanic students, 9% for low-income students, and 8% for English learners.

California Alternate Assessments (CAAs)

The results of the California Alternate Assessments (CAAs) showed similar trends. The percentage of students who met or exceeded standards on the CAAs declined by 4% for ELA and 5% for mathematics when compared to students who took the tests in 2018–19. The decline was also more pronounced for some student groups than others.
For ELA, the percentage of students who met or exceeded CAA standards declined by 9% for Black students, 6% for Hispanic students, and 5% for low-income students. For mathematics, the percentage of students who met or exceeded standards declined by 10% for Black students, 7% for Hispanic students, and 6% for low-income students.

California Science Tests

The results of the California Science Tests (CAST) showed a slight increase in the percentage of students who met or exceeded standards on the CAST from 2018–19 to 2021–22. The percentage of students who met or exceeded standards on the CAST increased by 1% for grade five, 2% for grade eight, and 1% for high school. However, the increase was not consistent across all student groups.
For grade five, the percentage of students who met or exceeded standards on the CAST increased by 4% for Asian students, 3% for White students, and 2% for students of two or more races students. However, it decreased by 1% for Black students, Hispanic students, and low-income students.

California Spanish Assessment

The results of the California Spanish Assessment (CSA) showed a slight decrease in the percentage of students who met or exceeded standards on the CSA from 2018–19 to 2021–22. The percentage of students who met or exceeded standards on the CSA decreased by 1% for grade three, 2% for grade four, 1% for grade five, 2% for grade six, 1% for grade seven, and 2% for grade eight. However, the decrease was not consistent across all student groups.
For example, in grade three, the percentage of students who met or exceeded standards on the CSA increased by 4% for Asian students, 3% for White students, and 2% for students of two or more races. However, it decreased by 4% for Black students, 3% for Hispanic students, and 3% for low-income students.

Graduation and Dropout Rates For Public High School Students

In 2020–21, California’s public high school graduation rate increased slightly from 90.7% to 91.3%, while its dropout rate increased slightly from 5.9 % to 6.4 %, when compared to the previous year.
Asian students had the highest graduation rate (96.8%) and the lowest dropout rate (1.4 %), followed by Filipino students (94% and 2.2%), White students (90.3% and 5.8%), Two or more races students (88.8% and 6.5%), Hispanic students (85.4% and 9.7%), Pacific Islander students (87.1% and 10.1%), American Indian or Alaska Native students (79.8% and 15.7%), and Black students (80.7% and 16.2%).
Female students had a higher graduation rate (92.9%) and a lower dropout rate (5.3%) than male students (89.6% and 7.6%).
Socioeconomically disadvantaged students had a lower graduation rate (86.4%) and a higher dropout rate (9.3%) than non-socioeconomically disadvantaged students (95.4% and 2.9%).

Graduation and Dropout Rates of Public High School Students in California Across Race, Gender and Socioeconomic Status

	Graduation rate	Dropout rate
Race
Asian	96.8%	1.4 %
Filipino	94.%	2.2 %
White	90.3%	5.8%
Two or more races	88.8%	6.5%
Hispanic	85.4%	9.7%
Pacific Islander	87.1%	10.1%
American Indian or Alaska Native	79.8%	15.7%
Black	80.7%	16.2%
Gender
Female	92.9%)	5.3%
Male	89.6%	7.6%
Socioeconomic status
Socioeconomically disadvantaged	86.4%	9.3%
Non-socioeconomically disadvantaged	95.4%	2.9%

Educational Attainment of California’s Adult Population

In 2021, California’s adult population (aged 25 and over) had the following distribution of educational attainment: 16.9% had less than a high school diploma, 20.8% had a high school diploma or equivalent, 28.2% had some college or associate’s degree, 22.1% had a bachelor’s degree, and 12% had a graduate or professional degree.
Among the 50 states and the District of Columbia, California ranked 10th in terms of the percentage of adults with a bachelor’s degree or higher (34.1%), showing that California’s adult population has a relatively higher level of educational attainment than the national average, as well as most other states.

Sources of Revenue and Funding for Public Education System

California’s public education system is funded by a combination of state, local, and federal sources, which vary in amount and purpose.
In 2021–22, California’s public schools received a total of $136 billion in funding from three sources: the state (65%), property taxes and other local sources (23%), and the federal government (12%). These shares vary across school districts and change over time depending on economic conditions and policy decisions.

Expenditures and Per-Pupil Spending for Public Schools

Expenditures are the amounts of money that are spent by public schools and districts to provide educational services to students. Per-pupil spending is the average amount of money that is spent per student enrolled in a school or district. From 2019–20, California’s public schools and districts had total expenditures of $104.8 billion, which resulted in per-pupil spending of $16,486.

Expenditures can be categorized as follows:

Current expenses: These are the ongoing costs of operating public schools and districts, such as salaries, benefits, and materials. Current expenses accounted for $88.4 billion (84.4 %) of total expenditures and $13,857 (84.1 %) of per-pupil spending.
Capital outlay: These are the costs of acquiring or constructing fixed assets, such as land, buildings, equipment, and vehicles. Capital outlay accounted for $7.9 billion (7.5 %) of total expenditures) and $1,240 (7.5 %) of per-pupil spending).
Another outgo is the cost of transferring funds to other agencies or entities, such as county offices of education, charter schools, and joint powers agencies. Other outgoings accounted for $8.5 billion (8.1 %) of total expenditures and $1,329 (8.1 %) of per-pupil spending.

Another categorization of expenditures is as follows:

Instruction: This is the direct cost of teaching students or enhancing the teaching process, such as teacher salaries, benefits, and materials. Instruction accounted for $51 billion (48.7 %) of total expenditures and $7,993 (48.5 %) of per-pupil spending.
Instruction-related services: These are the costs of supporting instruction, such as instructional supervision, library services, and counseling services. Instruction-related services accounted for $14 billion (13.4 %) of total expenditures and $2,197 (13.3 %) of per-pupil spending.
Pupil transportation: This is the cost of transporting students to and from school or school activities, such as bus driver salaries, benefits and fuel. Pupil transportation accounted for $2 billion (1.9 %) of total expenditures and $311 (1.9 %) of per-pupil spending.
Food services: This is the cost of providing food to students and staff at school or school activities, such as food service worker salaries, benefits, and food. Food services accounted for $3 billion (2.9 %) of total expenditures and $471 (2.9 %) of per-pupil spending.

Adequacy and Equity of California’s Education Finance System

California’s per-pupil spending is slightly above the national average, but still well below other states with similar costs of living and student needs. California’s per-pupil spending varies significantly by district, depending on their local revenue sources, student demographics, and funding formulas.
California’s school finance system is relatively equitable in terms of allocating more funding to districts with higher proportions of high-need students (low-income, English learners, foster youth, or homeless). However, some districts still receive less funding than their peers with similar or lower student needs, due to historical factors, regional differences, or funding caps.
California’s student achievement is below the national average and has large gaps by race/ethnicity, socioeconomic status, and English proficiency.

Major Challenges Facing California’s Education System

Funding: California’s education system has historically been underfunded compared to other states and countries, especially in terms of per-pupil spending and teacher salaries. The Covid-19 pandemic has also created unprecedented fiscal challenges and uncertainties for the education system, as it has affected state revenues, federal relief funds, local taxes, and enrollment trends.
Achievement: California’s education system has low levels of student achievement and large gaps by race/ethnicity, socioeconomic status, English proficiency, and other factors. California ranked 40th in fourth-grade reading, 41st in eighth-grade reading, 37th in fourth-grade math, and 43rd in eighth-grade math among the states in 2019. The state also had lower scores and larger gaps than the national average for most student groups. Only half of California’s students met or exceeded standards in English language arts and less than two-fifths met or exceeded standards in math. The state also had low rates of college readiness and completion compared to other states.
Equity: California’s education system has significant inequities in terms of access, opportunity, and outcomes for different student groups. The system serves a diverse population of students who have different needs and backgrounds and are more likely to attend under-resourced schools and less likely to have access to high-quality education.
Capacity: California’s education system has limited capacity to meet the current and future needs and demands of its students, staff, and stakeholders. The system faces shortages and challenges in terms of human capital, physical infrastructure, data systems, and governance structures.

Ranking of California’s Students’ Achievement Compared to Other States – 2019

	Rank
fourth-grade reading	40th
eighth-grade reading	41st
fourth-grade math	37th
eighth-grade math	43rd

Conclusion

In conclusion, California has a large and diverse public education system faced with many challenges and issues that affect its quality, equity, and outcomes. There has been a decline in public school enrollment and low levels of student achievement. However, both graduation and dropout rates from public high schools have increased slightly.