Lottery Revenues
Lawmakers have defeated CTA-opposed legislation that would have changed the allocation formula governing the distribution of California's share of multi-state lottery funds. The change would have benefited some students and districts at the expense of others. The bill would also have redirected funds away from instructional materials purchases.
The defeat of CTA-opposed AB 1782 by Assembly Member Gene Mullin (D-So. San Francisco) came on June 22 in the Senate Education Committee. The bill went down on a 0-6 vote. Voting against the measure and with CTA were Senators Abel Maldonado (R-San Luis Obispo), Jeff Denham (R-Modesto), Alan Lowenthal (D-Long Beach), Gloria Romero (D-Los Angeles), Nell Soto (D-San Bernardino), and Tom Torlakson (D-Antioch). Five other members of the committee either abstained or were not present for the vote.
First, AB 1782 would have changed the calculations used to send lottery funds out to school districts. It would specifically have shifted funds generated by the Mega Millions game away from some students and to others, creating new inequities, instead of providing higher levels of funding for all students.
Ironically, the bill would have made those allocation changes at a time two key studies are underway to assess how much funding is needed to provide a high quality education for all students. AB 1782 would have made its changes prior to the recommendations of both a governor's panel and a study group underwritten by various foundations.
AB 1782 would also have revisited voters' 1998 decision about how schools should use new revenues generated by the state lottery. In 1998, voters decided that half of the annual increases in lottery revenues above the 1998-99 baseline should go for instructional materials. AB 1782 would have overturned that decision, providing that schools could not use for materials purchases any lottery funds above the amounts allocated in 2004-2005, no matter how great the rise in lottery revenues since that time.