Report Will California Run Out of College Graduates? By Hans Johnson, Sarah Bohn, Marisol Cuellar Mejia Oct 12, 2015 California’s higher education system is a critical driver of the state’s economic progress. As the state’s economy continues to change, will its workforce be ready for the jobs of tomorrow? This report updates and extends projections of California’s workforce skills through 2030, focusing on the supply and demand for workers with a bachelor’s degree. We find that the state will fall about 1.1 million college graduates short of economic demand if current trends persist—a problem we call the workforce skills gap. Even the arrival of highly educated workers from elsewhere is unlikely to be large enough to fill this gap. Today’s college graduates have better economic outcomes than those who do not hold a bachelor’s degree. Over time, college graduates have seen lower rates of unemployment and higher wages than other workers—even through the Great Recession—suggesting that college degrees have become increasingly valuable in California’s labor market. The future workforce skills gap looms large. But California and its higher education institutions can take several practical steps to close it. The core of a new plan for higher education should include increasing access to the state’s four-year institutions, improving college completion rates, expanding transfer pathways from community colleges, and being smart about aid programs.
blog post Video: Survey Looks at Taxes and Pensions By Linda Strean Oct 8, 2015 As interest groups work to turn their ideas into initiatives for next year’s statewide ballot, the September PPIC Statewide Survey examined Californians’ views in two areas that may be put before voters: taxes and public employee pension reform.
Report Public Safety Realignment: Impacts So Far By Magnus Lofstrom, Brandon Martin Sep 28, 2015 Prompted by a federal court order to reduce prison overcrowding, California’s 2011 historic public safety realignment shifted many correctional responsibilities for lower-level felons from the state to counties. The reform was premised on the idea that locals can do a better job, and it was hoped that incarceration rates and corrections costs would fall. At the same time, critics predicted crime would rise. Four years since its implementation, realignment has made several important impacts: Realignment significantly reduced the prison population, but the state did not reach the court-mandated population target until after the passage of Proposition 47 in November 2014, which reduced penalties for many property and drug offenses. The reform challenged county jails and probation departments by making them responsible for a greater number of offenders with a broader range of backgrounds and needs. The county jail population did not rise nearly as much as the prison population fell, reducing the total number of people incarcerated in California. Realignment did not increase violent crime, but auto thefts rose. Research so far shows no dramatic change in recidivism rates. State corrections spending remains high, but there is reason to believe expenditures could drop in the future. Realignment has largely been successful, but the state and county correctional systems face significant challenges. The state needs to regain control of prison medical care, which is now in the hands of a federal receiver. And the state and counties together must make progress in reducing stubbornly high recidivism rates.
Report Parcel Taxes as a Local Revenue Source in California By Jon Sonstelie Apr 15, 2015 Local government authority is growing in corrections, school funding, and other areas in California, putting pressure on localities to diversify revenue sources. As a result, the parcel tax may become an increasingly important fiscal tool in the state. We gratefully acknowledge the support of the Donald Bren Foundation.
press release Most Want More Higher Education Funding—But Oppose Raising Student Fees or Taxes Dec 1, 2014
Report Higher Education in California: Performance Budgeting By Hans Johnson, Patrick Murphy, Margaret Weston, Kevin Cook Nov 12, 2014 As California begins to reinvest in public higher education after several years of budget cuts, it could opt to tie funding more closely with outcomes—for example, the number of students educated or degrees awarded. This approach, known as performance-based funding, has the potential to incentivize investment by the state’s higher education systems in areas that further state priorities. Drawing on California’s minimal experience with performance-based funding and the approaches other states have pursued, this report raises four important questions for the state to consider if it wants to link funding for higher education with outcomes without compromising on either quality or equity.
Report Higher Education in California: Institutional Costs By Hans Johnson, Patrick Murphy, Margaret Weston, Kevin Cook Nov 12, 2014 Over the past 20 years, in-state tuition at both the University of California (UC) and the California State University (CSU) has more than tripled. These tuition increases have led many to believe that spending in the state’s public higher education systems is out of control. However, a closer look reveals that institutional expenditures in the two systems—including faculty salaries and benefits, the largest budget category—have not increased significantly. Our evaluation of both revenues and expenditures shows that recent tuition increases have been driven by dramatic reductions in state subsidies to UC and CSU. In the past, General Fund contributions covered the majority of educational costs. Today, students (often with help from federal, state, institutional, and private grants) pay most of these costs through tuition and associated fees. Better budget data could help policymakers monitor costs and align higher education funding with state goals. But it is clear that tuition at California’s public universities has risen much more rapidly than the cost of providing higher education.
blog post Drought Watch: Roadblocks to Efficient Funding By Ellen Hanak, Caitrin Chappelle Mar 13, 2014 This is part of a continuing series on the impact of the drought.Looming legal challenges may limit the ability of local agencies to make continued investments in modern, integrated water management—investments that would better prepare us for population growth, climate change, and future droughts.
