School Funding Allocations. State-required Percentage for Direct Classroom Instruction. Initiative Constitutional Amendment and Statute.

Requires school districts to allocate and spend at least 75% of total operating expenditures on direct classroom instruction, as defined, with a 1% increase each year for five years, resulting in minimum spending of 80% in the sixth year. Permits State Board of Education to grant waiver for special circumstances and emergencies. Requires State Board of Education to adopt implementing regulations. Requires that school accountability report card include specified budget and expense information for individual schools and school districts. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local governments: Redirects hundreds of millions to billions of dollars in school spending from nonclassroom activities to direct classroom instruction