J

Funding Programs Serving Children, Youth, and Families

Shall the City amend the Charter to create an initiative led by the Mayor and the Superintendent of the School District with the mission of ensuring that City funding for children, youth, and families is used effectively?

 

This measure requires 50%+1 affirmative votes to pass.

Digest by the Ballot Simplification Committee

The Way It Is Now:

The City funds services for children, youth and their families through the Children and Youth Fund, the Public Education Enrichment Fund and the Student Success Fund, and other programs. 

The San Francisco Unified School District (School District) is separate from the City and operates the San Francisco public school system. The School District receives some funding from the City.

Children and Youth Fund

The Children and Youth Fund supports services for children and youth through 24 years of age. The Charter requires the City to contribute a dedicated portion of annual property tax revenues to this fund. The City uses these funds to provide services, including child care, health services, job training, social services, educational, recreational and cultural programs, and delinquency prevention services. The City must spend more than the amount it spent in Fiscal Year 2000-2001 to fund these services. The amount spent in Fiscal Year 2000-2001 is referred to as the “Children and Youth Fund Baseline.”

Public Education Enrichment Fund

The Public Education Enrichment Fund (PEEF) supports early childhood education programs and general education programs, including art, music, sports and libraries. The Charter requires the City to contribute a certain amount to this fund each year, adjusted annually. The City must spend more than the amount it spent in Fiscal Year 2002-2003 to fund these services. The amount spent in Fiscal Year 2002-2003 is referred to as the “PEEF Baseline.” In addition to the required PEEF funding, the Board of Supervisors and Mayor may provide additional funding to the School District.

Student Success Fund

The City grants money from the Student Success Fund to the School District and individual schools for programs that improve student academic achievement and social/emotional wellness. The Charter requires the City to contribute money to the fund each year through Fiscal Year 2037-2038. In Fiscal Year 2024-2025, the City must place $35 million into this fund. That amount will continue to increase each year, though the City may place less money in the fund under certain circumstances.

The Proposal:

Proposition J is a Charter amendment that would change the way the City evaluates funding for services to children, youth and their families by monitoring outcomes. 

Proposition J would create an Our Children, Our Families Initiative (OCOF Initiative), led by the Mayor and the Superintendent of the School District and staffed by employees of the City and School District, to ensure that related funds are used effectively. This group would evaluate expenditures from the Children and Youth Fund and the PEEF and would prepare an annual report for the Mayor and the Board of Supervisors, who must approve these expenditures as part of the budget process.

Proposition J would require the School District to report on PEEF funds and spending to the OCOF Initiative each year. Every five years, the School District must submit a proposal describing how it plans to use these funds. The City’s future contributions to the School District from the PEEF depend on their review and approval of the School District’s proposal.

Money spent from the Student Success Fund cannot replace money that is included or partially included in the Children and Youth Baseline, the PEEF Baseline or other similar provisions.

Proposition J would not change the minimum contributions by the City to the Children and Youth Fund, the PEEF or the Student Success Fund.

A "YES" Vote Means: If you vote "yes," you want to amend the Charter to create an Our Children, Our Families Initiative to ensure that related funds are used effectively.  

A "NO" Vote Means: If you vote "no," you do not want to make these changes.

Controller's Statement on "J"

City Controller Greg Wagner has issued the following statement on the fiscal impact of Proposition J:

Should the proposed Charter amendment be approved by the voters, in my opinion, it would have a significant impact on the cost of government of up to $35 million in FY 2024-25 and increasing to up to $83 million in FY 2037-38 in that it would reallocate funding that would otherwise be available to the General Fund. Additionally, staffing costs to support the operations of the newly created Our Children, Our Families Initiative, could range from $140,000 to $570,000 annually.

The amendment creates an Our Children, Our Families Initiative (the Initiative), to be staffed by officials from the City and Unified School District, to align the City’s spending on children and youth with the Initiative’s Outcomes Framework. The Board of Supervisors would consider the Initiative’s findings when drafting and adopting the City’s budget.

The amendment would restrict the City from providing certain funding to the School District if the Board of Supervisors does not approve the School District’s five-year spending plan, the District’s expenditures are not aligned with said spending plan and the Outcomes Framework, or the School District does not enter a data-sharing agreement with the City. For context, in FY 2023-24, the City budgeted $91.6 million for the District through the Public Education Enrichment Fund and $7.7 million in discretionary funding. Given the potential restrictions, the proposed amendment could generate savings for the City, but at a level that cannot be specified at this time.

Finally, the proposed Charter amendment would revise the Student Success Fund, an existing set-aside fund in the Charter, by clarifying that money in this fund may not replace any other funding requirements or baselines in the Charter for services to children and youth and the San Francisco Unified School District. Since the Student Success Fund’s inception, the City has counted the entirety of Student Success Fund appropriations toward meeting the Children and Youth baseline spending requirement. Currently, the City’s budget is balanced by overlapping these two baselines. The overlapping amounts equal $11 million in Fiscal Year (FY) 2023-2024, $35 million in FY 2024-25, and $45 million in FY2025-26.

If the amendment is approved, the Mayor and Board of Supervisors may need to appropriate additional funds towards children and youth services of up to $35 million starting in FY 2024-25 and at least $35 million every year for the next 14 years through FY 2037-38, up to a maximum of $83 million. The City would need to balance these amounts either with new revenues or reductions in other expenditures.

Should the City appropriate more money to the Children and Youth baseline than that baseline requires, the General Fund impact of this measure would be reduced by that amount. In some past years, during the normal budget process, the Mayor and Board of Supervisors have budgeted funds above the minimum legal requirements for services to children and youth, ranging from $63.5 million in FY 2021-22 to $1.6 million in FY 2023-24. If this were to occur in future budgets, the financial impact of the proposed Charter amendment would be reduced, since a lower level of new funding would be legally required to replace the Student Success Fund’s contribution toward the Children and Youth baseline.

The Student Success Fund will expire on December 31, 2038, unless the voters renew it. Over the next 14 years when the fund would be active, total costs would range from up to $490 million to $930 million, depending on the financial health of the City and budgetary decisions of the Mayor and Board of Supervisors.

Additionally, the estimated annual staff costs to support the Initiative range from approximately $140,000 to $570,000 for one to three positions in the Department of Children, Youth, and Their Families.

This proposed amendment is not in compliance with a non-binding, voter-adopted city policy regarding set-asides. The policy seeks to limit set-asides which reduce General Fund dollars that could otherwise be allocated by the Mayor and the Board of Supervisors in the annual budget process. For context, in the FY 2023-24 budget, all baseline requirements totaled approximately $2.1 billion, or 30.7% of the approximately $6.8 billion General Fund budget.

Note that the proposed amendment would change the duties of the Controller’s Office, which has prepared this statement.

How "J" Got on the Ballot

On July 23, 2024, the Board of Supervisors voted 11 to 0 to place Proposition J on the ballot. The Supervisors voted as follows:

Yes: Chan, Dorsey, Engardio, Mandelman, Melgar, Peskin, Preston, Ronen, Safai, Stefani, Walton.

No: None.

The above statement is an impartial analysis of this measure. Arguments for and against this measure immediately follow. The full text can be found under Legal Text. Some of the words used in the ballot digest are explained in Words You Need to Know.

 

Arguments are the opinions of the authors and have not been checked for accuracy by any official agency. Arguments are printed as submitted. Spelling and grammatical errors have not been corrected.

VOTE YES ON PROP J TO SUPPORT BUDGET ACCOUNTABILITY FOR CHILDREN

Proposition J, the “Our Children, Our Families” measure ensures that the City and School District (SFUSD) plans, coordinates, and accounts for funding spent on children, youth and families to improve outcomes. While San Francisco has always prioritized our children, there is a need for better transparency and efficiency in the way we allocate our funding so we can address growing unmet needs and improve our outcomes.

Without raising taxes and by using the resources we already have, this measure will:

  • Coordinate and align City Departments and SFUSD to develop a unified Plan and Outcomes Framework to improve the outcomes for children and youth
  • Ensure budget accountability and efficiency to target programs that meet the most need and that are results-oriented and aligned to the unified Plan
  • Increase transparency so we know what we are spending on children and measure if it is effective

Prop J is about good governance. Prop J is about ensuring every dollar we spend on children is targeted to have the maximum results based on established outcomes.

Please join us in making sure we fulfill our commitment to the city's children and their futures! Vote Yes on Prop J!

Supervisor Myrna Melgar

Supervisor Hillary Ronen

Supervisor Shamann Walton

Supervisor Catherine Stefani

Supervisor Ahsha Safai

Supervisor Matt Dorsey

Supervisor Joel Engardio

Supervisor Dean Preston

Supervisor Rafael Mandelman

School Board Commissioner Jenny Lam

School Board Commissioner Alida Fisher

No Rebuttal to the Proponent's Argument In Favor of Proposition J Was Submitted

No Opponent’s Argument Against Proposition J Was Submitted

No Rebuttal to the Opponent's Argument Against Proposition J Was Submitted

No Paid Arguments In Favor of Proposition J Were Submitted

No Paid Arguments Against Proposition J Were Submitted