Educational Protection Account Funds
Proposition 30, The Schools and Local Public Safety Protection Act of 2012, approved by the voters on November 6, 2012, temporarily increases the state’s sales tax rate for all taxpayers and the personal income tax rates for upper-income taxpayers. The revenues generated by Proposition 30 were instrumental in avoiding further cuts to State Aid for K-14 public education but did not provide additional revenue for school districts.The revenues generated from Proposition 30 are deposited into a state account called the Education Protection Account (EPA). School districts, county offices of education, and charter schools (LEAs) will receive funds from the EPA based on their proportionate share of the statewide Local Control Funding Formula amount, which includes charter school general purpose funding. A corresponding reduction is made to an LEA’s revenue limit or charter school general purpose state aid equal to the amount of their EPA entitlement. Proposition 30 specifies that EPA funds may not be used for salaries and benefits of administrators or any other administrative costs.