Budget and Phase-In [CPPT, Section 7a]

The goal of this section is to offer a practical method to estimate the local cost of implementing a quality preschool program accessible to all on a “system-wide” basis, such as within a county, city, or school district(s).

The approach recommended here involves the use of a model originally developed by the Institute for Women’s Policy Research (IWPR) and Early Childhood Policy Research (ECPR) for states to estimate the cost of implementing universal preschool. The American Institutes for Research (AIR) adapted this model to the development of local cost estimates, as described in the First 5 California Preschool for All Toolkit and Developing a Local Preschool for All Plan located on the First 5 California website (see links under Resources).

Although the complete model is composed of two categories, direct service costs and infrastructure costs, this section focuses on the direct service costs likely to be encountered by preschool implementers locally. See Section 3 for how to estimate the cost of workforce development and Section 4 for how to assess the cost of facilities.

The model assumes that the majority of direct service costs related to program implementation will be upgrading the compensation of early education teachers as they obtain educational qualifications similar to those of elementary school teachers. Given current California policy as of the writing of this Toolkit, the goal of this section is to help counties budget for improved quality of preschool, moving towards universal access with an incremental approach. The approach is incremental in two ways: First, the increase in teacher qualifications and compensation is phased in, because existing teachers cannot be expected to obtain bachelor’s or associate’s degrees overnight. Second, the approach is incremental because access to new or upgraded preschool spaces takes place gradually, as resources are available to finance them.

Developing a plan for phasing in preschool is thus an important part of the planning process. Sample phase-in plans are included in this Toolkit that extend five, eight, and ten years, but individual localities may use the same approach to cover any time span. Since AB 172 will provide some funds for expanding preschool in attendance areas for low API schools (deciles 1-3), it is recommended that counties focus their plans on these areas first.

Before costs can be estimated and a phase-in plan developed, a Needs Assessment (see Section 2) must be completed. Data from the needs assessment will be used to determine the number of new and upgraded spaces needed, and the areas with low API schools and a relatively greater need for new spaces. This data, along with the estimated per child cost of new and upgraded spaces can be used to create a budget, and ultimately to determine the length of time necessary to phase in access to a quality preschool program for all four-year-olds (the same model could be used to develop a plan that included three-year-olds as well). An accurate budget and well-thought-out phase-in plan are critical to the success of a preschool initiative.

This document is part of the California Preschool Planning Toolkit.