Proposition 28: How California Districts Can Use (and Not Lose) Arts Funding

A practical guide for superintendents, CBOs, principals, and arts leads with a clear explanation of the Prop 28 waiver.

California districts receive up to $1B annually from Prop 28, but compliance with the 80/20 rule can be tricky. This guide explains how to spend funds, request a waiver, and keep programs compliant.

Why this matters

California now invests roughly $900M–$1B every year in arts & music education via Prop 28. Yet many districts are still figuring out staffing, compliance, and reporting especially during a teacher shortage. Our goal at After School Music Academy (ASMA) is to help you turn those dollars into high‑quality, compliant programs students love. (California Department of Education)

What Prop 28 actually funds (quick refresher)

• Who gets funds? All TK–12 LEAs (districts, charters, county offices, state special schools); allocations are automatic. (California Department of Education)
• How much? State sets 1% of the K‑12 share of Prop 98 aside each year; in 2023–24 it was $938M (about $110.51 per pupil + $78.42 per FRPM‑eligible pupil). In 2024–25 it was $907M (about $107.09 + $73.83). (California Department of Education)
• Spend window: Each annual allocation is usable for up to three fiscal years. (California Department of Education)

The 80/20 rule (and what counts)

If your LEA enrolls 500+ students, at least 80% of expended Prop 28 funds must go to employing certificated or classified employees who provide arts instruction. Up to 20% may fund training, supplies/materials, and arts educational partnership programs (e.g., outside contractors/vendors). Admin/indirect is capped at 1%. (California Department of Education)

Important: Vendors/contractors are not LEA employees; by default, they fall in the 20% bucket, unless your LEA has an approved waiver (explained below). (California Department of Education)

The Prop 28 Waiver: What it is, when to use it, how to get it

What is the waiver?

Prop 28 normally requires that at least 80% of your spending go toward hiring arts teachers or other staff (with the remaining 20% for training, materials, or outside partners).

The waiver is special permission from the California Department of Education (CDE) to temporarily relax that rule. It’s designed for districts that can’t hit the 80% staffing requirement right now, for example, because of hiring shortages so they can still use the funding without losing it.

When to consider it

• You’ve been actively recruiting arts teachers but can’t fill enough positions.
• You’re in a gap period while new hires finish onboarding or credential requirements.
• You want to keep programs running by working with experienced outside partners while you build your own staff.

CDE’s FAQ confirms the 20% for partnerships and that a waiver may be granted for good cause; Create CA’s guidance and multiple county resources also describe the process. (California Department of Education, Createca, banning.k12.ca.us)

Many LEAs use the waiver to temporarily exceed the 20% on outside partnerships while they build staff capacity — still honoring the 1% admin cap and supplement‑not‑supplant rules. (California Department of Education)

How to request it

• Submit via the CDE Arts & Music in Schools (AMS) Portal (LEA superintendent access).
• Provide clear evidence of good‑faith recruitment and why flexibility is needed to serve students.
• Note: Guidance indicates waivers apply to an allocation year (you re‑evaluate annually). (California Department of Education, Calmusic Ed)

Where ASMA Can Help

At After School Music Academy, we don’t just deliver programs — we guide you through the process so you stay confident and compliant:

• Waiver prep: We help draft your good-cause narrative, gather recruitment evidence, and structure your waiver request.
• Transition planning: We design a staffing roadmap so your district can move from vendor-heavy to employee-heavy models over time.
• Board & community support: We provide talking points, templates, and summaries that make waiver approval and transparency straightforward.

Bottom line: You don’t have to navigate waivers alone — ASMA partners with you step-by-step so your district keeps arts programs moving forward without compliance stress.

Staying compliant if you use vendors (with or without a waiver)

• During the regular school day: instruction that counts toward ADA must be under the immediate supervision and control of a certificated LEA employee. Plan staffing accordingly (e.g., co‑teaching models, push‑ins). (California Department of Education)
• Reporting: Vendors count in the 20% category and are not reported as FTEs; if a waiver is granted, keep documentation for your annual audit. (California Department of Education)
• Admin cap & supplement‑not‑supplant still apply, waiver or not. (California Department of Education)

Shortage playbook: legal staffing pathways (CTC options)

While you recruit fully credentialed arts teachers, the Commission on Teacher Credentialing (CTC) lists lawful pathways to place educators in arts assignments:

• Short‑Term Staff Permit (STSP)
• Provisional Internship Permit (PIP)
• Intern Credential
• Variable Term Waiver

CTC also clarifies supervision expectations and when enrichment staff/classified employees may support instruction. Use these options to build toward the 80% staffing goal. (See CTC’s Prop 28 assignment page for details.) (California Training Consortium)

Accountability: plans, reporting, audits

• School‑site expenditure plans (board‑approved) are required.
• Annual certification + annual report (via AMS Portal) must be completed before your annual audit and posted publicly.
• Unspent funds after year 3 revert to CDE and get reallocated. (California Department of Education)

Guardrails That Keep You Safe (and How We Help)

Prop 28 is designed to add to your district’s arts programs, not replace what you already have. But with new money comes new rules, and leaders want to be sure funds are spent correctly and transparently. That’s where we come in.

How districts sometimes get tripped up

• Supplanting vs. supplementing: Replacing old arts budgets with Prop 28 dollars instead of adding to them.
• Shifting costs: Moving existing staff into Prop 28 without actually creating new opportunities for students.
• Documentation gaps: Not clearly showing what changed since 2022–23 (your baseline year).

How ASMA keeps you covered

• Baseline tracking: We help you document prior arts spending so your Prop 28 dollars clearly show expansion.
• Compliant program design: Every class we deliver is built to fit the 80/20/1 rules — and we can support waiver requests if needed.
• Transparent reporting: We create easy-to-understand summaries for boards, parents, and audits so everyone sees the impact.
• Community trust: By showing clear growth (new classes, staff, or minutes), your district can point to visible wins.

The result: Your students get more arts opportunities, your district stays fully compliant, and you build trust with your community.

How ASMA helps (with or without a waiver)

Turnkey planning & compliance

• Build or refine your site plans aligned to § 8820 and audit checklists. (California Department of Education)
• Set up staffing models that meet ADA supervision rules. (California Department of Education)

Waiver strategy (if needed)

• Document recruitment efforts and draft your good‑cause narrative.
• Design a transition plan from vendor‑heavy to employee‑heavy staffing over the spend window. (Findlaw)

High‑quality programming

• In‑school and after‑school music pathways (ensemble, production, electronic music) with standards‑aligned curriculum, assessments, and PD.

FAQ: Fast answers for busy leaders

Can we spend more than 20% on vendors?

Yes, but only if CDE grants your § 8820(h) waiver; otherwise vendors must fit within the default 20% bucket. Admin remains capped at 1%. (Findlaw, California Department of Education)

Can Prop 28 pay for after‑school music?

Yes. Just follow the statute, the 80/20/1 caps (or approved waiver), and supervision/reporting rules. (California Department of Education)

How long do we have to spend it?

Three fiscal years per allocation; unspent funds after that are returned and reallocated. (California Department of Education)

Ready to map your path?

Whether you’re hiring, applying for a waiver, or scaling partnerships, After School Music Academy can help you design, staff, and document a compliant program that students (and auditors) will applaud.