Governor Gavin Newsom has signed a new law aiming to channel more state funds to arts teachers in local schools. However, this legislation does not resolve the ongoing lawsuit accusing the Los Angeles school district of misusing up to $77 million of such funding. Assembly Bill 2440 encourages schools to use arts funding available through Proposition 28, passed in November 2022.
Bill author Al Muratsuchi expressed the need for clear guidance to help school systems utilize these funds without the fear of financial penalties. Proposition 28 sets aside funds equivalent to 1% of the state’s base education budget, nearly $1 billion annually, earmarked for arts education.
The first round of funding, almost a billion dollars statewide, was distributed for the 2023-24 school year and continues annually. Yet, a significant amount remains unspent due to concerns over spending rule violations. Local officials fear having to repay funds, posing financial risks.
The bill gained support from arts organizations, educators, and the California Teachers Association. It faced no recorded opposition in legislative records during its passage. However, Austin Beutner, who authored Proposition 28, raised concerns that the bill might facilitate improper use of arts funding. He argued it could bypass commitments to ensure new arts funding benefits every school and provides extra support to low-income community campuses.
Beutner’s worries included the potential misuse of new arts funds as replacements for existing funding, which Proposition 28 aimed to prevent. Following these objections, Beutner rallied opposition, including figures like United Teachers Los Angeles and Nithya Raman, an L.A. mayoral candidate.
A compromise emerged with Beutner’s approval. The final version allows small schools or districts to share arts teachers while ensuring all students receive additional arts instruction. It also protects districts from financial penalties if arts funding decreases due to uncontrollable factors.
Meanwhile, a lawsuit filed in February 2025 by Beutner alleges L.A. Unified School District misused Proposition 28 funds. Beutner, who initiated Proposition 28 after his tenure as L.A. Unified’s superintendent, claims the district replaced existing arts funding with Proposition 28 funds. The lawsuit specifies 37 elementary schools with unchanged or reduced arts funding from 2022-23 to 2023-24.
In response to criticism, L.A. Unified reportedly added $30 million to its elementary arts budget for the 2024-25 school year. The district maintains compliance with state guidance, asserting its adherence to Proposition 28’s requirements.
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