Prop 98 establishes what in California school funding?

• A. A minimum funding guarantee for K-12 education.
• B. A cap on property taxes.
• C. A requirement for all districts to run a balanced budget.
• D. A federal grant program.

Answer: (A)

Prop 98 creates a minimum funding guarantee for K-12 education and California’s community colleges. It ensures there is a baseline level of state funding each year, tied to factors like inflation and enrollment, so districts can rely on a stable floor for budgeting even when economic conditions change. This makes the state commit to a floor above which other spending can be allocated, rather than placing a cap on taxes or forcing districts to balance budgets through some other mechanism. It’s not a federal grant program, and the idea of a capped property tax or a universal balanced-budget mandate is not what Prop 98 establishes.