Investing in 4-year-olds

WHILE ALL EYES are trained on the political theater surrounding the November special election, the real showstopper may come from an initiative on the ballot in June. It’s called the “Preschool for All Act,” championed by children’s advocate Rob Reiner. If passed, it will provide every 4-year-old in California with an opportunity for one year of preschool.

The Los Angeles Area Chamber of Commerce has taken the unusual step of endorsing the proposal. Some may be surprised by that, especially because the initiative is funded with a tax increase on the wealthiest 1% of Californians. However, although we normally oppose measures with tax increases, we do not do so monolithically. We examined the benefits, weighed the arguments and concluded that the Preschool for All Act is an important investment in California’s economic future.

The chamber’s top priority is keeping the Los Angeles economy competitive, both nationally and around the world. To do that, we need an education system that prepares our children to enter the workforce.

Right now, a little more than half of 4-year-olds in California attend preschool, and many of those who are enrolled aren’t getting the kind of quality program that would help them succeed later on. Not coincidentally, half of high school students in the Los Angeles Unified School District do not graduate on time. Preschool is the single best way to ensure that children enter school ready to succeed, which researchers have found translates into higher test scores and higher graduation rates.

For example, a study of 1,000 children who participated in the Chicago Child-Parent Center in the early 1980s found that at age 20, these children had a 29% higher graduation rate and were 40% less likely to be held back or to receive remedial education, compared with children in the area who had not attended preschool. If passed, this initiative would give California and L.A. a critical educational advantage in the global economy.

In addition, research has shown that preschool generates an excellent return on investment. A March 2005 study by the Rand Corp. found that California would receive $2.62 back for every dollar invested in quality preschool for all 4-year-olds -- savings generated from reduced spending for remedial education, reduced dropout rates and reduced crime. Simply put, children who go to preschool grow up to become more productive workers who earn better wages and contribute to a stronger economy.

This program would be funded by reinstating the top income tax bracket set by governors Pete Wilson and Ronald Reagan -- which means a 1.7% increase for couples earning more than $800,000 a year and individuals who earn more than $400,000. It makes no demands on the state’s general fund, and all proceeds go to the program. The rest of California’s families would benefit without having their taxes raised. The cost of a half-day, quality preschool program can rival one year at a public university -- an expense that many middle-class families can’t afford. Preschool for All keeps money in the pockets of the most active consumers, helping working families while stimulating our economy.

The bottom line is that preschool is a sound investment. And unlike countless past ballot measures, this one doesn’t give away the store to special interest groups or pour good money after bad into a broken bureaucracy. Instead, it preserves parent choice and increases accountability at every level.

We believe that preschool for all children will be the next milestone of progress in California’s history, and I’m proud that the chamber will be leading the way.