In California, under the Prop 13 tax reform, property tax values were rolled back and frozen at the 1976 assessed value level and only allowed to raise at 2% pe

In California, under the Prop 13 tax reform, property tax values were rolled back and frozen at the 1976 assessed value level and only allowed to raise at 2% per year. Property values (and therefore property tax receipts) vary relatively modestly with the economic cycle, but income tax receipts are fully exposed to the booms and busts of the stock market. What this leads to is school funding that is somewhat directly tied to the financial markets :( So if you're in school during a recession, it sucks