CA schools grapple with transgender rights, AI and student data privacy

California’s K-12 schools are grappling with the latest US Supreme Court decision, a national contest on artificial intelligence and privacy breaches. Let’s get into it.

• LGBTQ Outreach Act Blocked: The Supreme Court temporarily blocked a California law that barred school districts from enacting rules requiring teachers to notify parents if their child is transgender. Parental rights advocates celebrated the decision, with lawyers for the Thomas More Society – the law firm that sued the state – calling the ruling a “landmark”. Meanwhile, advocates for transgender youth are vowing to press forward, and a spokesperson for California’s attorney general said the state is “committed to providing a safe, welcoming school environment for all students.” Read more by Carolyn Jones of CalMatters.

• I disputed: In August, President Donald Trump issued a nationwide challenge to students to develop an AI project that addresses a problem in their community. Winners will receive $10,000, and the call is part of the administration’s push to promote AI education. But with some California school districts moving quickly to encourage participation and others never having heard of the challenge, the uneven rollout of Trump’s directive underscores the widening disparities in AI education. Read more by Z. Waite for CalMatters.

• Student data collection: The California Privacy Protection Agency has fined a ticketing company $1.1 million for failing to provide students and families with a way to opt out of data collection. PlayOn has contracted with approximately 1,400 California schools to coordinate ticket sales for school sports games and plays. But to use it, users had to agree to the company’s privacy policy, which allows the sale of personal data, according to the agency. The agency says this is the first time it has prosecuted a company for student and school privacy violations. Read more by Adam Echelman of CalMatters.

In higher education news, Cal State University campuses are struggling with budget shortfalls and declining enrollment. But one university is trying to ease its financial woes promote programs that help increase enrollmentwrites Mikhail Zinstein of CalMatters.

California campuses receive their funding in part based on enrollment. At California State University Dominguez Hill in Los Angeles County, enrollment is down 20 percent in fall 2025 compared to fall 2020, and the university projects it will lose an additional $8 million this year.

To generate more funds, the school aims to attract and retain students through its First Year Experience program, in which freshmen can enroll in free college courses during the summer. By expanding efforts in its Once a Toro, Always a Toro program, the university also hopes to re-enroll students who have dropped out over the past 15 years.

Read more.

In some state policy news:

• Universal healthcare: This election season, Democratic gubernatorial candidates are pushing a familiar political issue: single-payer health care. Although a popular proposal among progressives, it faces major obstacles. In addition to the multibillion-dollar cost, creating a single-payer program in California would require federal approval, which the Trump administration would very likely reject. It would also likely require a huge increase in state taxes, although proponents argue that it would save California money in the long run. Read more by Jeanne Kuang of CalMatters.

• Lobby letters: A Democratic and Republican Assembly member has introduced a bill that would make “position letters” more accessible to Californians. Position letters are from lobbyists and advocacy groups and are sent to the legislature in support of or against a bill. Although they are technically public records, the process for requesting and accessing them is laborious. Over the past year, CalMatters has attempted to receive the letters as they are submitted through the Legislature’s online portal in an effort to add them to our own public Digital Democracy database. The Legislature rejected our request. Read more by Ryan Sabalow of CalMatters.

San Diego Assembly Member Carl DeMaio again upset his GOP colleagues by thwarting a party endorsement. Read more by Nadia Lathan of CalMatters.