> Personally, I think all funding in California education (other than terminal levels like 4 year bachelors and up) should be a function of the percentage of students that succeed at the next step.

This has the unintended consequence of encouraging schools to eject students who are struggling. For example, if the student has a learning disability, declare that it's too serious for them to handle, and then transfer them to a school that theoretically can.

The system gets gamified and the "top" schools are just ones that reject, socioeconomically, every student who can't pay for tutoring or full-time care, which is a very technical form of "excellence".

The current situation, where students succeed regardless if they completely failed to learn and do zero work is also pretty bad

Public school districts cannot expel students in California.