There are significant signs of progress in California's schools, in spite of the tremendous challenges they face. Trends across multiple measures of student performance are fairly consistent: all students are doing better, or at least holding steady, during a time when the system is serving a larger and more diverse population of children. For example, test data indicates that the percentage of third graders who are proficient in math and reading has increased. Each sub-group of students shows improvement, but white and Asian students are still out-performing their African-American and Hispanic peers by wide margins that have remained relatively steady over time. A similar pattern holds across other grades and subjects. These improvements are a testament to the dedication of California educators. Public school teachers, principals and staff are under increasing pressure to produce measurable improvements in student outcomes, and they have responded to the challenge. Unfortunately, the achievements documented in this brief have happened in spite of many state policies, not because of them. For policymakers, the need for reform should be clear. How much better might schools have done, and how much more might they do in the future, if California's school finance and governance systems actually supported student performance and accountability? If individuals are going to ask their schools for continued improvements, they must also ensure that they have the resources and support that they need to do this vital work. (Contains 9 figures, 1 table, and 5 endnotes.)