Headlines  |  Bills  |  The Nooner  |  Code/Laws  |  ElectionTrack $$$   |  Elections  |  About   |  Contact Scott |  
OR: Create Account  Log In

Get Scott's free daily lunchtime California Capitol news update, THE NOONER:
   
(): (California Senate Bill)

help



join the cool folks
and advertise on aroundthecapitol.com


california legislation > ():
Warning! This is a not the current version of this legislative bill.
Italicized text includes proposed additions to law or the previous version of the bill.
Struck text includes proposed deletions to law or the previous version of the bill.

(pdf version)
PASSED THE SENATE MARCH 17, 2011
PASSED THE ASSEMBLY MARCH 17, 2011
AMENDED IN ASSEMBLY MARCH 17, 2011
AMENDED IN ASSEMBLY MARCH 16, 2011
AMENDED IN ASSEMBLY MARCH 14, 2011

INTRODUCED BY Committee on Budget and Fiscal Review

JANUARY 10, 2011

An act to amend Sections 1240.3, 2550, 2558.46, 8201, 8208,
8263.1, 8263.4, 8354, 8357, 8447, 8499, 14041.5, 14041.6, 17070.766,
17463.7, 17584.1, 17587, 17592.71, 33128.3, 41203.1, 42238.146,
42605, 42606, 45023.1, 45023.4, 46201.2, 52124.3, 60200.7, 69432.7,
69432.9, 69433.6, 76243, 76300, 84043, and 84321.6 of, to amend and
renumber Section 60422.1 of, to add Sections 8263.2, 14041.65,
41204.3, 69433.2, and 84321.7 to, and to repeal and add Section
41204.2 of, the Education Code, to amend Section 11323.2 of the
Welfare and Institutions Code, and to amend Items 6110-161-0001,
6110-485, and 6110-488 of Section 2.00 of the Budget Act of 2010
(Chapter 712 of the Statutes of 2010), relating to education finance,
making an appropriation therefor, to take effect immediately, bill
related to the budget.


LEGISLATIVE COUNSEL'S DIGEST


SB 70, Committee on Budget and Fiscal Review. Education finance:
Budget Act of 2011.
(1) Existing law requires the county superintendent of schools of
each county, among other specified duties, to make annual visits to
each school in his or her county to observe its operation and to
learn of its problems. Existing law requires that the priority
objective of those visits is the determination of whether each school
has sufficient textbooks, as defined. Existing law, until July 1,
2013, and for the 2008-09 to the 2012-13 fiscal years, inclusive,
describes what is meant by sufficient textbooks or instructional
materials for purposes of these visits by the county superintendent
of schools.
This bill would extend the operation of this provision by 2 fiscal
years, until July 1, 2015.
(2) Existing law requires the Superintendent of Public Instruction
to make specified computations to determine the amount to be
allocated for direct services and other purposes provided by county
superintendents of schools. Under this provision, in each of the
fiscal years from 2008-09 to 2012-13, inclusive, the units of average
daily attendance (ADA) are required to include the same amount of
ADA for classes for adults and regional occupational centers and
programs used in the calculation for the 2007-08 fiscal year.
This bill would extend this provision to apply to the 2013-14 and
2014-15 fiscal years.
(3) Existing law requires a revenue limit to be calculated for
each county superintendent of schools, adjusted for various factors,
and reduced, as specified. Existing law reduces the revenue limit for
each county superintendent of schools for the 2010-11 fiscal year by
a deficit factor of 18.250%.
This bill would set the deficit factor for each county
superintendent of schools for the 2011-12 and 2012-13 fiscal years at
19.892%.
(4) The Child Care and Development Services Act, administered by
the State Department of Education, provides that children who are 13
years of age or younger and their parents are eligible, with certain
requirements, for child care and development services.
This bill would instead provide that children who are 10 years of
age or younger, children with exceptional needs, children 12 years of
age or younger who are recipients of child protective services or at
risk of abuse, neglect, or exploitation, children 12 years of age or
younger who are provided services during nontraditional hours,
children 12 years of age or younger who are homeless, and children
who are 11 and 12 years of age, as funding permits, as specified, are
eligible, with certain requirements, for child care and development
services.
(5) Existing law provides that the preferred placement for a child
who is 11 or 12 years of age and is otherwise eligible for
subsidized child care services is in a before or after school
program. Existing law requires contractors to report annually to the
State Department of Education the amount of savings resulting from
these provisions, as specified.
This bill would instead provide that a child who is 11 or 12 years
of age and who is otherwise eligible for subsidized child care and
development services, except for his or her age, shall be given first
priority for enrollment, and in cases of programs operating at full
capacity, first priority on the waiting list for a before or after
school program, as specified, and would require contractors to
provide each family of an otherwise eligible 11 or 12 year old child
with information about the availability of before and after school
programs located in the family's community. This bill would remove
provisions requiring contractors to report savings to the department.

(6) Existing law provides that necessary supportive services shall
be available to every participant in the CalWORKs program, including
child care, as specified. Existing law provides that, to the extent
funds are available, paid child care shall be available to a
participant with a dependent child in the assistance unit who needs
paid child care if the child is 11 or 12 years of age.
This bill would remove the requirement that paid child care be
available to a participant for a child who is 11 or 12 years of age.
(7) Existing law provides for income eligibility standards for
families to receive child care and development services. Existing law
provides that "income eligible," for the purposes of the Child Care
and Development Services Act, means that a family's adjusted monthly
income is at or below 75% of the state median income, adjusted for
family size, and adjusted annually.
This bill instead would provide that "income eligible," for the
purposes of the Child Care and Development Services Act, means that a
family's adjusted monthly income is at or below 70% of the state
median income, adjusted for family size, and adjusted annually.
The bill would provide for the reduction of child care and
development services, and the disenrollment of specified families
from subsidized child care services, in accordance with prescribed
priorities.
(8) Existing law provides for 3 stages of child care for CalWORKs
recipients. Existing law provides that the 3rd stage of child care
begins when a funded child care space is available, and further
provides that CalWORKs recipients are eligible for this stage of
child care. Existing law also provides that persons who received a
lump-sum diversion payment or diversion services and former CalWORKs
participants are eligible if they have an income that does not exceed
75% of the state median income.
This bill instead would provide that persons who received a
lump-sum diversion payment or diversion services and former CalWORKs
participants are eligible if they have an income that does not exceed
70% of the state median income.
(9) Existing law requires the cost of state-funded child care
services to be governed by regional market rates and requires the
regional market rate ceilings to be established at the 85th
percentile of the 2005 regional market rate survey for that region.
Existing law prohibits reimbursement to license-exempt child care
providers from exceeding 80% of the family child care home rate
established pursuant to these provisions.
This bill would instead prohibit reimbursement to license-exempt
child care providers from exceeding 60% of the family child care home
rate, effective July 1, 2011.
The bill would adjust the family fee schedule that was in effect
for the 2007-08, 2008-09, 2009-10, and 2010-11 fiscal years to
reflect income eligibility limits specified in this bill for the
2011-12 fiscal year. The bill would require the adjusted fee schedule
to be submitted to the Department of Finance for referral in order
to be implemented by July 1, 2011.
(10) Existing law limits the amount of specified revenue limit
apportionments that counts towards the minimum funding obligation for
the following fiscal year to $1,601,655,000.
This bill would decrease that amount to $1,101,655,000.
(11) Existing law requires the Controller to draw warrants on the
State Treasury in each month of each year in specified amounts for
principal apportionments for purposes of funding school districts,
county superintendents of schools, and community college districts.
Existing law defers the drawing of those warrants, as specified.
This bill would defer additional specified amounts of the warrants
for school districts and county superintendents of schools from
April, May, and June to July, and from March and April to August. The
bill would make additional deferrals, from February to July, August,
and September, from April to September, and from May to September,
for the 2010-11 fiscal year only.
(12) The Leroy F. Greene School Facilities Act of 1998 requires
the State Allocation Board to require school districts applying for
funds under that act to deposit, into a specified account for ongoing
and major maintenance of school buildings, an amount equal to or
greater than 3% of the total general fund expenditures of the
applicant school district. Existing law, for the 2008-09 to the
2012-13 fiscal years, inclusive, reduces that deposit requirement to
an amount equal to 1% of the total general fund expenditures of the
applicant school district. Existing law exempts a school district
that maintains its facilities in good repair, as defined, from this
1% requirement.
This bill would extend the operation of this provision by 2 fiscal
years, through the 2014-15 fiscal year.
(13) Existing law, until January 1, 2012, authorizes a school
district to deposit the proceeds from the sale of surplus school
property, together with any personal property located on that
property, purchased entirely with local funds, into the general fund
of the school district and to use those proceeds for any one-time
general fund purpose.
This bill would extend the operation of this provision to January
1, 2014.
(14) Existing law, until July 1, 2013, renders inoperative a
requirement for the governing board of a school district to make a
report regarding proposals and plans for expenditure for the deferred
maintenance of school district facilities.
This bill would extend the operation of this provision to July 1,
2015.
(15) Existing law, to become operative on July 1, 2013, will
authorize the State Allocation Board to each year reserve an amount
not to exceed 10% of the funds transferred from any source to the
State School Deferred Maintenance Fund for apportionments to school
districts in instances of extreme hardship.
This bill would delay the operation of this provision until July
1, 2015.
(16) Existing law establishes the School Facilities Emergency
Repair Account in the State Treasury, and requires the State
Allocation Board to administer the account. Existing law establishes
the Proposition 98 Reversion Account in the General Fund, and
requires that the Legislature, from time to time, transfer into this
account moneys previously appropriated in satisfaction of the
constitutional minimum funding requirements that have not been
disbursed or otherwise encumbered for the purposes for which they
were appropriated. Existing law generally requires an amount,
equaling 50% of the unappropriated balance of the Proposition 98
Reversion Account or $100,000,000, whichever is greater, to be
transferred in the annual Budget Act from the Proposition 98
Reversion Account to the School Facilities Emergency Repair Account.
However, the amount to be transferred under this provision was set at
zero for the 2009-10 fiscal year.
This bill would also set at zero the amount to be transferred
under this provision from the Proposition 98 Reversion Account to the
School Facilities Emergency Repair Account for the 2010-11 and
2011-12 fiscal years.
(17) Existing law, for the 2009-10 fiscal year, sets the minimum
state requirement for a local educational agency's reserve for
economic uncertainties at 1/3 of the percentage for a reserve adopted
by the State Board of Education as of May 1, 2009, and requires a
school district to make progress in the 2010-11 fiscal year to
returning to compliance with the specified standards and criteria
adopted by the state board. Existing law restores this requirement,
for the 2011-12 fiscal year, to the percentage adopted by the state
board as of May 1, 2009.
This bill instead would provide that, for the 2010-11 and 2011-12
fiscal years, the minimum state requirement for a local educational
agency's reserve for economic uncertainties is 1/3 of the percentage
for a reserve adopted by the state board as of May 1, 2009, and
require a school district to make progress in the 2012-13 fiscal year
to returning to compliance with the specified standards and criteria
adopted by the state board. This bill would restore this
requirement, for the 2013-14 fiscal year, to the percentage adopted
by the state board as of May 1, 2009.
(18) Existing law requires, for the 1990-91 fiscal year and each
fiscal year thereafter, that moneys to be applied by the state for
the support of school districts, community college districts, and
direct elementary and secondary level instructional services provided
by the state be distributed in accordance with certain calculations
governing the proration of those moneys among the 3 segments of
public education. Existing law makes that provision inapplicable to
the fiscal years between 1992-93 and 2010-11, inclusive.
This bill would make that provision inapplicable to the 2011-12
fiscal year.
(18.5) Proposition 26, approved by the voters on November 2, 2010,
amended the California Constitution to, among other things, require
a 2/3 vote of both houses of the Legislature for any change in
statute that results in any taxpayer paying a higher tax. Proposition
26 also makes any tax adopted after January 1, 2010, but prior to
November 3, 2010, that was not adopted in compliance with the 2/3
vote requirement void on November 3, 2011, unless the tax is
reenacted by the Legislature with a 2/3 vote.
Existing law, as of July 1, 2010, eliminated the state sales and
use tax on motor vehicle fuel (gasoline) and increased the excise
tax. Existing law, as of July 1, 2011, increased the sales and use
tax on diesel and decreased the excise tax. Existing law requires the
State Board of Equalization to annually modify both the gasoline and
diesel excise tax rates on a going-forward basis so that the various
changes in the taxes imposed on gasoline and diesel, as described
above, are revenue neutral. Existing law contains other provisions
related to the implementation of these provisions.
This bill would repeal a provision, requiring the Director of
Finance to make a specified adjustment in the percentage of General
Fund revenues appropriated for school districts and community college
districts for purposes of the provisions of the California
Constitution requiring minimum funding for the public schools, that
is related to the implementation of these provisions. The bill would
enact a similar replacement provision, and state the intent of the
Legislature that these changes are made in order to comply with
Proposition 26.
(19) Existing law prescribes the percentage of General Fund
revenues appropriated for school districts and community college
districts for purposes of the provisions of the California
Constitution requiring minimum funding for the public schools.
This bill would require the Director of Finance to adjust that
percentage in a specified manner for purposes of the 2011-12 fiscal
year.
(20) Existing law requires the county superintendent of schools to
determine a revenue limit for each school district in the county and
requires the amount of the revenue limit to be adjusted for various
factors. Existing law reduces the revenue limit for each school
district for the 2010-11 fiscal year by a deficit factor of 17.963%.
This bill would maintain the deficit factor for each school
district for the 2011-12 fiscal year at 19.608%.
(21) Existing law establishes various categorical education
programs, and appropriates the funding for those programs in the
annual Budget Act. Existing law requires the Superintendent of Public
Instruction, for the 2008-09 to 2012-13 fiscal years, inclusive, to
apportion from the amount provided in the annual Budget Act for
specified categorical education programs an amount based on the same
relative proportion that the local educational agency received in the
2008-09 fiscal year for those programs, with certain exceptions.
Existing law authorizes school districts, for the 2008-09 to 2012-13
fiscal years, inclusive, to use the categorical education program
funds, with specified exceptions, for any educational purpose.
This bill would extend the operation of this provision for 2
additional fiscal years, thus extending it through the 2014-15 fiscal
year. By allowing funds appropriated for specified purposes to be
expended for any educational purpose for 2 additional fiscal years,
the bill would make an appropriation.
(22) Existing law requires the Superintendent of Public
Instruction to allocate, for the 2010-11 fiscal year, a supplemental
categorical block grant to a charter school that began operation in
the 2008-09, 2009-10, or 2010-11 fiscal year.
This bill would extend the operation of this provision to require
the Superintendent to make these allocations for the 2011-12 fiscal
year, and to include charter schools that began operation in the
2011-12 fiscal year.
(23) Existing law establishes the Jack O'Connell Beginning-Teacher
Salary Incentive Program, under which a county superintendent of
schools, or the county board of education, may increase the salary
for certain teachers on its adopted certificated employee salary
schedule, as specified. The provisions establishing the program
require certain calculations to be made with respect to the average
daily attendance (ADA) of the participating local educational
agencies, and more specifically require specified adjustments to be
made in the calculation of ADA attributable to regional occupational
centers and programs for the 2008-09 to the 2012-13 fiscal years,
inclusive.
This bill would extend the requirement for these adjustments to be
made to the 2013-14 and 2014-15 fiscal years.
(24) Existing law, commencing with the 2009-10 school year and
continuing through the 2012-13 school year, authorizes a school
district, county office of education, or charter school to reduce the
equivalent of up to 5 days of instruction or the equivalent number
of instructional minutes without incurring fiscal penalties.
This bill would extend the operation of this provision for 2
additional fiscal years, thus extending it through the 2014-15 school
year.
(25) Existing law establishes the Class Size Reduction Program,
under which a participating school district or county office of
education reduces class size to 20 pupils per class in kindergarten
and grades 1 to 3, inclusive. Existing law provides that, for the
2008-09, 2009-10, 2010-11, and 2011-12 fiscal years, a school
district that has received funding under the program but has not
implemented its class size reduction program for all classes and
grades for which it received funding under the program, an amount is
deducted from the next principal apportionment of state funds to that
district in accordance with a schedule.
This bill would extend the operation of this provision to the
2012-13 and 2013-14 fiscal years.
(26) Existing law prohibits the State Board of Education from
adopting instructional materials until the 2013-14 school year.
This bill would extend this prohibition through the 2015-16 school
year.
(27) Existing law, for the 2008-09 to the 2012-13 fiscal years,
inclusive, provides that the governing board of a school district is
not required to provide pupils with instructional materials by a
specified period of time following adoption of those materials by the
State Board of Education.
This bill would extend the operation of this provision by 2 fiscal
years, through the 2014-15 fiscal year.
(28) Under existing law, a community college or community college
district may not permit any person to access student records without
the written consent of the student or under judicial order for
access, with specified exceptions generally relating to education.
Existing law provides that a person, persons, agency, or organization
that is permitted access to student records is prohibited from
further disclosing the records without the written consent of the
student, as specified.
This bill would allow a person, persons, agency, or organization
that is permitted access to student records to disclose them pursuant
to the extent permitted under specified federal law and state law.
(29) Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal
Grant Program (Cal Grant Program), establishes the Cal Grant A and B
Entitlement Awards, the California Community College Transfer Cal
Grant Entitlement Awards, the Competitive Cal Grant A and B Awards,
the Cal Grant C Awards, and the Cal Grant T Awards under the
administration of the Student Aid Commission, and establishes
eligibility requirements for awards under these programs for
participating students attending qualifying institutions.
Existing law sets forth the maximum household income and asset
levels for participants in the various grant programs under the act.
These maximum levels are set forth as they were adopted by the
commission for the 2001-02 academic year, but have been annually
adjusted based on the percentage change in the cost of living as
defined in a specified provision of the California Constitution.
This bill would provide that the maximum household income and
asset levels applicable to a renewing applicant would be the greater
of the adjusted household income and asset levels or the maximum
household income and asset levels at the time of the renewing
recipient's initial Cal Grant award, as specified.
This bill would impose additional requirements, except as
specified, on qualifying institutions, requiring the commission to
certify by October 1 of each year the institution's latest 3-year
cohort default rate as most recently reported by the United States
Department of Education. The bill would provide that an otherwise
qualifying institution that did not meet a specified 3-year cohort
default rate would be ineligible for new Cal Grant awards at the
institution.
This bill would require the Legislative Analyst's Office to submit
a report to the Legislature by January 1, 2013, on the
implementation of the 3-year cohort default rate provisions of the
act, as specified.
The bill would specify that financial need, for the purposes of
the act, would be determined to establish both an applicant's initial
eligibility for a Cal Grant award and a renewing applicant's
continued eligibility using federal financial need methodology, as
prescribed.
The bill would also require participating institutions, beginning
in 2012, to annually report to the commission enrollment,
persistence, and graduation data, as well as job placement, salary,
and wage information for undergraduate programs, as specified.
(30) Existing law establishes community college districts under
the administration of community college governing boards, and
authorizes these districts to provide instruction at community
college campuses throughout the state. Existing law requires the
governing board of each community college district to charge each
student, with specified exceptions, a fee of $26 per unit per
semester, effective with the fall term of the 2009-10 academic year.
This bill would increase that fee to $36 per unit per semester,
effective with the fall term of the 2011-12 academic year.
(31) Existing law, for the 2009-10 to 2012-13 fiscal years,
inclusive, authorizes a community college district to use funds
apportioned to the district for specified categorical programs, for
purposes of a prescribed list of programs.
This bill would extend the operation of this provision for 2
additional fiscal years, through the 2014-15 fiscal year.
(32) Existing law requires the Board of Governors of the
California Community Colleges to adopt regulations for the payment of
apportionments to community college districts. Existing law,
notwithstanding the board of governors' authority in this respect,
makes various adjustments to the payment of these apportionments.
This bill would revise the manner in which these apportionments
are made according to specified criteria. The bill would appropriate
$961,000,000 from the General Fund to the Board of Governors of the
California Community Colleges for apportionments to community college
districts for expenditure during the 2012-13 fiscal year in
accordance with a specified schedule.
(33) Under existing law, the Controller is required to draw
warrants on the State Treasury in each month of each year in
specified amounts for purposes of funding school districts, county
superintendents of schools, and community college districts. Existing
law defers the drawing of those warrants, as specified.
This bill would, commencing with the 2011-12 fiscal year,
authorize the Controller to issue up to $13 million of warrants for a
community college district for the principal apportionments for the
month of June, that are instead to be drawn in July, subject to the
approval of the Director of Finance, as specified.
If the total amount requested by community college districts
exceeds $13 million, the Controller, the Treasurer, and the Director
of Finance may authorize additional payments, not to exceed $39
million. The determination whether there is sufficient cash available
to make these payments would be made no later than May 1, as
specified. In making this determination, the Controller, the
Treasurer, and the Director of Finance would be required to consider
costs for state government, the scope of any identified cash
shortage, timing, achievability, legislative direction, and impact
and hardship imposed on potential affected programs, as specified.
The Department of Finance would be required to notify the Joint
Legislative Budget Committee within 10 days of this determination and
identify the total amount of requests that will be paid.
The bill would provide that if the total amount of cash made
available is less than the amount requested, as specified, payments
to community college districts must be prioritized according to the
date the Office of the Chancellor of the California Community
Colleges and the Department of Finance were notified. Payments would
be required to be made no later than June 20.
This bill would specify that warrants drawn pursuant to this
authorization shall be deemed to be General Fund revenues
appropriated to school districts, as specified.
(34) The Budget Act of 2010 made numerous appropriations for the
support of public education in this state.
This bill would make adjustments in the schedules of 3 items of
the Budget Act of 2010 with respect to the funding of specified
programs.
(35) The Administrative Procedure Act, among other things, sets
forth procedures for the development, adoption, and promulgation of
regulations by administrative agencies charged with the
implementation of statutes.
This bill would authorize the State Department of Social Services
and the State Department of Education, notwithstanding the procedures
required by the Administrative Procedure Act, to implement the
provisions of the bill that relate to the Child Care and Development
Services Act through all-county letters, management bulletins, or
similar instructions.
(36) The bill would provide that the implementation of
the provisions of the bill related to the provision of child care
services would not be subject to the appeal and resolution procedures
for agencies that contract with the State Department of Education
for these purposes.
(37) This bill would reappropriate up to $60,000,000 in
unobligated balances appropriated in the Budget Act of 2009 to the
State Department of Education for CalWORKs Stage 3 child care
services for the period of April 1, 2011, to June 30, 2011,
inclusive. The bill would also require the State Department of
Education to use those funds for eligible families pursuant to a
specified provision as it read on January 1, 2011.
(38) This bill would appropriate $905,700,000 from the General
Fund to the State Department of Education for 10 specified programs
according to a specified schedule, and would require the department
to encumber these funds by July 31, 2012. The bill would provide
that, for purposes of satisfying the minimum annual funding
obligation for school districts required by the California
Constitution, the appropriated funds are General Fund revenues
appropriated for school districts and community college districts for
the 2012-13 fiscal year.
(39) Existing law creates the Charter School Revolving Loan Fund
in the State Treasury and authorizes the Superintendent of Public
Instruction to make loans from the fund to applicant charter schools
in accordance with specified criteria.
This bill would appropriate $5,000,000 from the General Fund to
augment the Charter School Revolving Loan Fund.
(40) This bill would set the cost-of-living adjustment for
specified items in the Budget Act of 2011 at 0% for the 2011-12
fiscal year, notwithstanding the cost-of-living adjustment specified
in existing statutes.
(41) This bill would require funds appropriated pursuant to
specified items in the Budget Act of 2011 to be encumbered by July
31, 2012.
(42) Existing law provides for collection and maintenance of
educational data. Existing law requires the State Department of
Education to contract for the development of the California
Longitudinal Pupil Achievement Data System (CALPADS), for the purpose
of providing for the retention and analysis of longitudinal pupil
achievement data on specified achievement tests.
This bill would appropriate $2,257,000 from the Federal Trust Fund
to the State Department of Education, in accordance with a specified
schedule, for purposes of the implementation and support of the
CALPADS.
The bill would require, as a condition of receiving funds to
administer CALPADS, the State Department of Education to ensure that
local educational agencies are provided with standardized templates
that include prepopulated data necessary to meet the requirements of
the School Accountability Report Card.
(43) Under existing law, the amount of revenue that a district may
collect annually for general purposes, called a revenue limit, is
calculated in accordance with various statutory formulas. A basic aid
school district is a school district where property tax revenues
exceed the revenue limit and the district consequently does not
receive a state apportionment.
This bill would express legislative intent that basic aid school
districts assume categorical funding reductions proportionate to the
revenue limit reductions implemented for nonbasic aid school
districts in the 2008-09 and 2009-10 fiscal years. The bill would
include calculations to implement these funding reductions.
(44) Existing law appropriates funding for class size reduction in
kindergarten and grades 1 to 3, inclusive, to be expended consistent
with the specified requirements.
This bill would reduce that appropriation in accordance with
specified requirements, and would identify funds that the State
Department of Education would be required to use if the funds
appropriated for this program are determined to be insufficient.
The bill would require the Superintendent of Public Instruction to
certify to the Controller the amounts needed for the 2011-12 fiscal
year to fund the class size reduction program and set forth a
schedule for the transfer of that funding. The bill would require the
Controller to transfer that funding from the General Fund to the
State School Fund, thereby making an appropriation.
The bill would require the Superintendent, before making each
certification, to notify the Department of Finance, the Legislative
Analyst, and the appropriate policy and fiscal committees of the
Legislature regarding the amounts the Superintendent intends to
certify and would require the notification to include the data used
in determining the amounts to be certified.
(45) Existing law establishes the University of California, which
is administered by the Regents of the University of California and
the California State University, which is administered by the
Trustees of the California State University.
This bill would require the Regents of the University of
California and the Trustees of the California State University, in
implementing reductions contained in the Budget Act of 2011, to
minimize fee and enrollment impacts on students by targeting actions
that lower the costs of instruction and administration. The bill
would require the regents and the trustees to submit recommended
budget options, with savings estimates for each identified solution,
to the Legislature, the Governor, and stakeholders for review and
comment by June 1, 2011, prior to adoption of a final plan. The bill
would state enrollment goals for the 2011-12 academic year and
require the regents and the trustees to report to the Legislature by
May 1, 2012, on whether the University of California and the
California State University have met their respective 2011-12
enrollment goals. If the goals are not met, the Director of Finance
would be directed to revert the total amount of enrollment funding
associated with the total share of the enrollment goal that was not
met to the General Fund by May 15, 2012. This bill would require the
regents and the trustees to submit a final detailed report to the
Governor, the Department of Finance, and the Legislature, as
specified, by September 1, 2012.
(46) This bill would make conforming changes, correct some
cross-references, and make other technical, nonsubstantive changes.
(47) The funds appropriated by this bill would be applied toward
the minimum funding requirements for school districts and community
college districts imposed by Section 8 of Article XVI of the
California Constitution.
(48) The California Constitution authorizes the Governor to
declare a fiscal emergency and to call the Legislature into special
session for that purpose. Governor Schwarzenegger issued a
proclamation declaring a fiscal emergency, and calling a special
session for this purpose, on December 6, 2010. Governor Brown issued
a proclamation on January 20, 2011, declaring and reaffirming that a
fiscal emergency exists and stating that his proclamation supersedes
the earlier proclamation for purposes of that constitutional
provision.
This bill would state that it addresses the fiscal emergency
declared and reaffirmed by the Governor by proclamation issued on
January 20, 2011, pursuant to the California Constitution.
(49) This bill would declare that it is to take immediate effect
as a bill providing for appropriations related to the Budget Bill.
Appropriation: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

SECTION 1. Section 1240.3 of the Education Code is amended to
read:
1240.3. (a) For the purposes of Section 1240, for the 2008-09 to
2014-15 fiscal years, inclusive, sufficient textbooks or
instructional materials include standards-aligned textbooks or
instructional materials, or both, that were adopted prior to July 1,
2008, by the state board or local educational agency pursuant to
statute, unless those local educational agencies purchased or
arranged to purchase textbooks or instructional materials adopted by
the state board after that date. It is the intent of the Legislature
that each local educational agency provide each pupil with
standards-aligned textbooks or instructional materials from the same
adoption, consistent with Sections 60119 and 60422. This section does
not require a local educational agency to purchase all of the
instructional materials included in an adoption if the materials that
are purchased are made available to all the pupils for whom they are
intended in all of the schools within the local educational agency.
(b) Notwithstanding Section 1240 or any other law, for the 2008-09
to 2014-15 fiscal years, inclusive, a county superintendent of
schools, in making visits to schools as specified in Section 1240,
shall determine the status of sufficient textbooks as defined in
subdivision (a).
(c) This section shall become inoperative on July 1, 2015, and, as
of January 1, 2016, is repealed, unless a later enacted statute that
is enacted before January 1, 2016, deletes or extends the dates on
which it becomes inoperative and is repealed.
SEC. 2. Section 2550 of the Education Code is amended to read:
2550. For each fiscal year, the Superintendent shall make the
following computations to determine the amount to be allocated for
direct services and other purposes provided by county superintendents
of schools:
(a) For programs operated pursuant to subdivision (a) of Section
14054, the Superintendent shall:
(1) Determine the allowances that county superintendents received
per unit of average daily attendance in the prior fiscal year. The
Superintendent shall increase each amount by a percentage equal to
the inflation allowance calculated for the current fiscal year
pursuant to Section 2557.
(2) Multiply each amount determined in paragraph (1) by the actual
number of units of average daily attendance in the prior fiscal year
for programs maintained by each county superintendent. For purposes
of this paragraph, the number of units of average daily attendance
shall include only units generated by elementary districts with less
than 901 units of average daily attendance, high school districts
with less than 301 units of average daily attendance, and unified
school districts with less than 1,501 units of average daily
attendance within each county superintendent's jurisdiction.
(b) For programs operated pursuant to subdivision (b) of Section
14054, the Superintendent shall:
(1) (A) For the 1999-2000 fiscal year, determine the rate per unit
of average daily attendance calculated for each county office of
education pursuant to subdivision (b) of Section 2567 and increase
each rate by a percentage equal to the inflation allowance calculated
in Section 2557.
(B) For the 2000-01 fiscal year, determine the rate per unit of
average daily attendance calculated for each county office of
education pursuant to subdivision (b) of Section 2568 and increase
each rate by a percentage equal to the inflation allowance calculated
in Section 2557.
(C) For the 2001-02 fiscal year and each fiscal year thereafter,
determine the allowances that county superintendents received per
unit of average daily attendance in the prior fiscal year. The
Superintendent shall increase each amount by a percentage equal to
the inflation allowance calculated for the current fiscal year
pursuant to Section 2557.
(2) (A) Multiply each amount determined in paragraph (1) by the
units of average daily attendance in the current fiscal year for
programs for kindergarten and grades 1 to 12, inclusive, maintained
by each county superintendent. For the purposes of this paragraph,
average daily attendance shall include only the total units of
average daily attendance credited to all elementary, high school, and
unified school districts within each county superintendent's
jurisdiction and to the county superintendent.
(B) For purposes of this paragraph, in each of the 2008-09,
2009-10, 2010-11, 2011-12, 2012-13, 2013-14, and 2014-15 fiscal
years, the units of average daily attendance in each of those fiscal
years for programs for kindergarten and grades 1 to 12, inclusive,
maintained by each county superintendent shall include the same
amount of average daily attendance for classes for adults and
regional occupational centers and programs used in the calculation
pursuant to this subdivision for the 2007-08 fiscal year.
SEC. 3. Section 2558.46 of the Education Code is amended to read:
2558.46. (a) (1) For the 2003-04 fiscal year, the revenue limit
for each county superintendent of schools determined pursuant to this
article shall be reduced by a 1.195 percent deficit factor.
(2) For the 2004-05 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced by a 0.323 percent deficit factor.
(3) For the 2003-04 and 2004-05 fiscal years, the revenue limit
for each county superintendent of schools determined pursuant to this
article shall be reduced further by a 1.826 percent deficit factor.
(4) For the 2005-06 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced further by a 0.898 percent deficit factor.
(5) For the 2008-09 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced by a 7.839 percent deficit factor.
(6) For the 2009-10 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced by an 18.621 percent deficit factor.
(7) For the 2010-11 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced by an 18.250 percent deficit factor.
(8) For the 2011-12 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced by a 19.892 percent deficit factor.
(b) In computing the revenue limit for each county superintendent
of schools for the 2006-07 fiscal year pursuant to this article, the
revenue limit shall be determined as if the revenue limit for that
county superintendent of schools had been determined for the 2003-04,
2004-05, and 2005-06 fiscal years without being reduced by the
deficit factors specified in subdivision (a).
(c) In computing the revenue limit for each county superintendent
of schools for the 2010-11 fiscal year pursuant to this article, the
revenue limit shall be determined as if the revenue limit for that
county superintendent of schools had been determined for the 2009-10
fiscal year without being reduced by the deficit factors specified in
subdivision (a).
(d) In computing the revenue limit for each county superintendent
of schools for the 2011-12 fiscal year pursuant to this article, the
revenue limit shall be determined as if the revenue limit for that
county superintendent of schools had been determined for the 2010-11
fiscal year without being reduced by the deficit factors specified in
subdivision (a).
(e) In computing the revenue limit for each county superintendent
of schools for the 2012-13 fiscal year pursuant to this article, the
revenue limit shall be determined as if the revenue limit for that
county superintendent of schools had been determined for the 2011-12
fiscal year without being reduced by the deficit factor specified in
subdivision (a).
SEC. 4. Section 8201 of the Education Code is amended to read:
8201. The purpose of this chapter is as follows:
(a) To provide a comprehensive, coordinated, and cost-effective
system of child care and development services for children who are 10
years of age or younger, for children with exceptional needs as
defined in subdivision (l) of Section 8208, for children 12 years of
age or younger who are recipients of child protective services or at
risk of abuse, neglect, or exploitation as described in subparagraph
(D) of paragraph (1) of subdivision (a) of Section 8263 and as
defined in subdivision (k) of Section 8208, for children 12 years of
age or younger who are provided services during nontraditional hours
as defined in subdivision (a l ) of Section 8208, for
children 12 years of age or younger who are homeless as described in
subparagraph (C) of paragraph (1) of subdivision (a) of Section 8263,
and for children who are 11 and 12 years of age, as funding permits,
pursuant to subdivision (h) of Section 8447, including a full range
of supervision, health, and support services through full- and
part-time programs.
(b) To encourage community-level coordination in support of child
care and development services.
(c) To provide an environment that is healthy and nurturing for
all children in child care and development programs.
(d) To provide the opportunity for positive parenting to take
place through understanding of human growth and development.
(e) To reduce strain between parent and child in order to prevent
abuse, neglect, or exploitation.
(f) To enhance the cognitive development of children, with
particular emphasis upon those children who require special
assistance, including bilingual capabilities to attain their full
potential.
(g) To establish a framework for the expansion of child care and
development services.
(h) To empower and encourage parents and families of children who
require child care services to take responsibility to review the
safety of the child care program or facility and to evaluate the
ability of the program or facility to meet the needs of the child.
SEC. 5. Section 8208 of the Education Code is amended to read:
8208. As used in this chapter:
(a) "Alternative payments" includes payments that are made by one
child care agency to another agency or child care provider for the
provision of child care and development services, and payments that
are made by an agency to a parent for the parent's purchase of child
care and development services.
(b) "Alternative payment program" means a local government agency
or nonprofit organization that has contracted with the department
pursuant to Section 8220.1 to provide alternative payments and to
provide support services to parents and providers.
(c) "Applicant or contracting agency" means a school district,
community college district, college or university, county
superintendent of schools, county, city, public agency, private
nontax-exempt agency, private tax-exempt agency, or other entity that
is authorized to establish, maintain, or operate services pursuant
to this chapter. Private agencies and parent cooperatives, duly
licensed by law, shall receive the same consideration as any other
authorized entity with no loss of parental decisionmaking
prerogatives as consistent with the provisions of this chapter.
(d) "Assigned reimbursement rate" is that rate established by the
contract with the agency and is derived by dividing the total dollar
amount of the contract by the minimum child day of average daily
enrollment level of service required.
(e) "Attendance" means the number of children present at a child
care and development facility. "Attendance," for the purposes of
reimbursement, includes excused absences by children because of
illness, quarantine, illness or quarantine of their parent, family
emergency, or to spend time with a parent or other relative as
required by a court of law or that is clearly in the best interest of
the child.
(f) "Capital outlay" means the amount paid for the renovation and
repair of child care and development facilities to comply with state
and local health and safety standards, and the amount paid for the
state purchase of relocatable child care and development facilities
for lease to qualifying contracting agencies.
(g) "Caregiver" means a person who provides direct care,
supervision, and guidance to children in a child care and development
facility.
(h) "Child care and development facility" means any residence or
building or part thereof in which child care and development services
are provided.
(i) "Child care and development programs" means those programs
that offer a full range of services for children who are 10 years of
age or younger, for children with exceptional needs as defined in
subdivision (l), for children 12 years of age or younger who are
recipients of child protective services or at risk of abuse, neglect,
or exploitation as described in subparagraph (D) of paragraph (1) of
subdivision (a) of Section 8263 and as defined in subdivision (k),
for children 12 years of age or younger who are provided services
during nontraditional hours as defined in subdivision (a l
), for children 12 years of age or younger who are homeless as
described in subparagraph (C) of paragraph (1) of subdivision (a) of
Section 8263, and for children who are 11 and 12 years of age, as
funding permits, pursuant to subdivision (h) of Section 8447, for any
part of a day, by a public or private agency, in centers and family
child care homes. These programs include, but are not limited to, all
of the following:
(1) General child care and development.
(2) Migrant child care and development.
(3) Child care provided by the California School Age Families
Education Program (Article 7.1 (commencing with Section 54740) of
Chapter 9 of Part 29 of Division 4 of Title 2).
(4) California state preschool program.
(5) Resource and referral.
(6) Child care and development services for children with
exceptional needs.
(7) Family child care home education network.
(8) Alternative payment.
(9) Schoolage community child care.
(j) "Child care and development services" means those services
designed to meet a wide variety of needs of children and their
families, while their parents or guardians are working, in training,
seeking employment, incapacitated, or in need of respite. These
services may include direct care and supervision, instructional
activities, resource and referral programs, and alternative payment
arrangements.
(k) "Children at risk of abuse, neglect, or exploitation" means
children who are so identified in a written referral from a legal,
medical, or social service agency, or emergency shelter.
( l ) "Children with exceptional needs" means either of
the following:
(1) Infants and toddlers under three years of age who have been
determined to be eligible for early intervention services pursuant to
the California Early Intervention Services Act (Title 14 (commencing
with Section 95000) of the Government Code) and its implementing
regulations. These children include an infant or toddler with a
developmental delay or established risk condition, or who is at high
risk of having a substantial developmental disability, as defined in
subdivision (a) of Section 95014 of the Government Code. These
children shall have active individualized family service plans, shall
be receiving early intervention services, and shall be children who
require the special attention of adults in a child care setting.
(2) Children ages 3 to 21 years, inclusive, who have been
determined to be eligible for special education and related services
by an individualized education program team according to the special
education requirements contained in Part 30 (commencing with Section
56000) of Division 4 of Title 2, and who meet eligibility criteria
described in Section 56026 and, Article 2.5 (commencing with Section
56333) of Chapter 4 of Part 30 of Division 4 of Title 2, and Sections
3030 and 3031 of Title 5 of the California Code of Regulations.
These children shall have an active individualized education program,
shall be receiving early intervention services or appropriate
special education and related services, and shall be children who
require the special attention of adults in a child care setting.
These children include children with mental retardation, hearing
impairments (including deafness), speech or language impairments,
visual impairments (including blindness), serious emotional
disturbance (also referred to as emotional disturbance), orthopedic
impairments, autism, traumatic brain injury, other health
impairments, or specific learning disabilities, who need special
education and related services consistent with Section 1401(3)(A) of
Title 20 of the United States Code.
(m) "Closedown costs" means reimbursements for all approved
activities associated with the closing of operations at the end of
each growing season for migrant child development programs only.
(n) "Cost" includes, but is not limited to, expenditures that are
related to the operation of child care and development programs.
"Cost" may include a reasonable amount for state and local
contributions to employee benefits, including approved retirement
programs, agency administration, and any other reasonable program
operational costs. "Cost" may also include amounts for licensable
facilities in the community served by the program, including lease
payments or depreciation, downpayments, and payments of principal and
interest on loans incurred to acquire, rehabilitate, or construct
licensable facilities, but these costs shall not exceed fair market
rents existing in the community in which the facility is located.
"Reasonable and necessary costs" are costs that, in nature and
amount, do not exceed what an ordinary prudent person would incur in
the conduct of a competitive business.
(o) "Elementary school," as contained in former Section 425 of
Title 20 of the United States Code (the National Defense Education
Act of 1958, Public Law 85-864, as amended), includes early childhood
education programs and all child development programs, for the
purpose of the cancellation provisions of loans to students in
institutions of higher learning.
(p) "Family child care home education network" means an entity
organized under law that contracts with the department pursuant to
Section 8245 to make payments to licensed family child care home
providers and to provide educational and support services to those
providers and to children and families eligible for state-subsidized
child care and development services. A family child care home
education network may also be referred to as a family child care home
system.
(q) "Health services" include, but are not limited to, all of the
following:
(1) Referral, whenever possible, to appropriate health care
providers able to provide continuity of medical care.
(2) Health screening and health treatment, including a full range
of immunization recorded on the appropriate state immunization form
to the extent provided by the Medi-Cal Act (Chapter 7 (commencing
with Section 14000) of Part 3 of Division 9 of the Welfare and
Institutions Code) and the Child Health and Disability Prevention
Program (Article 6 (commencing with Section 124025) of Chapter 3 of
Part 2 of Division 106 of the Health and Safety Code), but only to
the extent that ongoing care cannot be obtained utilizing community
resources.
(3) Health education and training for children, parents, staff,
and providers.
(4) Followup treatment through referral to appropriate health care
agencies or individual health care professionals.
(r) "Higher educational institutions" means the Regents of the
University of California, the Trustees of the California State
University, the Board of Governors of the California Community
Colleges, and the governing bodies of any accredited private
nonprofit institution of postsecondary education.
(s) "Intergenerational staff" means persons of various
generations.
(t) "Limited-English-speaking-proficient and
non-English-speaking-proficient children" means children who are
unable to benefit fully from an English-only child care and
development program as a result of either of the following:
(1) Having used a language other than English when they first
began to speak.
(2) Having a language other than English predominantly or
exclusively spoken at home.
(u) "Parent" means a biological parent, stepparent, adoptive
parent, foster parent, caretaker relative, or any other adult living
with a child who has responsibility for the care and welfare of the
child.
(v) "Program director" means a person who, pursuant to Sections
8244 and 8360.1, is qualified to serve as a program director.
(w) "Proprietary child care agency" means an organization or
facility providing child care, which is operated for profit.
(x) "Resource and referral programs" means programs that provide
information to parents, including referrals and coordination of
community resources for parents and public or private providers of
care. Services frequently include, but are not limited to: technical
assistance for providers, toy-lending libraries, equipment-lending
libraries, toy- and equipment-lending libraries, staff development
programs, health and nutrition education, and referrals to social
services.
(y) "Severely disabled children" are children with exceptional
needs from birth to 21 years of age, inclusive, who require intensive
instruction and training in programs serving pupils with the
following profound disabilities: autism, blindness, deafness, severe
orthopedic impairments, serious emotional disturbances, or severe
mental retardation. "Severely disabled children" also include those
individuals who would have been eligible for enrollment in a
developmental center for handicapped pupils under Chapter 6
(commencing with Section 56800) of Part 30 of Division 4 of Title 2
as it read on January 1, 1980.
(z) "Short-term respite child care" means child care service to
assist families whose children have been identified through written
referral from a legal, medical, or social service agency, or
emergency shelter as being neglected, abused, exploited, or homeless,
or at risk of being neglected, abused, exploited, or homeless. Child
care is provided for less than 24 hours per day in child care
centers, treatment centers for abusive parents, family child care
homes, or in the child's own home.
(aa) (1) "Site supervisor" means a person who, regardless of his
or her title, has operational program responsibility for a child care
and development program at a single site. A site supervisor shall
hold a permit issued by the Commission on Teacher Credentialing that
authorizes supervision of a child care and development program
operating in a single site. The Superintendent may waive the
requirements of this subdivision if the Superintendent determines
that the existence of compelling need is appropriately documented.
(2) For California state preschool programs, a site supervisor may
qualify under any of the provisions in this subdivision, or may
qualify by holding an administrative credential or an administrative
services credential. A person who meets the qualifications of a
program director under both Sections 8244 and 8360.1 is also
qualified under this subdivision.
(ab) "Standard reimbursement rate" means that rate established by
the Superintendent pursuant to Section 8265.
(ac) "Startup costs" means those expenses an agency incurs in the
process of opening a new or additional facility prior to the full
enrollment of children.
(ad) "California state preschool program" means part-day and
full-day educational programs for low-income or otherwise
disadvantaged three- and four-year-old children.
(ae) "Support services" means those services that, when combined
with child care and development services, help promote the healthy
physical, mental, social, and emotional growth of children. Support
services include, but are not limited to: protective services, parent
training, provider and staff training, transportation, parent and
child counseling, child development resource and referral services,
and child placement counseling.
(af) "Teacher" means a person with the appropriate permit issued
by the Commission on Teacher Credentialing who provides program
supervision and instruction that includes supervision of a number of
aides, volunteers, and groups of children.
(ag) "Underserved area" means a county or subcounty area,
including, but not limited to, school districts, census tracts, or
ZIP Code areas, where the ratio of publicly subsidized child care and
development program services to the need for these services is low,
as determined by the Superintendent.
(ah) "Workday" means the time that the parent requires temporary
care for a child for any of the following reasons:
(1) To undertake training in preparation for a job.
(2) To undertake or retain a job.
(3) To undertake other activities that are essential to
maintaining or improving the social and economic function of the
family, are beneficial to the community, or are required because of
health problems in the family.
(ai) "Three-year-old children" means children who will have their
third birthday on or before December 2 of the fiscal year in which
they are enrolled in a California state preschool program.
(aj) "Four-year-old children" means children who will have their
fourth birthday on or before December 2 of the fiscal year in which
they are enrolled in a California state preschool program.
(ak) "Local educational agency" means a school district, a county
office of education, a community college district, or a school
district on behalf of one or more schools within the school district.

(a l ) "Nontraditional hours" means that the parent or
legal guardian has a certified need for child care that includes
hours during the period from 6:00 p.m. to 6:00 a.m. on any day of the
week or during any period between 6:00 a.m. Saturday to 6:00 a.m.
Monday.
SEC. 6. Section 8263.1 of the Education Code is amended to read:
8263.1. (a) For purposes of this chapter, "income eligible" means
that a family's adjusted monthly income is at or below 70 percent of
the state median income, adjusted for family size, and adjusted
annually.
(b) Notwithstanding any other law, for the 2011-12 fiscal year,
the income eligibility limits that were in effect for the 2007-08
fiscal year shall be reduced to 70 percent of the state median income
that was in use for the 2007-08 fiscal year, adjusted for family
size, effective July 1, 2011.
(c) The income of a recipient of federal supplemental
security income benefits pursuant to Title XVI of the federal Social
Security Act (42 U.S.C. Sec. 1381 et seq.) and state supplemental
program benefits pursuant to Title XVI of the federal Social Security
Act and Chapter 3 (commencing with Section 12000) of Part 3 of
Division 9 of the Welfare and Institutions Code shall not be included
as income for the purposes of determining eligibility for child care
under this chapter.
SEC. 7. Section 8263.2 is added to the Education Code, to read:
8263.2. (a) Notwithstanding any other provision of law, effective
July 1, 2011, the department shall reduce the maximum reimbursable
amounts of the contracts for the Preschool Education Program, the
General Child Care Program, the Migrant Day Care Program, the
Alternative Payment Program, the CalWORKs Stage 3 Program, and the
Allowance for Handicapped Program by 15 percent. The department may
consider the contractor's performance or whether the contractor
serves children in underserved areas as defined in subdivision (ag)
of Section 8208 when determining contract reductions, provided that
the aggregate reduction to each program specified in this subdivision
is 15 percent.
(b) Notwithstanding any other provision of law, effective July 1,
2011, families shall be disenrolled from subsidized child care
services, consistent with the priorities for services specified in
subdivision (b) of Section 8263. Families shall be disenrolled in the
following order:
(1) Families whose income exceeds 70 percent of the state median
income (SMI) adjusted for family size, except for families whose
children are receiving child protective services or are at risk of
being neglected or abused.
(2) Families with the highest income below 70 percent of the SMI,
in relation to family size.
(3) Families that have the same income and have been enrolled in
child care services the longest.
(4) Families that have the same income and have a child with
exceptional needs.
(5) Families whose children are receiving child protective
services or are at risk of being neglected or abused, regardless of
family income.
SEC. 8. Section 8263.4 of the Education Code is amended to read:
8263.4. (a) Beginning on July 1, 2011, a child who is 11 or 12
years of age and who is otherwise eligible for subsidized child care
and development services except for his or her age, as specified in
subdivision (a) of Section 8201 and subdivision (i) of Section 8208,
shall be given first priority for enrollment, and in cases of
programs operating at full capacity, first priority on the waiting
list for a before or after school program established pursuant to
Article 22.5 (commencing with Section 8482) or Article 22.6
(commencing with Section 8484.7). Contractors shall provide each
family of an otherwise eligible 11 or 12 year old with information
about the availability of before and after school programs located in
the family's community.
(b) A program with available capacity may enroll a child who is 11
or 12 years of age pursuant to subdivision (a) and resides outside
the attendance area of the school, but within the territorial
jurisdiction of the same local educational agency. A program is not
responsible for providing transportation for children enrolled in the
program who resides outside the attendance area of the school.
(c) This section does not apply to an 11 or 12 year old child who
is a recipient of child protective services or at risk of abuse,
neglect, or exploitation as described in subparagraph (D) of
paragraph (1) of subdivision (a) of Section 8263 and as defined in
subdivision (k) of Section 8208, a child 12 years of age or younger
who is provided services during nontraditional hours as defined in
subdivision (a l ) of Section 8208, children 12 years of
age or younger who are homeless as described in subparagraph (C) of
paragraph (1) of subdivision (a) of Section 8263, or an 11 or 12 year
old child with a disability, including a child with exceptional
needs who has an individualized education program as required by the
federal Individuals with Disabilities Education Act (20 U.S.C. Sec.
1400 et seq.), Section 504 of the federal Rehabilitation Act of 1973
(29 U.S.C. Sec. 794), or Part 30 (commencing with Section 56000) of
Division 4 of Title 2.
SEC. 9. Section 8354 of the Education Code is amended to read:
8354. (a) The third stage of child care begins when a funded
space is available. CalWORKs recipients are eligible for the third
stage of child care. Persons who received a lump-sum diversion
payment or diversion services and former CalWORKs participants are
eligible if they have an income that does not exceed 70 percent of
the state median income pursuant to Section 8263.1. The third stage
shall be administered by programs contracting with the State
Department of Education. Parents' eligibility for child care and
development services will be governed by Section 8263 and regulations
adopted by the State Department of Education.
(b) In order to move welfare recipients and former recipients from
their relationship with county welfare departments to relationships
with institutions providing services to working families, it is the
intent of the Legislature that families that are former recipients of
aid, or are transitioning off aid, receive their child care
assistance in the same fashion as other low-income working families.
Therefore, it is the intent of the Legislature that families no
longer rely on county welfare departments to obtain child care
subsidies beyond the time they are receiving other services from the
welfare department.
(c) A county welfare department shall not administer the third
stage of child care for CalWORKs recipients except to the extent to
which it delivered those services to families receiving, or within
one year of having received, Aid to Families with Dependent Children
prior to the enactment of this section.
(d) This article does not preclude county welfare departments from
operating an alternative payment program under contract with the
State Department of Education to serve families referred by child
protective services.
SEC. 10. Section 8357 of the Education Code is amended to read:
8357. (a) The cost of child care services provided under this
article shall be governed by regional market rates. Recipients of
child care services provided pursuant to this article shall be
allowed to choose the child care services of licensed child care
providers or child care providers who are, by law, not required to be
licensed, and the cost of that child care shall be reimbursed by
counties or agencies that contract with the State Department of
Education if the cost is within the regional market rate. For
purposes of this section, "regional market rate" means care costing
no more than 1.5 market standard deviations above the mean cost of
care for that region. The regional market rate ceilings shall be
established at the 85th percentile of the 2005 regional market rate
survey for that region.
(b) Reimbursement to license-exempt child care providers shall not
exceed 60 percent of the family child care home rate established
pursuant to subdivision (a), effective July 1, 2011.
(c) Reimbursement to child care providers shall not exceed the fee
charged to private clients for the same service.
(d) Reimbursement shall not be made for child care services when
care is provided by parents, legal guardians, or members of the
assistance unit.
(e) A child care provider located on an Indian reservation or
rancheria and exempted from state licensing requirements shall meet
applicable tribal standards.
(f) For purposes of this section, "reimbursement" means a direct
payment to the provider of child care services, including
license-exempt providers. If care is provided in the home of the
recipient, payment may be made to the parent as the employer, and the
parent shall be informed of his or her concomitant legal and
financial reporting requirements. To allow time for the development
of the administrative systems necessary to issue direct payments to
providers, for a period not to exceed six months from the effective
date of this article, a county or an alternative payment agency
contracting with the State Department of Education may reimburse the
cost of child care services through a direct payment to a recipient
of aid rather than to the child care provider.
(g) Counties and alternative payment programs shall not be bound
by the rate limits described in subdivision (a) when there are, in
the region, no more than two child care providers of the type needed
by the recipient of child care services provided under this article.
(h) Notwithstanding any other provision of law, reimbursements to
child care providers based upon a daily rate may only be authorized
under either of the following circumstances:
(1) A family has an unscheduled but documented need of six hours
or more per occurrence, such as the parent's need to work on a
regularly scheduled day off, that exceeds the certified need for
child care.
(2) A family has a documented need of six hours or more per day
that exceeds no more than 14 days per month. In no event shall
reimbursements to a provider based on the daily rate over one month's
time exceed the provider's equivalent full-time monthly rate or
applicable monthly ceiling.
(3) This subdivision shall not limit providers from being
reimbursed for services using a weekly or monthly rate, pursuant to
subdivision (c) of Section 8222.
SEC. 11. Section 8447 of the Education Code is amended to read:
8447. (a) The Legislature hereby finds and declares that greater
efficiencies may be achieved in the execution of state subsidized
child care and development program contracts with public and private
agencies by the timely approval of contract provisions by the
Department of Finance, the Department of General Services, and the
State Department of Education and by authorizing the State Department
of Education to establish a multiyear application, contract
expenditure, and service review as may be necessary to provide timely
service while preserving audit and oversight functions to protect
the public welfare.
(b) (1) The Department of Finance and the Department of General
Services shall approve or disapprove annual contract funding terms
and conditions, including both family fee schedules and regional
market rate schedules that are required to be adhered to by contract,
and contract face sheets submitted by the State Department of
Education not more than 30 working days from the date of submission,
unless unresolved conflicts remain between the Department of Finance,
the State Department of Education, and the Department of General
Services. The State Department of Education shall resolve conflicts
within an additional 30 working day time period. Contracts and
funding terms and conditions shall be issued to child care
contractors no later than June 1. Applications for new child care
funding shall be issued not more than 45 working days after the
effective date of authorized new allocations of child care moneys.
(2) Notwithstanding paragraph (1), the State Department of
Education shall implement the regional market rate schedules based
upon the county aggregates, as determined by the Regional Market
survey conducted in 2005.
(3) Notwithstanding paragraph (1), for the 2006-07 fiscal year,
the State Department of Education shall update the family fee
schedules by family size, based on the 2005 state median income
survey data for a family of four. The family fee schedule used during
the 2005-06 fiscal year shall remain in effect. However, the
department shall adjust the family fee schedule for families that are
newly eligible to receive or will continue to receive services under
the new income eligibility limits. The family fees shall not exceed
10 percent of the family's monthly income.
(4) Notwithstanding any other law, the family fee schedule that
was in effect for the 2007-08, 2008-09, 2009-10, and 2010-11 fiscal
years shall be adjusted to reflect the income eligibility limits
specified in subdivision (b) of Section 8263.1 for the 2011-12 fiscal
year, and shall retain a flat fee per family. The revised family fee
schedule shall begin at income levels at which families currently
begin paying fees, and shall reflect an increase of 10 percent to
existing fees. The revised family fees shall not exceed 10 percent of
the family's monthly income. The State Department of Education shall
first submit the adjusted fee schedule to the Department of Finance
for approval in order to be implemented by July 1, 2011.
(5) It is the intent of the Legislature to fully fund the third
stage of child care for former CalWORKs recipients.
(c) With respect to subdivision (b), it is the intent of the
Legislature that the Department of Finance annually review contract
funding terms and conditions for the primary purpose of ensuring
consistency between child care contracts and the child care budget.
This review shall include evaluating any proposed changes to contract
language or other fiscal documents to which the contractor is
required to adhere, including those changes to terms or conditions
that authorize higher reimbursement rates, that modify related
adjustment factors, that modify administrative or other service
allowances, or that diminish fee revenues otherwise available for
services, to determine if the change is necessary or has the
potential effect of reducing the number of full-time equivalent
children that may be served.
(d) Alternative payment child care systems, as set forth in
Article 3 (commencing with Section 8220), shall be subject to the
rates established in the Regional Market Rate Survey of California
Child Care Providers for provider payments. The State Department of
Education shall contract to conduct and complete a Regional Market
Rate Survey no more frequently than once every two years, consistent
with federal regulations, with a goal of completion by March 1.
(e) By March 1 of each year, the Department of Finance shall
provide to the State Department of Education the State Median Income
amount for a four-person household in California based on the best
available data. The State Department of Education shall adjust its
fee schedule for child care providers to reflect this updated state
median income; however, no changes based on revisions to the state
median income amount shall be implemented midyear.
(f) Notwithstanding the June 1 date specified in subdivision (b),
changes to the regional market rate schedules and fee schedules may
be made at any other time to reflect the availability of accurate
data necessary for their completion, provided these documents receive
the approval of the Department of Finance. The Department of Finance
shall review the changes within 30 working days of submission and
the State Department of Education shall resolve conflicts within an
additional 30 working day period. Contractors shall be given adequate
notice prior to the effective date of the approved schedules. It is
the intent of the Legislature that contracts for services not be
delayed by the timing of the availability of accurate data needed to
update these schedules.
(g) Notwithstanding any other provision of law, no family
receiving CalWORKs cash aid may be charged a family fee.
(h) Notwithstanding any other law, effective July 1, 2011, the
State Department of Education shall amend CalWORKs Stage 2 and Stage
3, general child care, migrant child care, and alternative payment
contracts to reflect the lower priority for providing subsidized
child care and development services for 11 and 12 year olds, except
for 11 and 12 year olds who are eligible pursuant to subparagraphs
(C) and (D) of paragraph (1) of subdivision (a) of Section 8263,
children with exceptional needs as defined in subdivision (l) of
Section 8208, and children who are served during nontraditional hours
as defined in subdivision (al) of Section 8208. The State Department
of Education shall include language in all contracts stating that
funds are not to be expended providing services to 11 and 12 year
olds, with the exceptions noted above, until such time as the
department determines and notifies contractors that funding for
providing those services is available. The State Department of
Education shall submit a request and receive prior approval from the
Department of Finance before expending funds to serve low priority 11
and 12 year olds.
SEC. 12. Section 8499 of the Education Code is amended to read:
8499. For purposes of this chapter, the following definitions
shall apply:
(a) "Block grant" means the block grant contained in Title VI of
the Child Care and Development Fund, as established by the Personal
Responsibility and Work Opportunity Reconciliation Act of 1996 (P.L.
104-193).
(b) "Child care" means all licensed child care and development
services and license-exempt child care, including, but not limited
to, private for-profit programs, nonprofit programs, and publicly
funded programs, for all children up to and including 12 years of
age, including children with exceptional needs and children from all
linguistic and cultural backgrounds, pursuant to subdivision (a) of
Section 8201 and subdivision (i) of Section 8208.
(c) "Child care provider" means a person who provides child care
services or represents persons who provide child care services.
(d) "Community representative" means a person who represents an
agency or business that provides private funding for child care
services, or who advocates for child care services through
participation in civic or community-based organizations but is not a
child care provider and does not represent an agency that contracts
with the State Department of Education to provide child care and
development services.
(e) "Consumer" means a parent or person who receives, or who has
received within the past 36 months, child care services.
(f) "Department" means the State Department of Education.
(g) "Local planning council" means a local child care and
development planning council as described in Section 8499.3.
(h) "Public agency representative" means a person who represents a
city, county, city and county, or local educational agency.
SEC. 13. Section 14041.5 of the Education Code is amended to read:

14041.5. (a) Notwithstanding subdivision (a) of Section 14041,
commencing with the 2002-03 fiscal year, warrants for the principal
apportionments for the month of June instead shall be drawn in July
of the same calendar year pursuant to the certification made pursuant
to Section 41335.
(b) Except as provided in subdivisions (c) and (d), for purposes
of making the computations required by Section 8 of Article XVI of
the California Constitution, the warrants drawn pursuant to
subdivision (a) shall be deemed to be "General Fund revenues
appropriated to school districts," as defined in subdivision (c) of
Section 41202 for the fiscal year in which the warrants are drawn and
included within the "total allocations to school districts and
community college districts from General Fund proceeds of taxes
appropriated pursuant to Article XIII B" as defined in subdivision
(e) of Section 41202, for the fiscal year in which the warrants are
drawn.
(c) For the 2003-04 school year, the amount of apportionments for
revenue limits computed pursuant to Section 42238 from any of the
apportionments made pursuant to Section 14041 that are deemed
"General Fund revenues appropriated for school districts," as defined
in subdivision (c) of Section 41202 for the following fiscal year
and included within the "total allocations to school districts and
community college districts from General Fund proceeds of taxes
appropriated pursuant to Article XIII B" as defined in subdivision
(e) of Section 41202, for the 2004-05 fiscal year shall be seven
hundred twenty-six million two hundred seventy thousand dollars
($726,270,000). Any amount in excess of seven hundred twenty-six
million two hundred seventy thousand dollars ($726,270,000) that is
apportioned in July of 2004 is deemed "General Fund revenues
appropriated for school districts," as defined in subdivision (c) of
Section 41202 for the 2003-04 fiscal year and included within the
"total allocations to school districts and community college
districts from General Fund proceeds of taxes appropriated pursuant
to Article XIII B" as defined in subdivision (e) of Section 41202,
for the 2003-04 fiscal year.
(d) For the 2004-05 school year to the 2007-08 school year,
inclusive, the amount of apportionments for revenue limits computed
pursuant to Section 42238 from any of the apportionments made
pursuant to Section 14041 that are deemed "General Fund revenues
appropriated for school districts," as defined in subdivision (c) of
Section 41202 for the following fiscal year and included within the
"total allocations to school districts and community college
districts from General Fund proceeds of taxes appropriated pursuant
to Article XIII B" as defined in subdivision (e) of Section 41202,
for the following fiscal year shall be seven hundred fifteen million
one hundred eighteen thousand dollars ($715,118,000). Any amount in
excess of seven hundred fifteen million one hundred eighteen thousand
dollars ($715,118,000) that is apportioned in July of any year is
deemed "General Fund revenues appropriated for school districts," as
defined in subdivision (c) of Section 41202 for the prior fiscal year
and included within the "total allocations to school districts and
community college districts from General Fund proceeds of taxes
appropriated pursuant to Article XIII B" as defined in subdivision
(e) of Section 41202, for the prior fiscal year.
(e) For the 2008-09 school year, and each school year thereafter,
the amount of apportionments for revenue limits computed pursuant to
Section 42238 from any of the apportionments made pursuant to Section
14041 that are deemed "General Fund revenues appropriated for school
districts," as defined in subdivision (c) of Section 41202 for the
following fiscal year and included within the "total allocations to
school districts and community college districts from General Fund
proceeds of taxes appropriated pursuant to Article XIII B" as defined
in subdivision (e) of Section 41202, for the following fiscal year
shall be one billion one hundred one million six hundred fifty-five
thousand dollars ($1,101,655,000). Any amount in excess of one
billion one hundred one million six hundred fifty-five thousand
dollars ($1,101,655,000) that is apportioned in July of any year is
deemed "General Fund revenues appropriated for school districts," as
defined in subdivision (c) of Section 41202 for the prior fiscal year
and included within the "total allocations to school districts and
community college districts from General Fund proceeds of taxes
appropriated pursuant to Article XIII B" as defined in subdivision
(e) of Section 41202, for the prior fiscal year.
SEC. 14. Section 14041.6 of the Education Code is amended to read:

14041.6. (a) Notwithstanding subdivision (a) of Section 14041, or
any other law, commencing with the 2008-09 fiscal year, warrants for
the principal apportionments for the month of February in the amount
of two billion dollars ($2,000,000,000) instead shall be drawn in
July of the same calendar year pursuant to the certification made
pursuant to Section 41339.
(b) Notwithstanding subdivision (a) of Section 14041 or any other
law, commencing with the 2009-10 fiscal year, warrants for the
principal apportionments for the month of April in the amount of six
hundred seventy-eight million six hundred eleven thousand dollars
($678,611,000) and for the month of May in the amount of one billion
dollars ($1,000,000,000) instead shall be drawn in August of the same
calendar year pursuant to the certification made pursuant to Section
41339.
(c) Notwithstanding subdivision (a) of Section 14041 or any other
law, commencing with the 2010-11 fiscal year, warrants for the
principal apportionments for the month of April in the amount of four
hundred nineteen million twenty thousand dollars ($419,020,000), for
the month of May in the amount of eight hundred million dollars
($800,000,000), and for the month of June in the amount of five
hundred million dollars ($500,000,000), instead shall be drawn in
July of the same calendar year pursuant to the certification made
pursuant to Section 41339.
(d) Notwithstanding subdivision (a) of Section 14041 or any other
law, commencing with the 2011-12 fiscal year, warrants for the
principal apportionments for the month of March in the amount of one
billion three hundred million dollars ($1,300,000,000) and for the
month of April in the amount of seven hundred sixty-three million
seven hundred ninety-four thousand dollars ($763,794,000) instead
shall be drawn in August of the same calendar year pursuant to the
certification made pursuant to Section 41339.
(e) Except as provided in subdivisions (c) and (e) of Section
41202, for purposes of making the computations required by Section 8
of Article XVI of the California Constitution, the warrants drawn
pursuant to subdivisions (a), (b), (c), and (d) shall be deemed to be
"General Fund revenues appropriated to school districts," as defined
in subdivision (c) of Section 41202, for the fiscal year in which
the warrants are drawn and included within the "total allocations to
school districts and community college districts from General Fund
proceeds of taxes appropriated pursuant to Article XIII B," as
defined in subdivision (e) of Section 41202, for the fiscal year in
which the warrants are drawn.
SEC. 15. Section 14041.65 is added to the Education Code, to read:

14041.65. (a) Notwithstanding subdivision (a) of Section 14041.6,
for the 2010-11 fiscal year only, warrants for the principal
apportionments for the month of February in the amount of twenty-four
million seven hundred thousand dollars ($24,700,000) instead shall
be drawn in July of the same calendar year pursuant to the
certification made pursuant to Section 41339.
(b) Notwithstanding subdivision (a) of Section 14041.6, for the
2010-11 fiscal year only, warrants for the principal apportionments
for the month of February in the amount of one billion four hundred
five million five hundred thousand dollars ($1,405,500,000) instead
shall be drawn in August of the same calendar year pursuant to the
certification made pursuant to Section 41339.
(c) Notwithstanding subdivision (a) of Section 14041.6, for the
2010-11 fiscal year only, warrants for the principal apportionments
for the month of February in the amount of five hundred sixty-nine
million eight hundred thousand dollars
($569,800,000) instead shall be drawn in September of
the same calendar year pursuant to the certification made pursuant to
Section 41339.
(d) Notwithstanding subdivision (c) of Section 14041.6, for the
2010-11 fiscal year only, warrants for the principal apportionments
for the month of April in the amount of four hundred nineteen million
twenty thousand dollars ($419,020,000) instead shall be drawn in
September of the same calendar year pursuant to the certification
made pursuant to Section 41339.
(e) Notwithstanding subdivision (c) of Section 14041.6, for the
2010-11 fiscal year only, warrants for the principal apportionments
for the month of May in the amount of eight hundred million dollars
($800,000,000) instead shall be drawn in September of the same
calendar year pursuant to the certification made pursuant to Section
41339.
SEC. 16. Section 17070.766 of the Education Code is amended to
read:
17070.766. Notwithstanding paragraph (2) of subdivision (b) of
Section 17070.75, for the 2008-09, 2009-10, 2010-11, 2011-12,
2012-13, 2013-14, and 2014-15 fiscal years, the board shall require a
school district to deposit into the account established pursuant to
paragraph (1) of subdivision (b) of Section 17070.75 only an amount
equal to 1 percent of the total expenditures by a district from its
general fund in the 2008-09, 2009-10, 2010-11, 2011-12, 2012-13,
2013-14, and 2014-15 fiscal years respectively, but if the school
district maintains its facilities in good repair, as defined in
Section 17002, it shall be exempt from this 1 percent requirement. A
school district may elect to deposit into the account an amount that
is greater than the amount required by the board pursuant to this
section.
SEC. 17. Section 17463.7 of the Education Code is amended to read:

17463.7. (a) Notwithstanding any other law, a school district may
deposit the proceeds from the sale of surplus real property,
together with any personal property located on the property,
purchased entirely with local funds, into the general fund of the
school district and may use the proceeds for any one-time general
fund purpose. If the purchase of the property was made using the
proceeds of a local general obligation bond or revenue derived from
developer fees, the amount of the proceeds of the transaction that
may be deposited into the general fund of the school district may not
exceed the percentage computed by the difference between the
purchase price of the property and the proceeds from the transaction,
divided by the amount of the proceeds of the transaction. For the
purposes of this section, proceeds of the transaction means either of
the following, as appropriate:
(1) The amount realized from the sale of property after reasonable
expenses related to the sale.
(2) For a transaction that does not result in a lump-sum payment
of the proceeds of the transaction, the proceeds of the transaction
shall be calculated as the net present value of the future cashflow
generated by the transaction.
(b) The State Allocation Board shall reduce an apportionment of
hardship assistance awarded to the particular school district
pursuant to Article 8 (commencing with Section 17075.10) by an amount
equal to the amount of the sale of surplus real property used for a
one-time expenditure of the school district pursuant to this section.

(c) If the school district exercises the authority granted
pursuant to this section, the district is ineligible for hardship
funding from the State School Deferred Maintenance Fund under Section
17587 for five years after the date proceeds are deposited into the
general fund pursuant to this section.
(d) Before a school district exercises the authority granted
pursuant to this section, the governing board of the school district
shall first submit to the State Allocation Board documents certifying
the following:
(1) The school district has no major deferred maintenance
requirements not covered by existing capital outlay resources.
(2) The sale of real property pursuant to this section does not
violate the provisions of a local bond act.
(3) The real property is not suitable to meet projected school
construction needs for the next 10 years.
(e) Before the school district exercises the authority granted
pursuant to this section, the governing board of the school district
at a regularly scheduled meeting shall present a plan for expending
one-time resources pursuant to this section. The plan shall identify
the source and use of the funds and describe the reasons why the
expenditure will not result in ongoing fiscal obligations for the
school district.
(f) The Office of Public School Construction shall submit an
interim and a final report to the State Allocation Board and the
budget, education policy, and fiscal committees of the Legislature
that identifies the school districts that have exercised the
authority granted by this section, the amount of proceeds involved,
and the purpose for which those proceeds were used. The interim
report shall be submitted by January 1, 2011, and the final report by
January 1, 2014.
(g) This section shall remain in effect only until January 1,
2014, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2014, deletes or extends
that date.
SEC. 18. Section 17584.1 of the Education Code, as amended by
Section 6 of Chapter 12 of the Third Extraordinary Session of the
Statutes of 2009, is amended to read:
17584.1. (a) The governing board of a school district shall
discuss proposals and plans for expenditure of funds for the deferred
maintenance of school district facilities at a regularly scheduled
public hearing.
(b) The purposes of this section are to inform the public
regarding the local decisionmaking process relating to the deferred
maintenance of school facilities and to provide a foundation for
local accountability in that regard.
(c) This section shall become inoperative on July 1, 2015, and, as
of January 1, 2016, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2016, deletes or
extends the dates on which it becomes inoperative and is repealed.
SEC. 19. Section 17584.1 of the Education Code, as added by
Section 7 of Chapter 12 of the Third Extraordinary Session of the
Statutes of 2009, is amended to read:
17584.1. (a) The governing board of a school district shall
discuss proposals and plans for expenditure of funds for the deferred
maintenance of school district facilities at a regularly scheduled
public hearing.
(b) In any fiscal year that the school district does not set aside
0.5 percent of its current-year revenue limit average daily
attendance for deferred maintenance, the governing board of a school
district shall submit a report to the Legislature by March 1 of that
year, with copies to the Superintendent, the state board, the
Department of Finance, and the State Allocation Board.
(c) The report required pursuant to subdivision (b) shall include
all of the following:
(1) A schedule of the complete school facilities deferred
maintenance needs of the school district for the current fiscal year,
including a schedule of costs per schoolsite and total costs.
(2) A detailed description of the school district's spending
priorities for the current fiscal year and an explanation of why
those priorities, or any other considerations, have prevented the
school district from setting aside sufficient local funds so as to
permit it to fully fund its deferred maintenance program and, if
eligible, to participate in the state deferred maintenance funding
program as set forth in Section 17584.
(3) An explanation of the manner in which the governing board of a
school district plans to meet its current-year facilities deferred
maintenance needs without setting aside the funds set forth in
Section 17584.
(d) Copies of the report shall be made available at each
schoolsite within the school district, and shall be provided to the
public upon request.
(e) The purposes of this section are to inform the public
regarding the local decisionmaking process relating to the deferred
maintenance of school facilities and to provide a foundation for
local accountability in that regard.
(f) This section shall become operative on July 1, 2015.
SEC. 20. Section 17587 of the Education Code is amended to read:
17587. (a) Notwithstanding the limitations of Section 17584, the
State Allocation Board may each year reserve an amount not to exceed
10 percent of the funds transferred from any source to the State
School Deferred Maintenance Fund for apportionments to school
districts, in instances of extreme hardship. The apportionment shall
be in addition to the apportionments made pursuant to Section 17584.
Not less than one-half of all funds made available by this section
shall be apportioned to school districts that had an average daily
attendance, excluding summer session attendance, of less than 2,501
during the prior fiscal year.
An extreme hardship shall exist in a school district if the State
Allocation Board determines the existence of all of the following:
(1) That the district has deposited in its deferred maintenance
fund an amount equal to at least 0.5 percent of the total general
funds and adult education funds budgeted by the district for the
fiscal year, exclusive of any amounts budgeted for capital outlay or
debt service.
(2) That the district has a critical project on its five-year plan
which, if not completed in one year, could result in serious damage
to the remainder of the facility or would result in a serious hazard
to the health and safety of the pupils attending the facility.
(3) That the total funds deposited by the district and the state
pursuant to Section 17584 are insufficient to complete the project.
(b) If a determination is made that a hardship exists pursuant to
subdivision (a), the State Allocation Board may increase the
apportionment to a school district by the amount it determines
necessary to complete the critical project.
(c) Notwithstanding subdivision (a), in any fiscal year in which
the State Allocation Board has apportioned all funding from the State
School Deferred Maintenance Fund for which school districts have
qualified under Section 17584, the board may apportion any amount
remaining in that fund for the purposes of this section.
(d) This section shall become operative on July 1, 2015.
SEC. 21. Section 17592.71 of the Education Code is amended to
read:
17592.71. (a) There is hereby established in the State Treasury
the School Facilities Emergency Repair Account. The State Allocation
Board shall administer the account.
(b) (1) Commencing with the 2005-06 fiscal year, an amount of
moneys shall be transferred in the annual Budget Act from the
Proposition 98 Reversion Account to the School Facilities Emergency
Repair Account, equaling 50 percent of the unappropriated balance of
the Proposition 98 Reversion Account or one hundred million dollars
($100,000,000), whichever amount is greater. Moneys transferred
pursuant to this subdivision shall be used for the purpose of
addressing emergency facilities needs pursuant to Section 17592.72.
(2) Notwithstanding paragraph (1), for the 2008-09 fiscal year,
the amount of money to be transferred from the Proposition 98
Reversion Account to the School Facilities Emergency Repair Account
pursuant to paragraph (1) shall not exceed one hundred one million
dollars ($101,000,000).
(3) Notwithstanding paragraph (1), for the 2009-10 fiscal year,
the amount of money to be transferred from the Proposition 98
Reversion Account to the School Facilities Emergency Repair Account
pursuant to paragraph (1) shall be zero.
(4) Notwithstanding paragraph (1), for the 2010-11 fiscal year,
the amount of money to be transferred from the Proposition 98
Reversion Account to the School Facilities Emergency Repair Account
pursuant to paragraph (1) shall be zero.
(5) Notwithstanding paragraph (1), for the 2011-12 fiscal year,
the amount of money to be transferred from the Proposition 98
Reversion Account to the School Facilities Emergency Repair Account
pursuant to paragraph (1) shall be zero.
(c) The Legislature may transfer to the School Facilities
Emergency Repair Account other one-time Proposition 98 funds, except
funds specified pursuant to Section 41207, as repealed and added by
Section 6 of Chapter 216 of the Statutes of 2004. Donations by
private entities shall be deposited in the account and, for tax
purposes, be treated as otherwise provided by law.
(d) Funds shall be transferred pursuant to this section until a
total of eight hundred million dollars ($800,000,000) has been
disbursed from the School Facilities Emergency Repair Account.
SEC. 22. Section 33128.3 of the Education Code is amended to read:

33128.3. (a) Notwithstanding the standards and criteria adopted
pursuant to paragraph (3) of subdivision (a) of Section 33128, for
the 2009-10, 2010-11, and 2011-12 fiscal years, the minimum state
requirement for a reserve for economic uncertainties is one-third of
the percentage for a reserve adopted by the state board pursuant to
Section 33128 as of May 1, 2009.
(b) The school district shall make progress, in the 2012-13 fiscal
year, toward returning to compliance with the standards and criteria
adopted pursuant to paragraph (3) of subdivision (a) of Section
33128.
(c) For the 2013-14 fiscal year, the minimum state requirement for
a reserve for economic uncertainties shall be restored to the
percentage adopted by the state board pursuant to Section 33128 as of
May 1, 2009.
(d) This section shall become inoperative on July 1, 2014, and, as
of January 1, 2015, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2015, deletes or
extends the dates on which it becomes inoperative and is repealed.
SEC. 23. Section 41203.1 of the Education Code is amended to read:

41203.1. (a) For the 1990-91 fiscal year and each fiscal year
thereafter, allocations calculated pursuant to Section 41203 shall be
distributed in accordance with calculations provided in this
section. Notwithstanding Section 41203, and for the purposes of this
section, school districts, community college districts, and direct
elementary and secondary level instructional services provided by the
State of California shall be regarded as separate segments of public
education, and each of these three segments of public education
shall be entitled to receive respective shares of the amount
calculated pursuant to Section 41203 as though the calculation made
pursuant to subdivision (b) of Section 8 of Article XVI of the
California Constitution were to be applied separately to each segment
and the base year for the purposes of this calculation under
paragraph (1) of subdivision (b) of Section 8 of Article XVI of the
California Constitution were based on the 1989-90 fiscal year.
Calculations made pursuant to this subdivision shall be made so that
each segment of public education is entitled to the greater of the
amounts calculated for that segment pursuant to paragraph (1) or (2)
of subdivision (b) of Section 8 of Article XVI of the California
Constitution.
(b) If the single calculation made pursuant to Section 41203
yields a guaranteed amount of funding that is less than the sum of
the amounts calculated pursuant to subdivision (a), the amount
calculated pursuant to Section 41203 shall be prorated for the three
segments of public education.
(c) Notwithstanding any other law, this section does not apply to
the 1992-93 to 2011-12 fiscal years, inclusive.
SEC. 23.5. Section 41204.2 of the Education Code is repealed.
SEC. 23.7. Section 41204.2 is added to the Education Code, to
read:
41204.2. The Director of Finance shall adjust "the percentage of
General Fund revenues appropriated for school districts and community
college districts, respectively, in fiscal year 1986-87" for
purposes of applying paragraph (1) of subdivision (b) of Section 8 of
Article XVI of the California Constitution in a manner that ensures
that the shift in General Fund revenues, pursuant to Sections 6051.8,
6201.8, 6357.7, and 7361.1, subdivision (b) of Section 7360, and
subdivision (b) of Section 60050 of the Revenue and Taxation Code, as
those provisions were enacted in the 2009-10 Eighth Extraordinary
Session and 2009-10 Regular Session, and reenacted in the 2011-12
Regular Session, shall have no net fiscal impact upon the amounts
that are otherwise required to be applied by the state for the
support of school districts and community college districts pursuant
to Section 8 of Article XVI of the California Constitution.
SEC. 24. Section 41204.3 is added to the Education Code, to read:
41204.3. (a) Notwithstanding any other law, for the 2011-12
fiscal year, the Director of Finance shall adjust "the percentage of
General Fund revenues appropriated for school districts and community
college districts, respectively, in fiscal year 1986-87" for
purposes of making the calculations required under paragraph (1) of
subdivision (b) of Section 8 of Article XVI of the California
Constitution in a manner that ensures that the shift to school
districts and community college districts of local property tax
revenues pursuant to subdivision (a) of Section 34183 of the Health
and Safety Code has no net fiscal impact upon the combined amount of
General Fund proceeds of taxes and allocated local proceeds of taxes
that are otherwise required to be applied by the state for the
support of school districts and community college districts pursuant
to Section 8 of Article XVI of the California Constitution.
(b) For purposes of Section 8 of Article XVI of the California
Constitution, the property tax revenues transferred to school
districts, county offices of education, and community college
districts pursuant to subdivision (a) of Section 34183 of the Health
and Safety Code shall constitute "allocated local proceeds of taxes."

(c) For the 2012-13 fiscal year, and for each fiscal year
thereafter, the adjustments provided in this section shall not be
made.
SEC. 25. Section 42238.146 of the Education Code is amended to
read:
42238.146. (a) (1) For the 2003-04 fiscal year, the revenue limit
for each school district determined pursuant to this article shall
be reduced by a 1.198 percent deficit factor.
(2) For the 2004-05 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
0.323 percent deficit factor.
(3) For the 2003-04 and 2004-05 fiscal years, the revenue limit
for each school district determined pursuant to this article shall be
further reduced by a 1.826 percent deficit factor.
(4) For the 2005-06 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
0.892 percent deficit factor.
(5) For the 2008-09 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
7.844 percent deficit factor.
(6) For the 2009-10 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
18.355 percent deficit factor.
(7) For the 2010-11 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
17.963 percent deficit factor.
(8) For the 2011-12 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
19.608 percent deficit factor.
(b) In computing the revenue limit for each school district for
the 2006-07 fiscal year pursuant to this article, the revenue limit
shall be determined as if the revenue limit for that school district
had been determined for the 2003-04, 2004-05, and 2005-06 fiscal
years without being reduced by the deficit factors specified in
subdivision (a).
(c) In computing the revenue limit for each school district for
the 2010-11 fiscal year pursuant to this article, the revenue limit
shall be determined as if the revenue limit for that school district
had been determined for the 2009-10 fiscal year without being reduced
by the deficit factors specified in subdivision (a).
(d) In computing the revenue limit for each school district for
the 2011-12 fiscal year pursuant to this article, the revenue limit
shall be determined as if the revenue limit for that school district
had been determined for the 2010-11 fiscal year without being reduced
by the deficit factors specified in subdivision (a).
(e) In computing the revenue limit for each school district for
the 2012-13 fiscal year pursuant to this article, the revenue limit
shall be determined as if the revenue limit for that school district
had been determined for the 2011-12 fiscal year without being reduced
by the deficit factors specified in subdivision (a).
SEC. 26. Section 42605 of the Education Code is amended to read:
42605. (a) (1) Unless otherwise prohibited under federal law or
otherwise specified in subdivision (e), for the 2008-09 fiscal year
to the 2014-15 fiscal year, inclusive, recipients of funds from the
items listed in paragraph (2) may use funding received, pursuant to
subdivision (b), from any of these items listed in paragraph (2) that
are contained in an annual Budget Act, for any educational purpose.
(2) Items 6110-104-0001, 6110-105-0001, 6110-108-0001,
6110-122-0001, 6110-124-0001, 6110-137-0001, 6110-144-0001,
6110-150-0001, 6110-151-0001, 6110-156-0001, 6110-181-0001,
6110-188-0001, 6110-189-0001, 6110-190-0001, 6110-193-0001,
6110-195-0001, 6110-198-0001, 6110-204-0001, 6110-208-0001,
6110-209-0001, 6110-211-0001, 6110-227-0001, 6110-228-0001,
6110-232-0001, 6110-240-0001, 6110-242-0001, 6110-243-0001,
6110-244-0001, 6110-245-0001, 6110-246-0001, 6110-247-0001,
6110-248-0001, 6110-260-0001, 6110-265-0001, 6110-266-0001,
6110-267-0001, 6110-268-0001, and 6360-101-0001 of Section 2.00.
(b) (1) For the 2009-10 fiscal year to the 2014-15 fiscal year,
inclusive, the Superintendent or other administering state agency, as
appropriate, shall apportion from the amounts provided in the annual
Budget Act for the items enumerated in paragraph (2) of subdivision
(a) an amount to recipients based on the same relative proportion
that the recipient received in the 2008-09 fiscal year for the
programs funded through the items enumerated in paragraph (2) of
subdivision (a).
(2) This section and Section 42 of Chapter 12 of the Third
Extraordinary Session of the Statutes of 2009 do not authorize a
school district that receives funding on behalf of a charter school
pursuant to Sections 47634.1 and 47651 to redirect this funding for
another purpose unless otherwise authorized in law or pursuant to an
agreement between a charter school and its chartering authority.
Notwithstanding paragraph (1), for the 2008-09 fiscal year to the
2014-15 fiscal year, inclusive, a school district that receives
funding on behalf of a charter school pursuant to Sections 47634.1
and 47651 shall continue to distribute the funds to those charter
schools based on the relative proportion that the school district
distributed in the 2007-08 fiscal year, and shall adjust those
amounts to reflect changes in charter school attendance in the
district. The amounts allocated shall be adjusted for any greater or
lesser amount appropriated for the items enumerated in paragraph (2)
of subdivision (a). For a charter school that began operation in the
2008-09 fiscal year, if a school district received funding on behalf
of that charter school pursuant to Sections 47634.1 and 47651, the
school district shall continue to distribute the funds to that
charter school based on the relative proportion that the school
district distributed in the 2008-09 fiscal year and shall adjust the
amount of those funds to reflect changes in charter school attendance
in the district. The amounts allocated shall be adjusted for any
greater or lesser amount appropriated for the items enumerated in
paragraph (2) of subdivision (a).
(3) Notwithstanding paragraph (1), for the 2008-09 fiscal year to
the 2014-15 fiscal year, inclusive, the Superintendent shall
apportion from the amounts appropriated by Item 6110-211-0001 of
Section 2.00 of the annual Budget Act an amount to a charter school
in accordance with the per-pupil methodology prescribed in
subdivision (c) of Section 47634.1.
(4) Notwithstanding paragraph (1), for the 2008-09 fiscal year to
the 2014-15 fiscal year, inclusive, the Superintendent shall
apportion from the amounts provided in the annual Budget Act an
amount to a school district, charter school, and county office of
education based on the same relative proportion that the local
educational agency received in the 2007-08 fiscal year for the
programs funded through the following items contained in Section 2.00
of the annual Budget Act: 6110-104-0001, 6110-105-0001,
6110-156-0001, 6110-190-0001, Schedule (3) of 6110-193-0001,
6110-198-0001, 6110-232-0001, and Schedule (2) of 6110-240-0001.
(5) For purposes of paragraph (4), if a direct-funded charter
school began operation in the 2008-09 fiscal year, the amount that
the charter school was entitled to receive from the items enumerated
in paragraph (4) for the 2008-09 fiscal year, as certified by the
Superintendent in March 2009, is deemed to have been received in the
2007-08 fiscal year.
(c) (1) This section does not obligate the state to refund or
repay reductions made pursuant to this section. A decision by a
school district to reduce funding pursuant to this section for a
state-mandated local program shall constitute a waiver of the
subvention of funds that the school district is otherwise entitled to
pursuant to Section 6 of Article XIII B of the California
Constitution on the amount so reduced.
(2) As a condition of receipt of funds, the governing board of the
school district or board of the county office of education, as
appropriate, at a regularly scheduled open public hearing shall take
testimony from the public, discuss, approve or disapprove the
proposed use of funding, and make explicit for each of the budget
items in paragraph (2) of subdivision (a) the purposes for which the
funds will be used.
(3) Using the Standardized Account Code Structure reporting
process, a local educational agency shall report expenditures of
funds pursuant to the authority of this section by using the
appropriate function codes to indicate the activities for which these
funds are expended. The department shall collect and provide this
information to the Department of Finance and the appropriate policy
and budget committees of the Legislature by April 15, 2010, and
annually thereafter on April
15 until, and including, April 15, 2016.
(d) For the 2008-09 fiscal year to the 2014-15 fiscal year,
inclusive, local educational agencies that use the flexibility
provision of this section shall be deemed to be in compliance with
the program and funding requirements contained in statutory,
regulatory, and provisional language, associated with the items
enumerated in subdivision (a).
(e) Notwithstanding subdivision (d), the following requirements
shall continue to apply:
(1) For Item 6110-105-0001 of Section 2.00 of the annual Budget
Act, the amount authorized for flexibility shall exclude the funding
provided to fund remedial educational services pursuant to Provision
4. For Item 6110-156-0001 of Section 2.00 of the annual Budget Act,
the amount authorized for flexibility shall exclude the funding
provided for instruction of CalWORKs-eligible students pursuant to
Schedules (2) and (3) and Provisions 2 and 4.
(2) (A) Any instructional materials purchased by a local
educational agency shall be the materials adopted by the state board
for kindergarten and grades 1 to 8, inclusive, and for grades 9 to
12, inclusive, the materials purchased shall be aligned with state
standards as defined by Section 60605, and shall also meet the
reporting and sufficiency requirements contained in Section 60119.
(B) For purposes of this section, "sufficiency" means that each
pupil has sufficient textbooks and instructional materials in the
four core areas as defined by Section 60119 and that all pupils
within the local educational agency who are enrolled in the same
course shall have identical textbooks and instructional materials, as
specified in Section 1240.3.
(3) For Item 6110-195-0001 of Section 2.00 of the annual Budget
Act, the item shall exclude moneys that are required to fund awards
for teachers that have previously met the requirements necessary to
obtain these awards, until the award is paid in full.
(4) For Item 6110-266-0001 of Section 2.00 of the annual Budget
Act, a county office of education shall conduct at least one site
visit to each of the required schoolsites pursuant to Section 1240
and shall fulfill all of the duties set forth in Sections 1240 and
44258.9.
(5) For Item 6110-198-0001 of Section 2.00 of the annual Budget
Act, a school district or county office of education that operates
the child care component of the Cal-SAFE program shall comply with
paragraphs (5) and (6) of subdivision (c) of Section 54746.
(f) This section does not invalidate any state law pertaining to
teacher credentialing requirements or the functions that require
credentials.
SEC. 27. Section 42606 of the Education Code is amended to read:
42606. (a) A local educational agency, including a direct-funded
charter school, may apply for any state categorical program funding
included in the annual Budget Act on behalf of a school that begins
operation in the 2008-09 to the 2014-15 fiscal years, inclusive, but
only to the extent the school or local educational agency is eligible
for funding and meets the provisions of the program that were in
effect as of January 1, 2009, except that charter schools shall not
apply for any of the programs contained in Section 47634.4.
(b) A local educational agency that establishes a new school by
redirecting enrollment from its existing schools to the new school
shall not be eligible to receive funding in addition to the amounts
allocated pursuant to Section 42605 for the categorical programs
specified in that section or for the class size reduction program
pursuant to Sections 52122 and 52124.
(c) The Superintendent shall report the number of new schools and
the programs that these schools are applying for, including an
estimate of the cost for that year. This information shall by
reported by November 11, 2009, and each fiscal year thereafter, to
the appropriate committees of the Legislature, the Legislative
Analyst's Office, and the Department of Finance.
(d) Notwithstanding subdivision (a), for the 2010-11 and 2011-12
fiscal years, the Superintendent shall allocate a supplemental
categorical block grant to a charter school that began operation in
the 2008-09, 2009-10, 2010-11, or 2011-12 fiscal year. The
supplemental categorical block grant shall equal one hundred
twenty-seven dollars ($127) per unit of charter school average daily
attendance as determined at the 2010-11 second principal
apportionment for schools commencing operations in the 2008-09,
2009-10, or 2010-11 fiscal year, and at the 2011-12 second principal
apportionment for schools commencing operations in the 2011-12 fiscal
year. These supplemental categorical block grant funds may be used
for any educational purpose. A locally funded charter school that
converted from a preexisting school between the 2008-09 and 2011-12
fiscal years is not eligible for funding specified in this section. A
charter school that receives funding pursuant to this subdivision
shall not receive additional funding for programs specified in
paragraph (2) of subdivision (a) of Section 42605, with the exception
of the program funded pursuant to Item 6110-211-0001 of Section 2.00
of the annual Budget Act.
SEC. 28. Section 45023.1 of the Education Code, as added by
Section 8 of Chapter 374 of the Statutes of 2009, is amended to read:

45023.1. (a) Commencing with the 2000-01 fiscal year, the county
superintendent of schools or the county board of education may
increase, for teachers meeting the requirements prescribed by this
section, the salary on its adopted certificated employee salary
schedule as provided in subdivision (b). For purposes of this
section, a teacher for whom the county superintendent of schools or
county board of education may increase salaries shall meet all of the
following criteria:
(1) Hold a valid California teaching credential, not including an
emergency permit, intern certificate or credential, or waiver.
(2) Possess a baccalaureate or higher degree.
(3) Receive a salary paid through the general fund of the county
office.
(b) The county superintendent of schools or county board of
education that increases its salaries pursuant to subdivision (a)
shall perform the following computations:
(1) The county superintendent of schools or county board of
education shall designate as the lowest salary on the salary schedule
for a certificated employee meeting the criteria in subdivision (a)
an amount that is at least an annual salary of thirty-four thousand
dollars ($34,000) in the 2000-01 fiscal year.
(2) The county superintendent of schools or county board of
education shall increase to the annual salary amount in paragraph (1)
the salary of any certificated employee meeting the criteria in
subdivision (a) whose salary on the salary schedule for the 1999-2000
fiscal year was less than the amount computed in paragraph (1) and,
notwithstanding Section 45028, shall incorporate that increase into
the salary schedule commencing with the 2000-01 fiscal year.
(c) Each county office of education that increases its beginning
teacher annual minimum salary to thirty-four thousand dollars
($34,000) pursuant to subdivision (b) shall elect, except as provided
in subdivision (j), to receive reimbursement for the cost of the
increase pursuant to only one of the following two options:
(1) Option One:
(A) In fiscal year 2000-01, a county superintendent of schools or
county office of education that increases salaries pursuant to
paragraph (2) of subdivision (b) and selects reimbursement Option One
shall receive an amount equal to six dollars ($6) times the county
office's second principal apportionment average daily attendance for
the 1999-2000 fiscal year, excluding attendance in adult education
programs and charter schools participating in the charter school
block grant pursuant to Article 2 (commencing with Section 47633) of
Chapter 6 of Part 26.8 of Division 4.
(B) Divide the amount received from the state pursuant to
subparagraph (A) for the 2000-01 fiscal year by the county office of
education's second principal apportionment average daily attendance
for the 1999-2000 fiscal year, excluding attendance in adult
education programs and charter schools participating in the charter
school block grant pursuant to Article 2 (commencing with Section
47633) of Chapter 6 of Part 26.8 of Division 4.
(C) For the 2001-02 fiscal year and each fiscal year thereafter,
for each county office of education that increases its salaries
pursuant to subdivision (a), the Superintendent shall add the sum of
clauses (i) and (ii) to the county office of education revenue limit
computed pursuant to Section 2550:
(i) Annually increase the funding rate per unit of average daily
attendance specified in subparagraph (B) by the percentage increase
identified pursuant to Section 2557 and multiply the resulting
product by the county office of education's second principal
apportionment average daily attendance for the current fiscal year
excluding attendance in regional occupational centers/programs, adult
education programs, and charter schools participating in the charter
school block grant pursuant to Article 2 (commencing with Section
47633) of Chapter 6 of Part 26.8 of Division 4.
(ii) Annually increase the funding rate per unit of average daily
attendance specified in subparagraph (B) by the percentage increase
identified pursuant to Section 2557 and multiply the resulting
product by the county office of education's second principal
apportionment average daily attendance for the current fiscal year in
regional occupational centers/programs excluding attendance in
charter schools participating in the charter school block grant
pursuant to Article 2 (commencing with Section 47633) of Chapter 6 of
Part 26.8 of Division 4.
(D) The county superintendent of schools or county office of
education shall utilize these incentive funds not only to meet the
new beginning teacher annual minimum salary of thirty-four thousand
dollars ($34,000), but may also use the funds to generally enhance
teachers' salaries in order to achieve the goals of retention of
qualified, competent, and experienced teachers and the attainment of
a reasonable salary commensurate with a teacher's experience,
education, and responsibilities.
(2) Option Two: A county superintendent of schools or county
office of education may submit a request to the Superintendent, on a
form supplied by the Superintendent, for state funding computed as
follows:
(A) Total the salaries of all certificated employees receiving
increased salaries up to a maximum of thirty-four thousand dollars
($34,000) per person pursuant to subdivision (b) for the 2000-01
fiscal year.
(B) Total all salaries, based on the salary schedule for the
2000-01 fiscal year before the increase made pursuant to subdivision
(b), of all certificated employees receiving increased salaries
pursuant to subdivision (b).
(C) Subtract the amount in subparagraph (B) from the amount in
subparagraph (A).
(D) Multiply the amount in subparagraph (C) by the district's
statutory benefit rates.
(E) For the 2000-01 fiscal year, a county superintendent of
schools or county office of education that increases salaries
pursuant to paragraph (2) of subdivision (b) and selects
reimbursement Option Two shall receive the sum of subparagraphs (C)
and (D).
(F) Divide the sum of the amounts received pursuant to
subparagraphs (C) and (D) for the 2000-01 fiscal year by the county
office of education average daily attendance for the second principal
apportionment for the 2000-01 fiscal year, excluding attendance in
adult education programs and charter schools participating in the
charter school block grant pursuant to Article 2 (commencing with
Section 47633) of Chapter 6 of Part 26.8 of Division 4.
(G) For the 2001-02 fiscal year and each fiscal year thereafter,
for each county office of education that increases its salaries
pursuant to subdivision (a), the Superintendent shall add the sum of
clauses (i) and (ii) to the county office of education revenue limit
computed pursuant to Section 2550:
(i) Annually increase the funding rate per unit of average daily
attendance calculated pursuant to subparagraph (F) by the percentage
increase identified pursuant to Section 2557 and multiply the
resulting product by the county office of education's second
principal apportionment average daily attendance for the current
fiscal year excluding attendance in regional occupational
centers/programs, adult education programs, and charter schools
participating in the charter school block grant pursuant to Article 2
(commencing with Section 47633) of Chapter 6 of Part 26.8 of
Division 4.
(ii) Annually increase the funding rate per unit of average daily
attendance calculated pursuant to subparagraph (F) by the percentage
increase identified pursuant to Section 2557 and multiply the
resulting product by the county office of education's second
principal apportionment average daily attendance for the current
fiscal year in regional occupational centers/programs excluding
attendance in charter schools participating in the charter school
block grant pursuant to Article 2 (commencing with Section 47633) of
Chapter 6 of Part 26.8 of Division 4.
(3) For purposes of the calculation required by clause (ii) of
subparagraph (C) of paragraph (1) and clause (ii) of subparagraph (G)
of paragraph (2), in the 2008-09, 2009-10, 2010-11, 2011-12,
2012-13, 2013-14, and 2014-15 fiscal years, a county office of
education's second principal apportionment average daily attendance
for the current fiscal year shall be the second principal
apportionment average daily attendance for the 2007-08 fiscal year.
(d) State funds received pursuant to this section and not used
pursuant to the conditions of this section shall be returned to the
state.
(e) If the funds requested by the county superintendents of
schools and the county offices of education for the 2000-01 fiscal
year exceed the state appropriation for this section, the
Superintendent shall reduce all requests by the application of a
single, common percentage factor for apportionment purposes, so as
not to exceed the amount appropriated for this purpose.
(f) A county office of education shall receive reimbursement
pursuant to subdivision (c) only. However, this section does not
prohibit a school district and its employees from negotiating salary
schedules.
(g) The adjustments to county office of education revenue limits
prescribed in subparagraph (C) of paragraph (1) of subdivision (c)
and subparagraph (G) of paragraph (2) of subdivision (c) shall
continue so long as the increase in the salary schedule made pursuant
to paragraph (2) of subdivision (b) or subdivision (i) is
maintained.
(h) The Superintendent shall issue appropriate forms to county
offices of education no later than September 1, 2000. County
superintendents of schools or county offices of education shall
notify the Superintendent no later than September 30, 2001, regarding
which option they wish to exercise for the 2000-01 fiscal year.
County superintendents of schools or county offices of education
shall file their claim form for state funds with the Superintendent
no later than September 30, 2001.
(i) Adjustments made to county office of education revenue limits
pursuant to subparagraph (C) of paragraph (1) of subdivision (c) and
subparagraph (G) of paragraph (2) of subdivision (c) shall not be
considered part of the base revenue limit for the purpose of
computing equalization adjustments or determining other
wealth-related differences in school funding.
(j) Notwithstanding subdivision (c), a county office of education
that already has as the annual minimum salary for beginning teachers
who meet the criteria in subdivision (a) an amount equal to or
greater than thirty-four thousand dollars ($34,000) shall be eligible
to receive reimbursement pursuant to Option One.
(k) This section shall become operative on July 1, 2010.
SEC. 29. Section 45023.4 of the Education Code is amended to read:

45023.4. (a) This section shall be known, and may be cited, as
the Jack O'Connell Beginning-Teacher Salary Incentive Program.
Commencing in the 1999-2000 fiscal year the county superintendent of
schools or the county board of education may increase, for teachers
who meet the requirements of this subdivision, the salary on its
adopted certificated employee salary schedule as provided in
subdivision (b). For purposes of this section, a teacher for whom the
county superintendent of schools or county board of education may
increase salaries shall meet all of the following criteria:
(1) Hold a valid California teaching credential, not including an
emergency permit, intern permit, or waiver.
(2) Possess a baccalaureate or higher degree.
(3) Receive a salary paid from the general fund of the district or
county office.
(b) The county superintendent of schools or county board of
education that elects to increase teachers' salaries as authorized
pursuant to subdivision (a) shall perform the following computations:

(1) The county superintendent of schools or county board of
education shall designate as the lowest salary on the salary schedule
for a certificated employee meeting or exceeding the criteria in
subdivision (a) an amount equal to a minimum annual salary of
thirty-two thousand dollars ($32,000). If this salary change results
in costs to the county office of education that are equal to or
greater than the incentive received pursuant to subdivision (c), the
minimum salary shall be thirty-two thousand dollars ($32,000). If
this salary change results in costs to the county offices of
education that are less than the incentive received, the remainder
shall be used to increase the beginning salary by an amount above
thirty-two thousand dollars ($32,000) which fully applies the
incentive received.
(2) The county superintendent of schools or county board of
education shall increase to the annual salary amount in paragraph (1)
the salary of a certificated employee meeting the criteria in
subdivision (a) whose salary on the salary schedule is less than the
amount computed in paragraph (1) and, notwithstanding Section 45028,
shall incorporate that increase into the salary schedule.
(3) The newly adopted salary schedule shall contain only one cell
that meets the amount set forth in paragraph (1), which most often is
the first-year step of a salary schedule column for certificated
personnel who meet the criteria set forth in subdivision (a). All
other salary schedule cells shall exceed the level set forth in
paragraph (1) for personnel that meet the criteria in subdivision
(a).
(c) In the 1999-2000 fiscal year, the Superintendent shall divide
the amount appropriated for the purposes of this section by the
1998-99 second principal apportionment average daily attendance for
all county offices of education in the state. Each county office of
education that certifies to the Superintendent that it is in full
compliance with this section shall receive following that
certification an amount equal to the results of the calculation
multiplied by the participating county office's 1998-99 second
principal apportionment average daily attendance.
(d) For the 2000-01 fiscal year and each fiscal year thereafter,
for each county office of education that meets the requirements of
subdivision (b), the Superintendent shall add the sum of paragraphs
(1) and (2) to the county office of education revenue limit computed
pursuant to Section 2550.
(1) Annually increase the statewide average funding rate per unit
of average daily attendance calculated pursuant to subdivision (c) by
the percentage increase identified pursuant to Section 2557 and
multiply the resulting product by the county office of education's
second period average daily attendance for the prior fiscal year
excluding attendance in regional occupational centers or programs,
adult education programs, and charter schools participating in the
charter school block grant pursuant to Article 2 (commencing with
Section 47633) of Chapter 6 of Part 26.8 of Division 4.
(2) Annually increase the statewide average funding rate per unit
of average daily attendance calculated pursuant to subdivision (c) by
the percentage increase identified pursuant to Section 2557 and
multiply the resulting product by the county office of education's
second period average daily attendance for the prior fiscal year in
regional occupational centers or programs excluding attendance in
charter schools participating in the charter school block grant
pursuant to Article 2 (commencing with Section 47633) of Chapter 6 of
Part 26.8 of Division 4.
(3) For purposes of the calculation required by paragraph (2), in
the 2008-09, 2009-10, 2010-11, 2011-12, 2012-13, 2013-14, and 2014-15
fiscal years, the second period average daily attendance for the
prior fiscal year shall be the second period average daily attendance
for the 2007-08 fiscal year.
(e) The adjustment to the county office of education revenue limit
prescribed in subdivision (d) shall continue so long as the increase
in the salary schedule made pursuant to paragraph (2) of subdivision
(b) is maintained.
(f) The adjustment made to county office of education revenue
limits pursuant to subdivision (d) shall not be considered part of
the base revenue limit for purposes of computing equalization
adjustments or determining other differences in school funding that
are based on the amount of funding received by a school district or
county office of education.
(g) This section shall become operative on July 1, 2010.
SEC. 30. Section 46201.2 of the Education Code is amended to read:

46201.2. (a) Commencing with the 2009-10 school year and
continuing through the 2014-15 school year, a school district, county
office of education, or charter school may reduce the equivalent of
up to five days of instruction or the equivalent number of
instructional minutes without incurring the penalties set forth in
Sections 41420, 46200, 46200.5, 46201, 46201.5, 46202, and 47612.5. A
school district, county office of education, or charter school shall
receive revenue limit funding based on the adjustments prescribed
pursuant to Section 42238.146 whether or not it reduces the number of
schooldays or instructional minutes.
(b) This section shall become inoperative on July 1, 2015, and, as
of January 1, 2016, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2016, deletes or
extends the dates on which it becomes inoperative and is repealed.
SEC. 31. Section 52124.3 of the Education Code is amended to read:

52124.3. (a) For the 2008-09, 2009-10, 2010-11, 2011-12, 2012-13,
and 2013-14 fiscal years only, the amounts deducted pursuant to
subdivision (d) of Section 52124 shall be as follows:
(1) Five percent of the amount to which the school district would
otherwise be eligible for each class for which the annual average
enrollment determined pursuant to Section 52124.5 is greater than or
equal to 20.5 but less than 21.5.
(2) Ten percent of the amount to which the school district would
otherwise be eligible for each class for which the annual average
enrollment determined pursuant to Section 52124.5 is greater than or
equal to 21.5 but less than 22.5.
(3) Fifteen percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 22.5 but less than 23.0.
(4) Twenty percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 23.0 but less than 25.0.
(5) Thirty percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 25.0.
(b) For the 2008-09, 2009-10, 2010-11, 2011-12, 2012-13, and
2013-14 fiscal years, a local educational agency is eligible to
receive funding pursuant to this chapter only for the same number of
classes for which it had applied to receive program funding as of
January 31, 2009. A local educational agency that meets these
criteria is eligible for reduced funding under this section only for
the number of classes reported on its 2008-09 operations application
and is not eligible for funds under this chapter for classes in
addition to that number.
SEC. 32. Section 60200.7 of the Education Code is amended to read:

60200.7. Notwithstanding Sections 60200 and 60200.1, the state
board shall not adopt instructional materials or follow the
procedures adopted pursuant to Sections 60200 and 60200.1 until the
2015-16 school year.
SEC. 33. Section 60422.1 of the Education Code, as amended by
Section 29 of Chapter 2 of the Fourth Extraordinary Session of the
Statutes of 2009, is amended and renumbered to read:
60422.3. (a) Notwithstanding subdivision (i) of Section 60200,
Section 60422, or any other provision of law, for the 2008-09 to the
2014-15 fiscal years, inclusive, the governing board of a school
district is not required to provide pupils with instructional
materials by a specified period of time following adoption of those
materials by the state board.
(b) Notwithstanding subdivision (a), this section does not relieve
school districts of their obligations to provide every pupil with
textbooks or instructional materials, as provided in Section 1240.3.
(c) This section does not relieve school districts of the
obligation to hold a public hearing or hearings pursuant to
subparagraphs (A) and (B) of paragraph (1) of subdivision (a) of
Section 60119.
(d) This section shall become inoperative on July 1, 2015, and, as
of January 1, 2016, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2016, deletes or
extends the dates on which it becomes inoperative and is repealed.
SEC. 34. Section 69432.7 of the Education Code is amended to read:

69432.7. As used in this chapter, the following terms have the
following meanings:
(a) An "academic year" is July 1 to June 30, inclusive. The
starting date of a session shall determine the academic year in which
it is included.
(b) "Access costs" means living expenses and expenses for
transportation, supplies, and books.
(c) "Award year" means one academic year, or the equivalent, of
attendance at a qualifying institution.
(d) "College grade point average" and "community college grade
point average" mean a grade point average calculated on the basis of
all college work completed, except for nontransferable units and
courses not counted in the
computation for admission to a California public institution of
higher education that grants a baccalaureate degree.
(e) "Commission" means the Student Aid Commission.
(f) "Enrollment status" means part- or full-time status.
(1) "Part time," for purposes of Cal Grant eligibility, means 6 to
11 semester units, inclusive, or the equivalent.
(2) "Full time," for purposes of Cal Grant eligibility, means 12
or more semester units or the equivalent.
(g) "Expected family contribution," with respect to an applicant,
shall be determined using the federal methodology pursuant to
subdivision (a) of Section 69506 (as established by Title IV of the
federal Higher Education Act of 1965, as amended (20 U.S.C. Sec. 1070
et seq.)) and applicable rules and regulations adopted by the
commission.
(h) "High school grade point average" means a grade point average
calculated on a 4.0 scale, using all academic coursework, for the
sophomore year, the summer following the sophomore year, the junior
year, and the summer following the junior year, excluding physical
education, reserve officer training corps (ROTC), and remedial
courses, and computed pursuant to regulations of the commission.
However, for high school graduates who apply after their senior year,
"high school grade point average" includes senior year coursework.
(i) "Instructional program of not less than one academic year"
means a program of study that results in the award of an associate or
baccalaureate degree or certificate requiring at least 24 semester
units or the equivalent, or that results in eligibility for transfer
from a community college to a baccalaureate degree program.
(j) "Instructional program of not less than two academic years"
means a program of study that results in the award of an associate or
baccalaureate degree requiring at least 48 semester units or the
equivalent, or that results in eligibility for transfer from a
community college to a baccalaureate degree program.
(k) "Maximum household income and asset levels" means the
applicable household income and household asset levels for
participants, including new applicants and renewing recipients, in
the Cal Grant Program, as defined and adopted in regulations by the
commission for the 2001-02 academic year, which shall be set pursuant
to the following income and asset ceiling amounts:
CAL GRANT PROGRAM INCOME CEILINGS


+--------------------+--------------+--------------+
| Cal Grant |
| A, |
| C, and T Cal Grant B |
+--------------------+--------------+--------------+
|Dependent and Independent students with |
|dependents* |
+--------------------+--------------+--------------+
|Family Size |
+--------------------+--------------+--------------+
| Six or more $74,100 $40,700 |
+--------------------+--------------+--------------+
| Five$68,700 $37,700 |
+--------------------+--------------+--------------+
| Four$64,100 $33,700 |
+--------------------+--------------+--------------+
| Three $59,000 $30,300 |
+--------------------+--------------+--------------+
| Two $57,600 $26,900 |
+--------------------+--------------+--------------+
|Independent |
+--------------------+--------------+--------------+
| Single, no $23,500 $23,500 |
|dependents|
+--------------------+--------------+--------------+
| Married $26,900 $26,900 |
+--------------------+--------------+--------------+


*Applies to independent students with dependents other than a
spouse.
CAL GRANT PROGRAM ASSET CEILINGS


+----------------------+-------------+-------------+
| Cal Grant |
| A, |
| C, and T Cal Grant B |
+----------------------+-------------+-------------+
|Dependent** $49,600 $49,600 |
+----------------------+-------------+-------------+
|Independent $23,600 $23,600 |
+----------------------+-------------+-------------+


**Applies to independent students with dependents other than a
spouse.


The commission shall annually adjust the maximum household income
and asset levels based on the percentage change in the cost of living
within the meaning of paragraph (1) of subdivision (e) of Section 8
of Article XIII B of the California Constitution. The maximum
household income and asset levels applicable to a renewing recipient
shall be the greater of the adjusted maximum household income and
asset levels or the maximum household income and asset levels at the
time of the renewing recipient's initial Cal Grant award. For a
recipient who was initially awarded a Cal Grant for an academic year
before the 2011-12 academic year, the maximum household income and
asset levels shall be the greater of the adjusted maximum household
income and asset levels or the 2010-11 academic year maximum
household income and asset levels. An applicant or renewal recipient
who qualifies to be considered under the simplified needs test
established by federal law for student assistance shall be presumed
to meet the asset level test under this section. Prior to disbursing
any Cal Grant funds, a qualifying institution shall be obligated,
under the terms of its institutional participation agreement with the
commission, to resolve any conflicts that may exist in the data the
institution possesses relating to that individual.
(l) (1) "Qualifying institution" means an institution that
complies with paragraphs (2) and (3) and is any of the following:
(A) A California private or independent postsecondary educational
institution that participates in the Pell Grant Program and in at
least two of the following federal campus-based student aid programs:

(i) Federal Work-Study.
(ii) Perkins Loan Program.
(iii) Supplemental Educational Opportunity Grant Program.
(B) A nonprofit institution headquartered and operating in
California that certifies to the commission that 10 percent of the
institution's operating budget, as demonstrated in an audited
financial statement, is expended for the purposes of institutionally
funded student financial aid in the form of grants, that demonstrates
to the commission that it has the administrative capacity to
administer the funds, that is accredited by the Western Association
of Schools and Colleges, and that meets any other state-required
criteria adopted by regulation by the commission in consultation with
the Department of Finance. A regionally accredited institution that
was deemed qualified by the commission to participate in the Cal
Grant Program for the 2000-01 academic year shall retain its
eligibility as long as it maintains its existing accreditation
status.
(C) A California public postsecondary educational institution.
(2) (A) The institution shall provide information on where to
access California license examination passage rates for the most
recent available year from graduates of its undergraduate programs
leading to employment for which passage of a California licensing
examination is required, if that data is electronically available
through the Internet Web site of a California licensing or regulatory
agency. For purposes of this paragraph, "provide" may exclusively
include placement of an Internet Web site address labeled as an
access point for the data on the passage rates of recent program
graduates on the Internet Web site where enrollment information is
also located, on an Internet Web site that provides centralized
admissions information for postsecondary educational systems with
multiple campuses, or on applications for enrollment or other program
information distributed to prospective students.
(B) The institution shall be responsible for certifying to the
commission compliance with the requirements of subparagraph (A).
(3) (A) The commission shall certify by October 1 of each year the
institution's latest three-year cohort default rate as most recently
reported by the United States Department of Education.
(B) For purposes of the 2011-12 academic year, an otherwise
qualifying institution with a 2008 trial three-year cohort default
rate reported by the United States Department of Education as of
February 28, 2011, that is equal to or greater than 24.6 percent
shall be ineligible for initial and renewal Cal Grant awards at the
institution, except as provided in subparagraph (F).
(C) For purposes of the 2012-13 academic year, and every academic
year thereafter, an otherwise qualifying institution with a
three-year cohort default rate that is equal to or greater than 30
percent, as certified by the commission on October 1, 2011, and every
year thereafter, shall be ineligible for initial or renewal Cal
Grant awards at the institution, except as provided in subparagraph
(F).
(D) (i) An otherwise qualifying institution that becomes
ineligible under this paragraph for initial and renewal Cal Grant
awards may regain its eligibility for the academic year following an
academic year in which it satisfies the requirements established in
subparagraph (B) or (C), as applicable.
(ii) If the United States Department of Education corrects or
revises an institution's three-year cohort default rate that
originally failed to satisfy the requirements established in
subparagraph (B) or (C), as applicable, and the correction or
revision results in the institution's three-year cohort default rate
satisfying those requirements, that institution shall immediately
regain its eligibility for the academic year to which the corrected
or revised three-year cohort default rate would have been applied.
(E) An otherwise qualifying institution for which no three-year
cohort default rate has been reported by the United States Department
of Education shall be provisionally eligible to participate in the
Cal Grant Program until a three-year cohort default rate has been
reported for the institution by the United States Department of
Education.
(F) An institution that is ineligible for initial and renewal Cal
Grant awards at the institution under subparagraph (B) or (C) shall
be eligible for renewal Cal Grant awards for recipients who were
enrolled in the ineligible institution during the academic year
before the academic year for which the institution is ineligible and
who choose to renew their Cal Grant awards to attend the ineligible
institution. Cal Grant awards subject to this subparagraph shall be
reduced as follows:
(i) The maximum Cal Grant A and B awards specified in the annual
Budget Act shall be reduced by 20 percent.
(ii) The reductions specified in this subparagraph shall not
impact access costs as specified in subdivision (b) of Section 69435.

(G) Notwithstanding any other law, the requirements of this
paragraph shall not apply to institutions with 40 percent or less of
undergraduate students borrowing federal student loans, using
information reported to the United States Department of Education for
the academic year two years prior to the year in which the
commission is certifying the three-year cohort default rate pursuant
to subparagraph (A).
(H) By January 1, 2013, the Legislative Analyst shall submit to
the Legislature a report on the implementation of this paragraph. The
report shall be prepared in consultation with the commission, and
shall include policy recommendations for appropriate measures of
default risk and other direct or indirect measures of quality or
effectiveness in educational institutions participating in the Cal
Grant Program, and appropriate scores for those measures. It is the
intent of the Legislature that appropriate policy and fiscal
committees review the requirements of this paragraph and consider
changes thereto.
(m) "Satisfactory academic progress" means those criteria required
by applicable federal standards published in Title 34 of the Code of
Federal Regulations. The commission may adopt regulations defining
"satisfactory academic progress" in a manner that is consistent with
those federal standards.
SEC. 35. Section 69432.9 of the Education Code is amended to read:

69432.9. (a) A Cal Grant applicant shall submit a complete
official financial aid application pursuant to Section 69433 and
applicable regulations adopted by the commission.
(b) Financial need shall be determined to establish an applicant's
initial eligibility for a Cal Grant award and a renewing recipient's
continued eligibility using the federal financial need methodology
pursuant to subdivision (a) of Section 69506 and applicable
regulations adopted by the commission, and as established by Title IV
of the federal Higher Education Act of 1965, as amended (20 U.S.C.
Secs. 1070 et seq.).
(1) "Expected family contribution," with respect to an applicant
or renewing recipient shall be determined using the federal
methodology pursuant to subdivision (a) of Section 69506 (as
established by Title IV of the federal Higher Education Act of 1965,
as amended (20 U.S.C. Secs. 1070 et seq.)) and applicable rules and
regulations adopted by the commission.
(2) "Financial need" means the difference between the student's
cost of attendance as determined by the commission and the expected
family contribution. The calculation of financial need shall be
consistent with Title IV of the federal Higher Education Act of 1965,
as amended (20 U.S.C. Secs. 1070 et seq.).
(3) (A) The minimum financial need required for receipt of an
initial and renewal Cal Grant A or Cal Grant C award shall be no less
than the maximum annual award value for the applicable institution,
plus an additional one thousand five hundred dollars ($1,500) of
financial need.
(B) The minimum financial need required for receipt of an initial
and renewal Cal Grant B award shall be no less than seven hundred
dollars ($700).
(c) The commission shall require that a grade point average be
submitted for all Cal Grant A and B applicants, except for those
permitted to provide test scores in lieu of a grade point average.
The commission shall require that each report of a grade point
average include a certification, executed under penalty of perjury,
by a school official, that the grade point average reported is
accurately reported. The certification shall include a statement that
it is subject to review by the commission or its designee. The
commission shall adopt regulations that establish a grace period for
receipt of the grade point average and any appropriate corrections,
and that set forth the circumstances under which a student may submit
a specified test score designated by the commission, by regulation,
in lieu of submitting a qualifying grade point average. It is the
intent of the Legislature that high schools and institutions of
higher education certify the grade point averages of their students
in time to meet the application deadlines imposed by this chapter.
SEC. 36. Section 69433.2 is added to the Education Code, to read:
69433.2. As a condition for its voluntary participation in the
Cal Grant Program, each Cal Grant participating institution shall,
beginning in 2012, annually report to the commission, and as further
specified in the institutional participation agreement, both of the
following for its undergraduate programs:
(a) Enrollment, persistence, and graduation data for all students,
including aggregate information on Cal Grant recipients.
(b) The job placement rate and salary and wage information for
each program that is either (1) designed or advertised to lead to a
particular type of job; or (2) advertised or promoted with any claim
regarding job placement.
SEC. 37. Section 69433.6 of the Education Code is amended to read:

69433.6. (a) Cal Grant A awards and Cal Grant B awards may be
renewed for a total of the equivalent of four years of full-time
attendance in an undergraduate program provided that minimum
financial need as defined in paragraph (3) of subdivision (b) of
Section 69432.9 continues to exist. Commencing with the 2001-02
academic year, the total number of years of eligibility for grants
pursuant to this section shall be based on the student's educational
level in his or her course of study as designated by the institution
of attendance when the recipient initially receives payment for a
grant.
(b) For a student enrolled in an institutionally prescribed
five-year undergraduate program, Cal Grant A awards and Cal Grant B
awards may be renewed for a total of five years of full-time
attendance, provided that minimum financial need, as defined in
paragraph (3) of subdivision (b) of Section 69432.9, continues to
exist.
(c) (1) A Cal Grant Program award recipient who has completed a
baccalaureate degree, and who has been admitted to and is enrolled in
a program of professional teacher preparation at an institution
approved by the California Commission on Teacher Credentialing is
eligible for, but not entitled to, renewal of a Cal Grant Program
award for an additional year of full-time attendance, if minimum
financial need, as defined in paragraph (3) of subdivision (b) of
Section 69432.9, continues to exist.
(2) Payment for an additional year is limited to only those
courses required for an initial teaching authorization. An award made
under this subdivision may not be used for other courses.
(d) A student's Cal Grant renewal eligibility shall not have
lapsed more than 15 months prior to the payment of an award for
purposes of this section.
SEC. 38. Section 76243 of the Education Code is amended to read:
76243. (a) A community college or community college district is
not authorized to permit access to student records to any person
without the written consent of the student or unless pursuant to
judicial order, except that access may be permitted to the following:

(1) Officials and employees of the community college, if they have
a legitimate educational interest to inspect a record.
(2) Authorized representatives of the Comptroller General of the
United States, the Secretary of Health, Education, and Welfare, an
administrative head of an education agency, state education
officials, or their respective designees or the United States Office
of Civil Rights, where that information is necessary to audit or
evaluate a state or federally supported education program or pursuant
to a federal or state law, except that when the collection of
personally identifiable information is specifically authorized by
federal law, any data collected by those officials shall be protected
in a manner that will not permit the personal identification of
students or their parents by other than those officials, and any
personally identifiable data shall be destroyed when no longer needed
for that audit, evaluation, and enforcement of federal legal
requirements.
(3) Other state and local officials or authorities to the extent
that information is specifically required to be reported pursuant to
state law adopted prior to November 19, 1974.
(4) Officials of other public or private schools or school
systems, including local, county, or state correctional facilities
where educational programs are provided, where the student seeks or
intends to enroll, or is directed to enroll, subject to the rights of
students as provided in Section 76225.
(5) Agencies or organizations in connection with a student's
application for, or receipt of, financial aid, provided that
information permitting the personal identification of students may be
disclosed only as may be necessary for those purposes as to
determine the eligibility of the student for financial aid, to
determine the amount of the financial aid, to determine the
conditions that will be imposed regarding the financial aid, or to
enforce the terms or conditions of the financial aid.
(6) Accrediting organizations in order to carry out their
accrediting functions.
(7) Organizations conducting studies for, or on behalf of,
educational agencies or institutions for the purpose of developing,
validating, or administering predictive tests, administering student
aid programs, and improving instruction, if those studies are
conducted in such a manner as will not permit the personal
identification of students or their parents by persons other than
representatives of those organizations and the information will be
destroyed when no longer needed for the purpose for which it is
conducted.
(8) (A) Appropriate persons in connection with an emergency if the
knowledge of that information is necessary to protect the health or
safety of a student or other persons, or subject to any regulations
issued by the Secretary of Health, Education, and Welfare.
(B) A person, persons, agency, or organization permitted access to
student records pursuant to this section shall not permit access to
any information obtained from those records by any other person,
persons, agency, or organization, except to the extent permitted
under the federal Family Educational Rights and Privacy Act (20
U.S.C. Sec. 1232g) and state law, without the written consent of the
student, provided that this subparagraph shall not require prior
student consent when information obtained pursuant to this section is
shared with other persons within the educational institution, agency
or organization obtaining access, so long as those persons have a
legitimate educational interest in the information.
(b) The alleged victim of any sexual assault or physical abuse,
including rape, forced sodomy, forced oral copulation, rape by a
foreign object, sexual battery, or threat or assault, or any conduct
that threatens the health and safety of the alleged victim, which is
the basis of any disciplinary action taken by a community college,
shall be permitted access to that information. For the purposes of
this subdivision, access to student record information shall be in
the form of notice of the results of any disciplinary action by the
community college and the results of any appeal, which shall be
provided to the alleged victim within three days following that
disciplinary action or appeal. The alleged victim shall keep the
results of that disciplinary action and appeal confidential.
SEC. 39. Section 76300 of the Education Code is amended to read:
76300. (a) The governing board of each community college district
shall charge each student a fee pursuant to this section.
(b) (1) The fee prescribed by this section shall be thirty-six
dollars ($36) per unit per semester, effective with the fall term of
the 2011-12 academic year.
(2) The board of governors shall proportionately adjust the amount
of the fee for term lengths based upon a quarter system, and also
shall proportionately adjust the amount of the fee for summer
sessions, intersessions, and other short-term courses. In making
these adjustments, the board of governors may round the per unit fee
and the per term or per session fee to the nearest dollar.
(c) For the purposes of computing apportionments to community
college districts pursuant to Section 84750.5, the board of governors
shall subtract, from the total revenue owed to each district, 98
percent of the revenues received by districts from charging a fee
pursuant to this section.
(d) The board of governors shall reduce apportionments by up to 10
percent to any district that does not collect the fees prescribed by
this section.
(e) The fee requirement does not apply to any of the following:
(1) Students enrolled in the noncredit courses designated by
Section 84757.
(2) California State University or University of California
students enrolled in remedial classes provided by a community college
district on a campus of the University of California or a campus of
the California State University, for whom the district claims an
attendance apportionment pursuant to an agreement between the
district and the California State University or the University of
California.
(3) Students enrolled in credit contract education courses
pursuant to Section 78021, if the entire cost of the course,
including administrative costs, is paid by the public or private
agency, corporation, or association with which the district is
contracting and if these students are not included in the calculation
of the full-time equivalent students (FTES) of that district.
(f) The governing board of a community college district may exempt
special part-time students admitted pursuant to Section 76001 from
the fee requirement.
(g) (1) The fee requirements of this section shall be waived for
any student who, at the time of enrollment, is a recipient of
benefits under the Temporary Assistance to Needy Families program,
the Supplemental Security Income/State Supplementary Program, or a
general assistance program or has demonstrated financial need in
accordance with the methodology set forth in federal law or
regulation for determining the expected family contribution of
students seeking financial aid.
(2) The governing board of a community college district also shall
waive the fee requirements of this section for any student who
demonstrates eligibility according to income standards established by
regulations of the board of governors.
(3) Paragraphs (1) and (2) may be applied to a student enrolled in
the 2005-06 academic year if the student is exempted from
nonresident tuition under paragraph (3) of subdivision (a) of Section
76140.
(h) The fee requirements of this section shall be waived for any
student who, at the time of enrollment, is a dependent, or surviving
spouse who has not remarried, of any member of the California
National Guard who, in the line of duty and while in the active
service of the state, was killed, died of a disability resulting from
an event that occurred while in the active service of the state, or
is permanently disabled as a result of an event that occurred while
in the active service of the state. "Active service of the state,"
for the purposes of this subdivision, refers to a member of the
California National Guard activated pursuant to Section 146 of the
Military and Veterans Code.
(i) The fee requirements of this section shall be waived for any
student who is the surviving spouse or the child, natural or adopted,
of a deceased person who met all of the requirements of Section
68120.
(j) The fee requirements of this section shall be waived for any
student in an undergraduate program, including a student who has
previously graduated from
another undergraduate or graduate program, who is the dependent of
any individual killed in the September 11, 2001, terrorist attacks on
the World Trade Center and the Pentagon or the crash of United
Airlines Flight 93 in southwestern Pennsylvania, if that dependent
meets the financial need requirements set forth in Section 69432.7
for the Cal Grant A Program and either of the following applies:
(1) The dependent was a resident of California on September 11,
2001.
(2) The individual killed in the attacks was a resident of
California on September 11, 2001.
(k) A determination of whether a person is a resident of
California on September 11, 2001, for purposes of subdivision (j)
shall be based on the criteria set forth in Chapter 1 (commencing
with Section 68000) of Part 41 of Division 5 for determining
nonresident and resident tuition.
(l) (1) "Dependent," for purposes of subdivision (j), is a person
who, because of his or her relationship to an individual killed as a
result of injuries sustained during the terrorist attacks of
September 11, 2001, qualifies for compensation under the federal
September 11th Victim Compensation Fund of 2001 (Title IV (commencing
with Section 401) of Public Law 107-42).
(2) A dependent who is the surviving spouse of an individual
killed in the terrorist attacks of September 11, 2001, is entitled to
the waivers provided in this section until January 1, 2013.
(3) A dependent who is the surviving child, natural or adopted, of
an individual killed in the terrorist attacks of September 11, 2001,
is entitled to the waivers under subdivision (j) until that person
attains the age of 30 years.
(4) A dependent of an individual killed in the terrorist attacks
of September 11, 2001, who is determined to be eligible by the
California Victim Compensation and Government Claims Board, is also
entitled to the waivers provided in this section until January 1,
2013.
(m) (1) It is the intent of the Legislature that sufficient funds
be provided to support the provision of a fee waiver for every
student who demonstrates eligibility pursuant to subdivisions (g) to
(j), inclusive.
(2) From funds provided in the annual Budget Act, the board of
governors shall allocate to community college districts, pursuant to
this subdivision, an amount equal to 2 percent of the fees waived
pursuant to subdivisions (g) to (j), inclusive. From funds provided
in the annual Budget Act, the board of governors shall allocate to
community college districts, pursuant to this subdivision, an amount
equal to ninety-one cents ($0.91) per credit unit waived pursuant to
subdivisions (g) to (j), inclusive. It is the intent of the
Legislature that funds provided pursuant to this subdivision be used
to support the determination of financial need and delivery of
student financial aid services, on the basis of the number of
students for whom fees are waived. It also is the intent of the
Legislature that the funds provided pursuant to this subdivision
directly offset mandated costs claimed by community college districts
pursuant to Commission on State Mandates consolidated Test Claims
99-TC-13 (Enrollment Fee Collection) and 00-TC-15 (Enrollment Fee
Waivers). Funds allocated to a community college district for
determination of financial need and delivery of student financial aid
services shall supplement, and shall not supplant, the level of
funds allocated for the administration of student financial aid
programs during the 1992-93 fiscal year.
(n) The board of governors shall adopt regulations implementing
this section.
SEC. 40. Section 84043 of the Education Code is amended to read:
84043. (a) (1) Notwithstanding any other provision of law, and
unless otherwise prohibited under federal law, for the 2009-10 to
2014-15 fiscal years, inclusive, community college districts may use
funding received, pursuant to subdivision (b), from any of the
programs listed in paragraph (2) that are contained in Item
6870-101-0001 of Section 2.00 of the annual Budget Act, for the
purposes of any of the programs contained in Schedule (2) and
Schedules (4) to (23), inclusive, of Item 6870-101-0001 of Section
2.00 of the Budget Act of 2009.
(2) (A) Apprenticeship.
(B) Matriculation.
(C) Academic Senate for the Community Colleges.
(D) Equal Employment Opportunity.
(E) Part-time Faculty Health Insurance.
(F) Part-time Faculty Compensation.
(G) Part-time Faculty Office Hours.
(H) Economic Development.
(I) Transfer Education and Articulation.
(J) Physical Plant and Instructional Support.
(K) Campus Childcare Tax Bailout.
(b) For the 2009-10 to 2014-15 fiscal years, inclusive, the
chancellor shall apportion from the amounts provided in the annual
Budget Act for the programs enumerated in paragraph (2) of
subdivision (a), an amount to a community college district, based on
the same relative proportion that the district received in the
2008-09 fiscal year for the programs enumerated in paragraph (2) of
subdivision (a). The amounts allocated shall be adjusted for any
greater or lesser amount appropriated for the items enumerated in
paragraph (2) of subdivision (a).
(c) (1) This section does not obligate the state to refund or
repay reductions made pursuant to this section. A decision by a
district to reduce funding pursuant to this section for a
state-mandated local program shall constitute a waiver of the
subvention of funds that the district is otherwise entitled to
pursuant to Section 6 of Article XIII B of the California
Constitution on the amount so reduced.
(2) If a community college district elects to use funding received
pursuant to subdivision (b) in the manner authorized pursuant to
subdivision (a), the governing board of the district shall, at a
regularly scheduled open public hearing, take testimony from the
public, discuss, and shall approve or disapprove the proposed use of
funding.
(3) (A) If a community college district elects to use funding
received pursuant to subdivision (b) in the manner authorized
pursuant to subdivision (a), the district shall continue to report
the expenditures pursuant to this section by using the appropriate
codes to indicate the activities for which these funds were expended
using the existing standard reporting process as determined by the
chancellor.
(B) The chancellor shall collect the information in subparagraph
(A) and shall provide that information to the Department of Finance
and to the appropriate policy and budget committees of the
Legislature on or before April 15, 2010, and annually thereafter by
April 15 of each year, through 2016.
(d) For the 2009-10 to 2014-15 fiscal years, inclusive, community
college districts that elect to use funding in the manner authorized
pursuant to subdivision (a) shall be deemed to be in compliance with
the program and funding requirements contained in statutory,
regulatory, and provisional language, associated with the programs
enumerated in subdivision (a).
SEC. 41. Section 84321.6 of the Education Code is amended to read:

84321.6. (a) Notwithstanding any other law that governs the
regulations adopted by the Chancellor of the California Community
Colleges to disburse funds, the payment of apportionments to
districts pursuant to Sections 84320 and 84321 shall be adjusted by
the following:
(1) For the month of June, two hundred twenty-one million five
hundred thousand dollars ($221,500,000) shall be deferred to July.
(2) For the month of May, one hundred twenty-four million five
hundred thousand dollars ($124,500,000) shall be deferred, of which
one hundred three million dollars ($103,000,000) shall be deferred to
July and twenty-one million five hundred thousand dollars
($21,500,000) shall be deferred to October.
(3) For the month of April, one hundred seventy-nine million five
hundred thousand dollars ($179,500,000) shall be deferred, of which
one hundred fifty-eight million dollars ($158,000,000) shall be
deferred to July and twenty-one million five hundred thousand dollars
($21,500,000) shall be deferred to October.
(4) For the month of March, one hundred nineteen million five
hundred thousand dollars ($119,500,000) shall be deferred, of which
seventy-six million five hundred thousand dollars ($76,500,000) shall
be deferred to July and forty-three million dollars ($43,000,000)
shall be deferred to October.
(5) For the month of February, one hundred fifty-eight million
dollars ($158,000,000) shall be deferred, of which one hundred
thirty-six million five hundred thousand dollars ($136,500,000) shall
be deferred to July and twenty-one million five hundred thousand
dollars ($21,500,000) shall be deferred to October.
(6) For the month of January, one hundred fifty-eight million
dollars ($158,000,000) shall be deferred, of which one hundred
thirty-six million five hundred thousand dollars ($136,500,000) shall
be deferred to July and twenty-one million five hundred thousand
dollars ($21,500,000) shall be deferred to October.
(b) The sum of nine hundred sixty-one million dollars
($961,000,000) is hereby appropriated from the General Fund to the
Board of Governors of the California Community Colleges for
apportionments to community college districts, for expenditure during
the 2012-13 fiscal year, to be expended in accordance with Schedule
(1) of Item 6870-101-0001 of Section 2.00 of the Budget Act of 2010.
(c) Of the funds appropriated in subdivision (b), eight hundred
thirty-two million dollars ($832,000,000) shall be allocated in July
of the 2012-13 fiscal year and one hundred twenty-nine million
dollars ($129,000,000) shall be allocated in October in satisfaction
of the moneys deferred pursuant to subdivision (a).
(d) For the purposes of making the computations required by
Section 8 of Article XVI of the California Constitution, the
appropriations made by subdivision (b) shall be deemed to be "General
Fund revenues appropriated for community college districts," as
defined in subdivision (d) of Section 41202, for the 2012-13 fiscal
year, and included within the "total allocations to school districts
and community college districts from General Fund proceeds of taxes
appropriated pursuant to Article XIII B," as defined in subdivision
(e) of Section 41202, for the 2012-13 fiscal year.
SEC. 42. Section 84321.7 is added to the Education Code, to read:
84321.7. (a) Commencing with the 2011-12 fiscal year, up to
thirteen million dollars ($13,000,000) of the amount of the warrants
for the principal apportionments for the month of June, that are
instead to be drawn in July pursuant to Section 84321.6, may be drawn
in June, subject to the approval of the Director of Finance, for a
community college district as follows:
(1) In order for a community college district to receive a payment
in June pursuant to this section, the community college district
shall certify to the Office of the Chancellor of the California
Community Colleges and to the Director of Finance on or before April
1 that the deferral of warrants pursuant to Section 84321.6 will
result in the community college district being unable to meet its
financial obligations for June and shall provide the Office of the
Chancellor of the California Community Colleges an estimate of the
amount of additional funds necessary for the community college
district to meet its financial obligations for the month of June.
(2) The criteria, as applicable, set forth in statute and
regulations to qualify a community college district for an emergency
apportionment shall be used to make the certification specified in
paragraph (1).
(3) A community college district may receive, pursuant to this
section, no more than the lesser of the following:
(A) The total amount of additional funds necessary for the
community college district to meet its financial obligations for the
month of June, as reported to the Office of the Chancellor of the
California Community Colleges pursuant to paragraph (1).
(B) The total payments the community college district is entitled
to receive in July for the prior fiscal year.
(b) If the total amount requested by community college districts
pursuant to paragraph (3) of subdivision (a) exceeds thirteen million
dollars ($13,000,000), the Controller, the Treasurer, and the
Director of Finance may authorize additional payments to meet these
requests, but total payments to community college districts pursuant
to this section shall not exceed thirty-nine million dollars
($39,000,000). No later than May 1, the Controller, the Treasurer,
and the Director of Finance shall determine whether sufficient cash
is available to make payments in excess of thirteen million dollars
($13,000,000) to a community college district. In making the
determination that cash is sufficient to make additional payments, in
whole or in part, the Controller, Treasurer, and Director of Finance
shall consider costs for state government, the scope of any
identified cash shortage, timing, achievability, legislative
direction, and the impact and hardship imposed on potentially
affected programs, entities, and related public services. The
Department of Finance shall notify the Joint Legislative Budget
Committee within 10 days of this determination and identify the total
amount of requests that will be paid.
(c) If the total amount of cash made available pursuant to
subdivision (b) is less than the amount requested pursuant to
paragraph (2) of subdivision (a), payments to community college
districts shall be prioritized according to the date on which
notification was provided to the Office of the Chancellor of the
California Community Colleges and the Department of Finance.
(d) Payments pursuant to this section shall be made no later than
June 20.
(e) Except as provided in subdivisions (c) and (e) of Section
41202, for purposes of making the computations required by Section 8
of Article XVI of the California Constitution, the warrants drawn
pursuant to subdivision (a) shall be deemed to be "General Fund
revenues appropriated for school districts," as defined in
subdivision (c) of Section 41202, for the fiscal year in which the
warrants are drawn and included within the "total allocations to
school districts and community college districts from General Fund
proceeds of taxes appropriated pursuant to Article XIII B," as
defined in subdivision (e) of Section 41202, for the fiscal year in
which the warrants are drawn.
SEC. 43. Section 11323.2 of the Welfare and Institutions Code is
amended to read:
11323.2. (a) Necessary supportive services shall be available to
every participant in order to participate in the program activity to
which he or she is assigned or to accept employment or the
participant shall have good cause for not participating under
subdivision (f) of Section 11320.3. As provided in the
welfare-to-work plan entered into between the county and participant
pursuant to this article, supportive services shall include all of
the following:
(1) Child care.
(A) Paid child care shall be available to every participant with a
dependent child in the assistance unit who needs paid child care if
the child is 10 years of age or under, or requires child care or
supervision due to a physical, mental, or developmental disability or
other similar condition as verified by the county welfare
department, or who is under court supervision.
(B) To the extent funds are available paid child care shall be
available to a participant with a dependent child in the assistance
unit who needs paid child care if the child is 11 or 12 years of age,
as specified in subdivision (a) of Section 8201 of, and subdivision
(i) of Section 8208 of, the Education Code.
(C) Necessary child care services shall be available to every
former recipient for up to two years, pursuant to Article 15.5
(commencing with Section 8350) of Chapter 2 of Part 6 of Division 1
of Title 1 of the Education Code.
(D) A child in foster care receiving benefits under Title IV-E of
the federal Social Security Act (42 U.S.C. Sec. 670 et seq.) or a
child who would become a dependent child except for the receipt of
federal Supplemental Security Income benefits pursuant to Title XVI
of the federal Social Security Act (42 U.S.C. Sec. 1381 et seq.)
shall be deemed to be a dependent child for the purposes of this
paragraph.
(E) The provision of care and payment rates under this paragraph
shall be governed by Article 15.5 (commencing with Section 8350) of
Chapter 2 of Part 6 of Division 1 of Title 1 of the Education Code.
Parent fees shall be governed by subdivisions (g) and (h) of Section
8263 of the Education Code.
(2) Transportation costs, which shall be governed by regional
market rates as determined in accordance with regulations established
by the department.
(3) Ancillary expenses, which shall include the cost of books,
tools, clothing specifically required for the job, fees, and other
necessary costs.
(4) Personal counseling. A participant who has personal or family
problems that would affect the outcome of the welfare-to-work plan
entered into pursuant to this article shall, to the extent available,
receive necessary counseling or therapy to help him or her and his
or her family adjust to his or her job or training assignment.
(b) If provided in a county plan, the county may continue to
provide case management and supportive services under this section to
former participants who become employed. The county may provide
these services for up to the first 12 months of employment to the
extent they are not available from other sources and are needed for
the individual to retain the employment.
SEC. 44. Item 6110-161-0001 of Section 2.00 of the Budget Act of
2010 is amended to read:
6110-161-0001--For local assistance,
Department of Education (Proposition
98), Program 10.60-Special Education
Programs for Exceptional Children........ 3,093,564,000
Schedule:
(1) 10.60.050.003-
Special education 3,022,847,00
instruction......... 0
(2) 10.60.050.080-Early
Education Program
for Individuals
with Exceptional
Needs............... 85,112,000
(3) Reimbursements for
Early Education
Program, Part C..... -14,395,000
Provisions:
1. Funds appropriated by this item
are for transfer by the
Controller to Section A of the
State School Fund, in lieu of
the amount that otherwise would
be appropriated for transfer
from the General Fund in the
State Treasury to Section A of
the State School Fund for the
2010-11 fiscal year pursuant to
Sections 14002 and 41301 of the
Education Code, for
apportionment pursuant to Part
30 (commencing with Section
56000) of Division 4 of Title 2
of the Education Code,
superseding all prior law.
2. Of the funds appropriated in
Schedule (1), up to $13,178,000,
plus any cost-of-living
adjustment, shall be available
for the purchase, repair, and
inventory maintenance of
specialized books, materials,
and equipment for pupils with
low-incidence disabilities, as
defined in Section 56026.5 of
the Education Code.
3. Of the funds appropriated in
Schedule (1), up to $10,058,000,
plus any cost-of-living
adjustment, shall be available
for the purposes of vocational
training and job placement for
special education pupils through
Project Workability I pursuant
to Article 3 (commencing with
Section 56470) of Chapter 4.5 of
Part 30 of Division 4 of Title 2
of the Education Code. As a
condition of receiving these
funds, each local educational
agency shall certify that the
amount of nonfederal resources,
exclusive of funds received
pursuant to this provision,
devoted to the provision of
vocational education for
special education pupils shall
be maintained at or above the
level provided in the 1984-85
fiscal year. The Superintendent
of Public Instruction may waive
this requirement for local
educational agencies that
demonstrate that the requirement
would impose a severe hardship.
4. Of the funds appropriated in
Schedule (1), up to $5,246,000,
plus any cost-of-living
adjustment (COLA), shall be
available for regional
occupational centers and
programs that serve pupils
having disabilities; up to
$88,410,000, plus any COLA,
shall be available for
regionalized program specialist
services; and up to $2,637,000,
plus any COLA, shall be
available for small special
education local plan areas
(SELPAs) pursuant to Section
56836.24 of the Education Code.
5. Of the funds appropriated in
Schedule (1), up to $3,000,000
is provided for extraordinary
costs associated with single
placements in nonpublic,
nonsectarian schools, pursuant
to Section 56836.21 of the
Education Code. Pursuant to
legislation, these funds shall
also provide reimbursement for
costs associated with pupils
residing in licensed children's
institutes.
6. Of the funds appropriated in
Schedule (1), up to
$198,344,000, plus any cost-of-
living adjustment (COLA), is
available to fund the costs of
children placed in licensed
children's institutions who
attend nonpublic schools based
on the funding formula
authorized in Chapter 914 of the
Statutes of 2004.
7. Funds available for infant units
shall be allocated with the
following average number of
pupils per unit:
(a) For special classes and
centers-- 16.
(b) For resource specialist
programs-- 24.
(c) For designated
instructional services--
16.
8. Notwithstanding any other
provision of law, early
education programs for infants
and toddlers shall be offered
for 200 days. Funds appropriated
in Schedule (2) shall be
allocated by the State
Department of Education for the
2010-11 fiscal year to those
programs receiving allocations
for instructional units pursuant
to Section 56432 of the
Education Code for the Early
Education Program for
Individuals with Exceptional
Needs operated pursuant to
Chapter 4.4 (commencing with
Section 56425) of Part 30 of
Division 4 of Title 2 of the
Education Code, based on
computing 200-day entitlements.
Notwithstanding any other
provision of law, funds in
Schedule (2) shall be used only
for the purposes specified in
Provisions 10 and 11.
9. Notwithstanding any other
provision of law, state funds
appropriated in Schedule (2) in
excess of the amount necessary
to fund the deficited
entitlements pursuant to Section
56432 of the Education Code and
Provision 10 shall be available
for allocation by the State
Department of Education to local
educational agencies for the
operation of programs serving
solely low-incidence infants and
toddlers pursuant to Title 14
(commencing with Section 95000)
of the Government Code. These
funds shall be allocated to each
local educational agency for
each solely low-incidence child
through age two in excess of the
number of solely low-incidence
children through age two served
by the local educational agency
during the 1992-93 fiscal year
and reported on the April 1993
pupil count. These funds shall
only be allocated if the amount
of reimbursement received from
the State Department of
Developmental Services is
insufficient to fully fund the
costs of operating the Early
Intervention Program, as
authorized by Title 14
(commencing with Section 95000)
of the Government Code.
10. The State Department of
Education, through coordination
with the special education local
plan areas, shall ensure local
interagency coordination and
collaboration in the provision
of early intervention services,
including local training
activities, child-find
activities, public awareness,
and the family resource center
activities.
11. Funds appropriated in this item,
unless otherwise specified, are
available for the sole purpose
of funding 2010-11 fiscal year
special education program costs
and shall not be used to fund
any prior year adjustments,
claims, or costs.
12. Of the amount provided in
Schedule (1), up to $188,000,
plus any cost-of-living
adjustment, shall be available
to fully fund the declining
enrollment of necessary small
special education local plan
areas pursuant to Chapter 551 of
the Statutes of 2001.
13. Pursuant to Section 56427 of the
Education Code, of the funds
appropriated in Schedule (1), up
to $2,324,000 may be used to
provide funding for infant
programs, and may be used for
those programs that do not
qualify for funding pursuant to
Section 56432 of the Education
Code.
14. Of the funds appropriated in
Schedule (1), up to $29,478,000
shall be allocated to local
educational agencies for the
purposes of Project Workability
I.
15. Of the funds appropriated in
Schedule (1), up to $1,700,000
shall be used to provide
specialized services to pupils
with low-incidence disabilities,
as defined in Section 56026.5 of
the Education Code.
16. Of the funds appropriated in
Schedule (1), up to $1,117,000
shall be used for a personnel

development program. This
program shall include state-
sponsored staff development for
special education personnel to
have the necessary content
knowledge and skills to serve
children with disabilities. This
funding may include training and
services targeting special
education teachers and related
service personnel that teach
core academic or multiple
subjects to meet the applicable
special education requirements
of the Individuals with
Disabilities Education
Improvement Act of 2004 (20
U.S.C. Sec. 1400 et seq.).
17. Of the funds appropriated in
Schedule (1), up to $200,000
shall be used for research and
training in cross-cultural
assessments.
18. Of the amount specified in
Schedule (1), up to $31,000,000
shall be used to provide mental
health services required by an
individual education plan
pursuant to the federal
Individuals with
Disabilities Education
Improvement Act of 2004 (20
U.S.C. Sec. 1400 et seq.) and
pursuant to Chapter 493 of the
Statutes of 2004.
19. Of the amount provided in
Schedule (1), $0 is to reflect a
cost-of-living adjustment.
20. Of the amount provided in
Schedule (2), $0 is to reflect a
cost-of-living adjustment.
21. Of the amount appropriated in
this item, up to $1,480,000 is
available for the state's share
of costs in the settlement of
Emma C. v. Delaine Eastin, et
al. (N.D. Cal. No. C96-
4179TEH). The State Department
of Education shall report by
January 1, 2011, to the fiscal
committees of both houses of the
Legislature, the Department of
Finance, and the Legislative
Analyst's Office on the planned
use of the additional special
education funds provided to the
Ravenswood Elementary School
District pursuant to this
settlement. The report shall
also provide the State
Department of Education's best
estimate of when this
supplemental funding will no
longer be required by the court.
The State Department of
Education shall comply with the
requirements of Section 948 of
the Government Code in any
further request for funds to
satisfy this settlement.
22. Of the funds appropriated in
this item, up to $2,500,000
shall be allocated directly to
special education local plan
areas for a personnel
development program that meets
the highly qualified teacher
requirements and ensures that
all personnel necessary to carry
out this part are appropriately
and adequately prepared, subject
to the requirements of paragraph
(14) of subdivision (a) of
Section 612 of the federal
Individuals with Disabilities
Education Improvement Act of
2004 (20 U.S.C. Sec. 1400 et
seq.) and Section 2122 of the
federal Elementary and Secondary
Education Act of 1965 (20 U.S.C.
Sec. 6301 et seq.). The local in-
service programs shall include a
parent training component and
may include a staff training
component, and may include a
special education teacher
component for special education
service personnel and
paraprofessionals, consistent
with state certification and
licensing requirements. Use of
these funds shall be described
in the local plans. These funds
may be used to provide training
in alternative dispute
resolution and the local
mediation of disputes. All
programs are to include
evaluation components.
23. Notwithstanding any other
provision of law, state funds
appropriated in Schedule (1) in
excess of the amount necessary
to fund the defined entitlement
shall be to fulfill other
shortages in entitlements
budgeted in this schedule by the
State Department of Education,
upon Department of Finance
approval, to any program funded
under Schedule (1).
24. The funds appropriated in this
item reflect an adjustment to
the base funding of 0.11 percent
for the annual adjustment in
statewide average daily
attendance.
25. Of the funds appropriated in
Schedule (1), the amount
resulting from increases in
federal funds reflected in the
calculation performed in
paragraph (1) of subdivision (c)
of Section 56836.08 of the
Education Code shall be
allocated based on an equal
amount per average daily
attendance and added to each
special education local plan
area's base funding, consistent
with paragraphs (1) to (4),
inclusive, of subdivision (b) of
Section 56836.158 of the
Education Code. When the final
amount is determined, the State
Department of Education shall
provide this information to the
Department of Finance and the
budget committees of each house
of the Legislature.


SEC. 45. Item 6110-485 of Section 2.00 of the Budget Act of 2010
is amended to read:
6110-485--Reappropriation (Proposition 98),
Department of Education. The sum of
$37,300,000 is hereby reappropriated from the
Proposition 98 Reversion Account for the
following purposes:
0001-- General Fund
(3) The sum of $20,000,000 shall be
transferred to the Chancellor of the
California Community Colleges for the
purpose of providing funding to the
community colleges to improve and
expand career technical education in
public secondary education and lower
division public higher education
pursuant to Section 88532 of the
Education Code.
(4) The sum of $13,117,000 shall be
allocated to Section A of the State
School Fund for apportionment for
special education programs pursuant to
Part 30 (commencing with Section
56000) of Division 4 of Title 2 of the
Education Code.
(5) The sum of $4,183,000 shall be
allocated to Section A of the State
School Fund for apportionment for the
purposes set forth in Provision 3 of
Item 6110-488 of Section 2.00 of the
Budget Act of 2010 (Ch. 712, Stats.
2010).


SEC. 46. Item 6110-488 of Section 2.00 of the Budget Act of 2010
is amended to read:
6110-488--Reappropriation (Proposition 98), Department
of Education. Notwithstanding any other provision of
law, the balances from the following items are
available for reappropriation for the purposes
specified in Provisions 1, 2, 3, and 4:
0001--General Fund
(12) $25,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for the Adult Education (ROC/P)
programs in paragraph (3) of
subdivision (a) of Section 43 of
Chapter 79 of the Statutes of 2006
(13) $59,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for ELL Best Practices for Improving
Achievement in paragraph (13) of
subdivision (a) of Section 43 of
Chapter 79 of the Statutes of 2006
(13.1) $103,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for preschool education in Schedule
(1) of Item 6110-196-0001 of Section
2.00 of the Budget Act of 2006 (Chs.
47 and 48, Stats. 2006)
(13.3) $16,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for CalWORKs Stage 2 child care in
Schedule (1.5)(e) of Item 6110-196-
0001 of Section 2.00 of the Budget
Act of 2006 (Chs. 47 and 48, Stats.
2006)
(13.5) $13,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for preschool education in Schedule
(1) of Item 6110-196-0001 of Section
2.00 of the Budget Act of 2007 (Chs.
171 and 172, Stats. 2007)
(14) $14,114,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount
appropriated for the Grade 9 Class
Size Reduction program of Item 6110-
232-0001 of Section 2.00 of the
Budget Act of 2007 (Chs. 171 and 172,
Stats. 2007)
(15) $82,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for Special Education in Schedule (1)
of Item 6110-161-0001 of Section 2.00
of the Budget Act of 2008 (Chs. 268
and 269, Stats. 2008)
(15.2) $8,772,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for preschool education and child
care programs in Schedules (1) and
(1.5) of Item 6110-196-0001 of
Section 2.00 of the Budget Act of
2006 (Chs. 47 and 48, Stats. 2006),
as carried forward per Provision
1 of Item 6110-196-0001 of the Budget
Act of 2008 (Chs. 268 and 269, Stats.
2008)
(15.3) $128,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for preschool education in Schedule
(1) of Item 6110-196-0001 of Section
2.00 of the Budget Act of 2008 (Chs.
268 and 269, Stats. 2008)
(15.4) $1,066,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for general child development
programs in Schedule (1.5)(a) of Item
6110-196-0001 of Section 2.00 of the
Budget Act of 2008 (Chs. 268 and 269,
Stats. 2008)
(15.5) $44,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for migrant day care programs in
Schedule (1.5)(c) of Item 6110-196-
0001 of Section 2.00 of the Budget
Act of 2008 (Ch. 268 and 269, Stats.
2008)
(15.6) $5,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for alternative payment programs in
Schedule (1.5)(d) of Item 6110-196-
0001 of Section 2.00 of the Budget
Act of 2008 (Ch. 268 and 269, Stats.
2008)
(15.7) $135,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount
appropriated for CalWORKs Stage 2
child care programs in Schedule
(1.5)(e) of Item 6110-196-0001 of
Section 2.00 of the Budget Act of
2008 (Chs. 268 and 269, Stats. 2008)
(15.8) $8,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for CalWORKs Stage 3 child care
programs in Schedule (1.5)(f) of Item
6110-196-0001 of Section 2.00 of the
Budget Act of 2008 (Chs. 268 and 269,
Stats. 2008)
(15.9) $9,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for CalWORKs Resource and Referral
programs in Schedule (1.5)(g) of Item
6110-196-0001 of Section the Budget
Act of 2008 (Chs. 268 and 269, Stats.
2008)
(15.10) $101,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for CalWORKs Extended Day Care
programs in Schedule (1.5)(i) of Item
6110-196-0001 of Section 2.00 of the
Budget Act of 2008 (Chs. 268 and 269,
Stats. 2008)
(15.11) $2,245,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount reappropriated
for CalWORKs Stage 2 child care per
Provision 3 of Item 6110-488 of
Section 2.00 of the Budget Act of
2008 (Chs. 268 and 269, Stats. 2008)
(16) $4,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for Child Oral Health Assessments in
Item 6110-268-0001 of Section 2.00 of
the Budget Act of 2008 (Chs. 268 and
269, Stats. 2008)
(16.3) $2,000,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for the Home to School Transportation
program in Schedule (1) of Item 6110-
111-0001 of Section 2.00 of the
Budget Act of 2009 (Ch. 1, 2009-10
3rd Ex. Sess., as revised by Ch. 1,
2009-10 4th Ex. Sess.)
(17) $22,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for the Foster Youth program in
Item 6110-119-0001 of Section 2.00 of
the Budget Act of 2009 (Ch. 1, 2009-
10 3rd Ex. Sess., as revised by Ch.
1, 2009-10 4th Ex. Sess.)
(18) $39,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for the English Language Acquisition
program in Item 6110-125-0001 of
Section 2.00 of the Budget Act of
2009 (Ch. 1, 2009-10 3rd Ex. Sess.,
as revised by Ch. 1, 2009-10 4th Ex.
Sess.)
(19) $50,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for the Partnership Academies program
in Schedule (1) of Item 6110-166-0001
of Section 2.00 of the Budget Act of
2009 (Ch. 1, 2009-10 3rd Ex. Sess.,
as revised by Ch. 1, 2009-10 4th
Ex. Sess.)
(20) $37,887,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for preschool education and child
care programs in Schedules (1) and
(1.5) of Item 6110-196-0001 of
Section 2.00 of the Budget Act of
2009 (Ch. 1, 2009-10 3rd Ex. Sess.,
as revised by Ch. 1, 2009-10 4th Ex.
Sess.)
(21) $12,103,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for CalWORKs Stage 2 child care in
Schedule (1.5)(e) of Item 6110-196-
0001 of Section 2.00 of the Budget
Act of 2009 (Ch. 1, 2009-10 3rd Ex.
Sess., as revised by Ch. 1, 2009-10
4th Ex. Sess.)
(22) $6,712,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for CalWORKs Stage 3 child care in
Schedule (1.5)(f) of Item 6110-196-
0001 of Section 2.00 of the Budget
Act of 2009 (Ch. 1, 2009-10 3rd Ex.
Sess., as revised by Ch. 1, 2009-10
4th Ex. Sess.)
(23) $130,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for the California High School Exit
Exam Supplemental Instruction program
in Item 6110-204-0001 of Section 2.00
of the Budget Act of 2009 (Ch. 1,
2009-10 3rd Ex. Sess., as revised by
Ch. 1, 2009-10 4th Ex. Sess.)
(24) $1,000,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for the Economic Impact Aid program
for charter schools in Schedule (2)
of Item 6110-211-0001 of Section 2.00
of the Budget Act of 2009 (Ch. 1,
2009-10 3rd Ex. Sess., as revised by
Ch. 1, 2009-10 4th Ex. Sess.)
(25) $14,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for the English Language Tutoring
program in Item 6110-227-0001 of
Section 2.00 of the Budget Act of
2009 (Ch. 1, 2009-10 3rd Ex. Sess.,
as revised by Ch. 1, 2009-10 4th Ex.
Sess.)
(26) $102,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for the Arts and Music Block Grant
program in Item 6110-265-0001 of
Section 2.00 of the Budget Act of
2009 (Ch. 1, 2009-10 3rd Ex. Sess.,
as revised by Ch. 1, 2009-10 4th Ex.
Sess.)
(27) $12,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for the Certificated Staff Mentoring
program in Item 6110-267-0001 of
Section 2.00 of the Budget Act of
2009 (Ch. 1, 2009-10 3rd Ex. Sess.,
as revised by Ch. 1, 2009-10 4th Ex.
Sess.)
(28) $990,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for the California Partnership
Academies program in Item 6110-650-
0001, pursuant to Section 5 of
Chapter 3 of the Statutes of 2009,
Fourth Extraordinary Session, as
amended by Chapter 31 of the Statutes
of 2009, Third Extraordinary Session
(29) $2,665,000 or whatever greater or
lesser amount reflects the unexpended
balance of the amount appropriated
for the After School Education and
Safety Program in Item 6110-649-0001
from the 2008-09 fiscal year
appropriation pursuant to Section
8483.5 of the Education Code, as
enacted by Proposition 49 in 2002,
and pursuant to Section 8483.51 of
the Education Code as enacted by
Chapter 2 of the Statutes of 2008,
Third Extraordinary Session
(30) $192,000 or whatever greater or
lesser amount reflects the
unexpended balance of the amount
appropriated for the After School
Education and Safety Program in Item
6110-649-0001 from the 2009-10 fiscal
year appropriation pursuant to
Section 8483.5 of the Education Code,
as enacted by Proposition 49 in 2002,
and pursuant to Section 8483.51 of
the Education Code as enacted by
Chapter 2 of the Statutes of 2008,
Third Extraordinary Session
(31) $17,000 or whatever greater or lesser
amount reflects the unexpended
balance of the amount appropriated
for the After School Education and
Safety Program in Item 6110-651-0001,
pursuant to Section 5 of Chapter 3 of
the Statutes of 2009, Fourth
Extraordinary Session, as amended by
Chapter 31 of the Statutes of 2009,
Third Extraordinary Session
Provisions:
1.The sum of $5,224,000 is hereby
reappropriated to the State
Department of Education for transfer
by the Controller to Section A of the
State School Fund for allocation by
the Superintendent of Public
Instruction to support California
School Information Services
administration activities authorized
pursuant to Schedule (2) of Item 6110-
140-0001.
2.The sum of $9,000,000 shall be
allocated pursuant to subdivision (d)
of Section 42606 of the Education
Code to school districts in the 2010-
11 fiscal year for the purpose of
providing categorical funding for new
schools commencing operations in the
2008-09, 2009-10, and 2010-11 fiscal
years.
3.The sum of $76,640,000 is hereby
reappropriated to the State
Department of Education for transfer
by the Controller to Section A of the
State School Fund for allocation by
the Superintendent of Public
Instruction on a one-time basis to
provide services in the 2010-11
fiscal year for pupils with mental
health related services required by
their individualized education
programs, as described in Section
56363 of the Education Code.
(a) The Superintendent shall
allocate these funds to each
special education local plan
area in the following
manner, using data available
from the CASEMIS system as
of December 1, 2010. Each
special education local plan
area shall receive funding
in an amount equal to:
(1) The sum of $4,224 for each
pupil whose individualized
education program requires
one or more of the following
mental health related
services: individual
counseling, counseling and
guidance, parent counseling,
social work services, or
behavior intervention
services.
(2) Twice the per pupil amount
provided pursuant to
paragraph (1) for each pupil
whose individualized
education program requires
psychological services.
(3) Four times the per pupil
amount provided pursuant to
paragraph (1) for each pupil
whose individualized
education program requires
day treatment services.
(4) Nine times the per pupil
amount provided pursuant to
paragraph (1) for each pupil
whose individualized
education program requires
mental health related
residential treatment
services.
(b) The Superintendent shall
count individual pupils in
only one of the four
categories set forth in
paragraphs (1) to (4),
inclusive, of subdivision
(a), based on the most
intensive level of services
required by the pupil's
individualized education
program.
(c) If the overall funding
allocation is insufficient
to fully fund the amount set
forth in subdivision (a), or
if there is excess funding
available, the
Superintendent shall adjust
the per pupil amount set
forth in paragraph (1) of
subdivision (a) and the
corresponding per pupil
amounts set forth in
paragraphs (2), (3), and 4
of subdivision (a), in order
to match the full allocation.


SEC. 47. Notwithstanding the rulemaking provisions of the
Administrative Procedure Act (Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code),
the State Department of Social Services or the State Department of
Education may implement Sections 4 to 12, inclusive, and Section 43,
of this act, through all-county letters, management bulletins, or
similar instructions.
SEC. 48. Notwithstanding any other provision of law, the
implementation of Sections 4 to 12, inclusive, and Section 43, of
this act is not subject to the appeal and resolution procedures for
agencies that contract with the State Department of Education for the
provision of child care services or the due process requirements
afforded to families that are denied services specified in Chapter 19
(commencing with Section 18000) of Division 1 of Title 5 of the
California Code of Regulations.
SEC. 49. (a) Notwithstanding any other provision of law, the
unobligated balances from the following budget items are
reappropriated to the State Department of Education for CalWORKs
Stage 3 child care services, in augmentation of, and for the purposes
specified in, Schedule (1.5)(f) of Item 6110-196-0001 of Section
2.00 of the Budget Act of 2010 (Ch. 712, Stats. 2010), for the period
of April 1, 2011, to June 30, 2011, inclusive.
(1) Up to twenty million dollars ($20,000,000) from Schedule (1)
of Item 6110-196-0001 of Section 2.00 of the Budget Act of 2009 (Ch.
1, 2009-10 3rd Ex. Sess., as revised by Ch. 1, 2009-10 4th Ex.
Sess.).
(2) Up to forty million dollars ($40,000,000) from Schedule (1.5)
of Item 6110-196-0001 of Section 2.00 of the Budget Act of 2009 (Ch.
1, 2009-10 3rd Ex. Sess., as revised by Ch. 1, 2009-10 4th Ex.
Sess.).
(b) Pursuant to this section, the State Department of Education
shall use the funds appropriated in subdivision (a) for eligible
families pursuant to Section 8354 of the Education Code as it read on
January 1, 2011.
SEC. 50. (a) The sum of nine hundred five million seven hundred
thousand dollars ($905,700,000) is hereby appropriated from the
General Fund to the State Department of Education. This appropriation
reflects the portion of the payment for class size reduction in
kindergarten and grades 1 to 3, inclusive, that is to be deferred
until and attributed to the 2012-13 fiscal year and the June 2012
principal apportionment that is to be deferred until July 2012 and
attributed to the 2012-13 fiscal year. Notwithstanding any other law,
the department shall encumber the funds appropriated in this section
by July 31, 2012. It is the intent of the Legislature that, by
extending the encumbrance authority for the funds appropriated in
this section to July 31, 2012, the funds will be treated in a manner
consistent with Section 1.80 of the Budget Act of 2011. The
appropriation is made in accordance with the following schedule:
(1) Six million two hundred twenty-seven thousand dollars
($6,227,000) for apprenticeship programs to be expended consistent
with the requirements specified in Item 6110-103-0001 of Section 2.00
of the Budget Act of 2011.
(2) Ninety million one hundred seventeen thousand dollars
($90,117,000) for supplemental instruction to be expended consistent
with the requirements specified in Item 6110-104-0001 of Section 2.00
of the Budget Act of 2011. Of the amount appropriated by this
paragraph, fifty-one million sixty-one thousand dollars ($51,061,000)
shall be expended consistent with Schedule (1) of Item 6110-104-0001
of Section 2.00 of the Budget Act of 2011, twelve million three
hundred thirty thousand dollars ($12,330,000) shall be expended
consistent with Schedule (2) of that item, four million six hundred
ninety thousand dollars ($4,690,000) shall be expended consistent
with Schedule (3) of that item, and twenty-two million thirty-six
thousand dollars ($22,036,000) shall be expended consistent with
Schedule (4) of that item.
(3) Thirty-nine million six hundred thirty thousand dollars
($39,630,000) for regional occupational centers and programs to be
expended consistent with the requirements specified in Schedule (1)
of Item 6110-105-0001 of Section 2.00 of the Budget Act of 2011.
(4) Four million two hundred ninety-four thousand dollars
($4,294,000) for the Gifted and Talented Pupil Program to be expended
consistent with the requirements specified in Item 6110-124-0001 of
Section 2.00 of the Budget Act of 2011.
(5) Forty-five million eight hundred ninety-six thousand dollars
($45,896,000) for adult education to be expended consistent with the
requirements specified in Schedule (1) of Item 6110-156-0001 of
Section 2.00 of the Budget Act of 2011.
(6) Four million seven hundred fifty-one thousand dollars
($4,751,000) for community day schools to be expended consistent with
the requirements specified in Item 6110-190-0001 of Section 2.00 of
the Budget Act of 2011.
(7) Five million nine hundred forty-seven thousand dollars
($5,947,000) for categorical block grants for charter schools to be
expended consistent with the requirements specified in Item
6110-211-0001 of Section 2.00 of the Budget Act of 2011.
(8) Thirty-eight million seven hundred twenty thousand dollars
($38,720,000) for the School Safety Block Grant to be expended
consistent with the requirements specified in Item 6110-228-0001 of
Section 2.00 of the Budget Act of 2011.
(9) One hundred million one hundred eighteen thousand dollars
($100,118,000) for the Targeted Instructional Improvement Block Grant
Program to be expended consistent with the requirements specified in
Item 6110-246-0001 of Section 2.00 of the Budget Act of 2011.
(b) The amount appropriated in subdivision (a) shall be reduced by
the lesser of five hundred seventy million dollars ($570,000,000) or
the sum of the amounts transferred pursuant to paragraphs (3) and
(4) of subdivision (b) of Section 58 of this act.
(c) For the purposes of making the computations required by
Section 8 of Article XVI of the California Constitution, the
appropriations made by subdivision (a) shall be deemed to be "General
Fund revenues appropriated for school districts," as defined in
subdivision (c) of Section 41202 of the Education Code, for the
2012-13 fiscal year, and included within the "t]otal allocations to
school districts and community college districts from General Fund
proceeds of taxes appropriated pursuant to Article XIII B," as
defined in subdivision (e) of Section 41202 of the Education Code,
for the 2012-13 fiscal year.
SEC. 51. The sum of five million dollars ($5,000,000) is hereby
appropriated from the General Fund to augment the Charter School
Revolving Loan Fund for use pursuant to Section 41365 of the
Education Code.
SEC. 52. (a) Notwithstanding Sections 42238.1 and 42238.15 of the
Education Code or any other law, the cost-of-living adjustment for
Items 6110-104-0001, 6110-105-0001, 6110-119-0001, 6110-122-0001,
6110-124-0001, 6110-128-0001, 6110-150-0001, 6110-156-0001,
6110-158-0001, 6110-161-0001, 6110-167-0001, 6110-181-0001,
6110-189-0001, 6110-190-0001, 6110-193-0001, 6110-196-0001,
6110-203-0001, 6110-209-0001, 6110-211-0001, 6110-224-0001,
6110-232-0001, 6110-234-0001, 6110-244-0001, and 6110-246-0001 of
Section 2.00 of the Budget Act of 2011 is zero percent for the
2011-12 fiscal year. All funds appropriated in the Budget Act of 2011
in the items identified in this section are in lieu of the amounts
that would otherwise be appropriated pursuant to any other provision
of law.
(b) Notwithstanding Section 42238.1 of the Education Code or any
other law, for purposes of Section 48664 of the Education Code, the
cost-of-living adjustment is zero percent for the 2011-12 fiscal
year.
SEC. 53. Notwithstanding any other provision of law, the funds
appropriated pursuant to Items 6110-103-0001, 6110-104-0001,
6110-105-0001, 6110-124-0001, 6110-156-0001, 6110-158-0001,
6110-161-0001, 6110-190-0001, 6110-211-0001, 6110-234-0001, and
6110-243-0001 of Section 2.00 of the Budget Act of 2011 shall be
encumbered by July 31, 2012. This one-month extension of encumbrance
authority is provided due to the effect of the deferral of the June
2012 principal apportionment on the budget items specified in this
section. It is the intent of the Legislature that, by extending the
encumbrance authority for the funds identified in this section to
July 31, 2012, the funds will be treated in a manner consistent with
Section 1.80 of the Budget Act of 2011.
SEC. 54. The sum of two million two hundred fifty-seven thousand
dollars ($2,257,000) is hereby appropriated for the 2010-11 fiscal
year, payable from the Federal Trust Fund to the State Department of
Education, State Operations, for allocation pursuant to the following
schedule:
(a) One million nine hundred seventy-three thousand dollars
($1,973,000) for the development of a comprehensive strategy to
address data reporting requirements and the development of the
California Longitudinal Pupil Achievement Data System (CALPADS), to
meet requirements of the federal No Child Left Behind Act of 2001 (20
U.S.C. Sec. 6301 et seq.) and Chapter 1002 of the Statutes of 2002,
as follows:
(1) Six hundred ninety-eight thousand dollars ($698,000) for
vendor costs associated with systems integration activities.
(2) Two hundred seventy-seven thousand dollars ($277,000) for
vendor project management costs.
(3) Three hundred thousand dollars ($300,000) for an independent
project oversight consultant and independent validation and
verification costs.
(4) Four thousand dollars ($4,000) for system hardware costs.
(5) Six thousand dollars ($6,000) for system software costs.
(6) Fifteen thousand dollars ($15,000) for Department of General
Services contract revision charges.
(7) Five hundred twenty-two thousand dollars ($522,000) for
various costs, including indirect charges, charges from the Office of
Technology Services, and operating expenses and equipment.
(8) One hundred fifty-one thousand dollars ($151,000) for State
Department of Education staff support for the project.
(b) Two hundred eighty-four thousand dollars ($284,000) for State
Department of Education data management staff responsible for
fulfilling certain federal requirements not directly associated with
CALPADS.
(c) First priority for funds provided in this section shall be to
support the transfer of knowledge from the CALPADS vendor to staff of
the State Department of Education and any other relevant state
agency. This knowledge transfer shall ensure the ability of the State
Department of Education to operate and maintain CALPADS over time.
SEC. 55. As a condition of receiving funds to administer the
California Longitudinal Pupil Achievement Data System established
pursuant to Section 60900 of the Education Code, the State Department
of Education shall ensure that local educational agencies are
provided with the standarized templates consistent with Section
33126.1 of the Education Code that include all available prepopulated
data necessary for local educational agencies to meet the
requirements established in the School Accountability Report Card
pursuant to Section 33126 of the Education Code.
SEC. 56. (a) It is the intent of the Legislature that basic aid
school districts assume categorical funding reductions proportionate
to the revenue limit reductions implemented for nonbasic aid
districts in the 2008-09 and 2009-10 fiscal years. It is the intent
of the Legislature that the reductions to categorical funding for
basic aid school districts set forth in this section be restored at
the same time as, and in direct proportion to, reductions in the
deficit factor for school district revenue limits set forth in
Section 42238.146 of the Education Code. The Superintendent of Public
Instruction shall reduce the amount of categorical funding allocated
to basic aid school districts in the 2010-11 fiscal year, as
follows:
(1) For the 2010-11 fiscal year, the State Department of Education
shall notify each basic aid school district, by September 1, 2011,
or two months after the Budget Act of 2011 is enacted, whichever is
later, of the amount of funds to be reduced from its categorical
funding allocations, as follows:
(A) Multiply each district's 2010-11 fiscal year total revenue
limit subject to the deficit factor specified in paragraph (5) of
subdivision (a) of Section 42238.146 of the Education Code,
calculated as of the 2010-11 fiscal year certified second principal
apportionment, by 8.92 percent.
(B) The department shall recover from categorical funds identified
in paragraph (2) and apportioned in the 2011-12 fiscal year to
school districts that were basic aid school districts in the 2010-11
fiscal year, the lesser of the amount calculated in subparagraph (A)
or the amount by which the sum of the amounts described in
subdivision (h) of Section 42238 of the Education Code exceeds the
school district's revenue limit. This result will be further limited
by the following:
(i) The amount of categorical funds to be reduced shall be limited
to the extent that the provisions of Section 41975 of the Education
Code cannot be met through other state aid.
(ii) If the amount determined in subparagraph (A) exceeds the
amount of categorical funding owed or paid in the 2011-12 fiscal year
to the basic aid school district for programs identified in
paragraph (2), the department shall recover the lesser amount.
(2) The State Department of Education shall recover the amount of
funds calculated in paragraph (1) and may offset funds for any
categorical program to be received in the 2011-12 fiscal year, with
the exception of funds received under the After School Education and
Safety Program, the Quality Education Investment Act of 2006, and
child care and development.
(b) By June 30, 2012, the State Department of Education shall
report to the Controller and the Director of Finance the amounts that
were recovered from each categorical education program and the
corresponding item of appropriation in the Budget Act of 2010 that is
to be reduced. The amounts so reduced shall revert to the General
Fund. The reductions pursuant to this subdivision shall be reductions
in the amount appropriated for purposes of Section 8 of Article XVI
of the California Constitution for the 2010-11 fiscal year.
(c) For purposes of this section, "basic aid school district"
means a school district that does not receive from the state, for the
2010-11 fiscal year, an apportionment of state funds pursuant to
subdivision (h) of Section 42238 of the Education Code.
SEC. 57. (a) It is the intent of the Legislature that basic aid
school districts assume categorical funding reductions proportionate
to the revenue limit reductions implemented for nonbasic aid
districts in the 2008-09 and 2009-10 fiscal years. It is the intent
of the Legislature that the reductions to categorical funding for
basic aid school districts set forth in this section be restored at
the same time as, and in direct proportion to, reductions in the
deficit factor for school district revenue limits set forth in
Section 42238.146 of the Education Code. The Superintendent of Public
Instruction shall reduce the amount of categorical funding allocated
to basic aid school districts in the 2011-12 fiscal year, as
follows:
(1) For the 2011-12 fiscal year, the State Department of Education
shall notify each basic aid school district, by September 1, 2012,
or two months after the Budget Act of 2012 is enacted, whichever is
later, of the amount of funds to be reduced from its categorical
funding allocations, as follows:
(A) Multiply each district's 2011-12 fiscal year total revenue
limit subject to the deficit factor specified in paragraph (5) of
subdivision (a) of Section 42238.146 of the Education Code,
calculated as of the 2011-12 fiscal year certified second principal
apportionment, by 8.92 percent.
(B) The department shall recover from categorical funds identified
in paragraph (2) and apportioned in the 2012-13 fiscal year to
school districts that were basic aid school districts in the 2011-12
fiscal year, the lesser of the amount calculated in subparagraph (A)
or the amount by which the sum of the amounts described in
subdivision (h) of Section 42238 of the Education Code exceeds the
school district's revenue limit. This result will be further limited
by the following:
(i) The amount of categorical funds to be reduced shall be limited
to the extent that the provisions of Section 41975 of the Education
Code cannot be met through other state aid.
(ii) If the amount determined in subparagraph (A) exceeds the
amount of categorical funding owed or paid in the 2012-13 fiscal year
to the basic aid school district for programs identified in
paragraph (2), the department shall recover the lesser amount.
(2) The State Department of Education shall recover the amount of
funds calculated in paragraph (1) and may offset funds for any
categorical program to be received in the 2012-13 fiscal year, with
the exception of funds received under the After School Education and
Safety Program, the Quality Education Investment Act of 2006, and
child care and development.
(b) By June 30, 2013, the State Department of Education shall
report to the Controller and the Director of Finance the amounts that
were recovered from each categorical education program and the
corresponding item of appropriation in the Budget Act of 2011 that is
to be reduced. The amounts so reduced shall revert to the General
Fund. The reductions pursuant to this subdivision shall be reductions
in the amount appropriated for purposes of Section 8 of Article XVI
of the California Constitution for the 2011-12 fiscal year.
(c) For purposes of this section, "basic aid school district"
means a school district that does not receive from the state, for the
2011-12 fiscal year, an apportionment of state funds pursuant to
subdivision (h) of Section 42238 of the Education Code.
SEC. 58. (a) Notwithstanding any other law, the Superintendent of
Public Instruction shall certify to the Controller the amounts needed
for the 2011-12 fiscal year to fund the class size reduction program
operated pursuant to Chapter 6.10 (commencing with Section 52120) of
Part 28 of Division 4 of Title 2 of the Education Code, pursuant to
the following schedule:
(1) Within 90 days of the enactment of the Budget Act of 2011, the
Superintendent of Public Instruction shall certify to the Controller
the amount needed to fund the advance apportionments for the 2011-12
fiscal year, consistent with paragraph (2) of subdivision (c), and
paragraph (1) of subdivision (g), of Section 52126 and Section
52124.3 of the Education Code.
(2) By February 25, 2012, the Superintendent of Public Instruction
shall certify to the Controller the amount needed to fund the
apportionment payments for the 2011-12 fiscal year on the basis of
applications received, consistent with paragraph (2) of subdivision
(c), and paragraph (2) of subdivision (g), of Section 52126 and
Section 52124.3 of the Education Code.
(3) By July 25, 2012, the Superintendent of Public Instruction
shall certify to the Controller the amount needed to fund the
apportionments for the 2011-12 fiscal year on the basis of actual
enrollment, consistent with paragraph (2) of subdivision (c), and
paragraph (3) of subdivision (g), of Section 52126 and Section
52124.3 of the Education Code.
(4) By April 30, 2013, the Superintendent of Public Instruction
shall certify to the Controller the amount needed to fund the full
apportionments for the 2011-12 fiscal year on the basis of revised
reports of actual enrollment, consistent with paragraph (2) of
subdivision (c), and paragraph (3) of subdivision (g), of Section
52126 and Section 52124.3 of the Education Code.
(b) Not later than five days following each certification made
pursuant to subdivision (a), the Controller shall transfer from the
General Fund to Section A of the State School Fund for allocation by
the Superintendent of Public Instruction for purposes of Chapter 6.10
(commencing with Section 52120) of Part 28 of Division 4 of Title 2
of the Education Code the following amounts:
(1) For the certification made pursuant to paragraph (1) of
subdivision (a), the amount certified.
(2) For the certification made pursuant to paragraph (2) of
subdivision (a), 55 percent of the amount certified minus the amount
transferred pursuant to paragraph (1).
(3) For the certification made pursuant to paragraph (3) of
subdivision (a), the amount certified minus the sum of the amounts
transferred pursuant to paragraphs (1) and (2).
(4) For the certification made pursuant to paragraph (4) of
subdivision (a), the amount certified pursuant to paragraph (4) of
subdivision (a) minus the sum of the amounts transferred pursuant to
paragraphs (1), (2), and (3).
(c) Not less than 30 days before making each certification
pursuant to subdivision (a), the Superintendent of Public Instruction
shall notify the Department of Finance, the Legislative Analyst, and
the appropriate policy and fiscal committees of the Legislature
regarding the amounts the Superintendent intends to certify to the
Controller and shall include in that notification the data used in
determining the amounts to be certified.
(d) The per pupil amounts for Option One and Option Two for the
2011-12 fiscal year shall be the same as those provided in the
2009-10 fiscal year.
(e) For the purposes of making the computations required by
Section 8 of Article XVI of the California Constitution, the
transfers made by paragraphs (3) and (4) of subdivision (b) shall be
deemed to be "General Fund revenues appropriated for school
districts," as defined in subdivision (c) of Section 41202 of the
Education Code, for the 2012-13 fiscal year, and included within the
"total allocations to school districts and community college
districts from General Fund proceeds of taxes appropriated pursuant
to Article XIII B," as defined in subdivision (e) of Section 41202 of
the Education Code, for the 2012-13 fiscal year.
SEC. 59. (a) For the 2011-12 fiscal year only, items
6440-001-0001, 6440-004-0001, and 6440-005-0001 of Section 2.00 of
the Budget Act of 2011 collectively reflect a General Fund budget
reduction of five hundred million dollars ($500,000,000), which is
offset by revenues associated with the fee increases adopted by the
Regents of the University of California (regents) in November 2010,
including an 8 percent increase for undergraduates, for a net
programmatic reduction of, approximately three hundred eighty-four
million dollars ($384,000,000) excluding mandatory cost increases. In
implementing the General Fund reduction, the regents shall minimize
fee and enrollment impacts on students by targeting actions that
lower the costs of instruction and administration.
(b) The regents shall submit recommended budget options, based on
input from stakeholders, including, but not limited to, input
received as of February 18, 2011, with savings estimates for each
identified solution, for implementing the budget reductions to the
Legislature, the Governor, and stakeholders, including
representatives of students and employees, for review and comment by
June 1, 2011, prior to adoption of a final plan by the regents.
(c) The Legislature expects the university to enroll 209,977
state-supported full-time equivalent students (FTES) during the
2011-12 academic year. This enrollment target does not include
nonresident students and students enrolled in nonstate-supported
summer programs. The regents shall report to the Legislature by May
1, 2012, on whether the university has met the 2011-12 enrollment
goal. If the university does not meet its total state-supported
enrollment goal by at least 1,050 FTES, the Director of Finance shall
revert to the General Fund by May 15, 2012, the total amount of
enrollment funding associated with the total share of the enrollment
goal that was not met, using the marginal cost per student of
$10,011.
(d) Not later than September 1, 2012, the regents shall submit a
final detailed report to the Governor, the Department of Finance, and
the Legislature identifying the value of all of the solutions
implemented to achieve the intent of this provision, including the
value of any solutions that were not anticipated in the initially
approved plan pursuant to subdivision (b), including the reasons
therefor.
SEC. 60. (a) For the 2011-12 fiscal year only, items 6610-001-0001
and 6610-002-0001 of Section 2.00 of the Budget Act of 2011
collectively reflect a General Fund budget reduction of five hundred
million dollars ($500,000,000), which is offset by revenues
associated with the fee increases adopted by the Trustees of the
California State University (trustees) in November 2010, including an
10 percent increase for undergraduates, for a net programmatic
reduction of approximately three hundred fifty-three million dollars
($353,000,000) excluding mandatory cost increases. In implementing
this General Fund reduction, the trustees shall minimize fee and
enrollment impacts on students by targeting actions that lower the
costs of instruction and administration.
(b) The trustees shall submit recommended budget options, based on
input from stakeholders, including, but not limited to, input
received as of February 18, 2011, with savings estimates for each
identified solution, for implementing the budget reductions to the
Legislature, the Governor, and stakeholders, including
representatives of students and employees for review and comment by
June 1, 2011, prior to adoption of a final plan by the trustees.
(c) The Legislature expects the university to enroll 331,716
state-supported full-time equivalent students (FTES) during the
2011-12 academic year. This enrollment target does not include
nonresident students and students enrolled in nonstate-supported
summer programs. The trustees shall report to the Legislature by May
1, 2012, on whether the university has met the 2011-12 enrollment
goal. If the university does not meet its total state-supported
enrollment goal by at least
1,659 FTES, the Director of Finance shall revert to the General Fund
by May 15, 2012, the total amount of enrollment funding associated
with the total share of the enrollment goal that was not met, using
the marginal cost per student of $7,305.
(d) Not later than September 1, 2012, the trustees shall submit a
final detailed report to the Governor, the Department of Finance, and
the Legislature identifying the value of all of the solutions
implemented to achieve the intent of this provision, including the
value of any solutions that were not anticipated in the initially
approved plan pursuant to subdivision (b), including the reasons
therefor.
SEC. 60.5. It is the intent of the Legislature to reenact the
"fuel tax swap," as originally enacted by Assembly Bill 6 of the
2009-10 Eighth Extraordinary Session and subsequently modified by
Senate Bill 70 of the 2009-10 Regular Session, and as further
modified, with a two-thirds vote of each house of the Legislature
pursuant to the requirements of Proposition 26, as approved by the
voters at the November 2, 2010, statewide General Election. Sections
23.5 and 23.7 of this act effectuate this intent.
SEC. 61. This act addresses the fiscal emergency declared and
reaffirmed by the Governor by proclamation on January 20, 2011,
pursuant to subdivision (f) of Section 10 of Article IV of the
California Constitution.
SEC. 62. This act is a bill providing for appropriations related
to the Budget Bill within the meaning of subdivision (e) of Section
12 of Article IV of the California Constitution, has been identified
as related to the budget in the Budget Bill, and shall take effect
immediately.