BILL ANALYSIS Appropriations Committee Fiscal Summary 2130 (Simitian) Hearing Date: 8/5/02 Amended: 6/28/02 Consultant: Bob Franzoia Policy Vote: Ed 13-0 ____________________________________________________________ ___ BILL SUMMARY: AB 2130 would do the following: - Repeal the 1/1/03 sunset date for the authorization to offer supplemental instruction to students who are retained, recommended for retention, or at risk of retention in grades 2-9. - Repeal the 1/1/03 sunset date for the authorization to offer supplemental instruction to students with deficiencies under the Standardized Testing and Reporting Program (STAR) in grades 2-6. - Repeal a cap on state reimbursement to school districts for such instruction that is otherwise scheduled to take effect 1/1/03. Fiscal Impact (in thousands) Major Provisions 2002-03 2003-04 2004-05 Fund Supplemental $49,676* annually (grades 2-9) General** instruction Low STAR $17,911* annually (grades 2-6) General** * As proposed in the 2002-03 Budget ** Counts toward meeting the Proposition 98 minimum funding guarantee STAFF COMMENTS: This bill meets the criteria to be referred to the Suspense File. Since 1983 school districts have been allowed funding for seven percent of their enrollment for regular supplemental instruction i.e., traditional summer school, and, if funds remain available in the statewide appropriation, districts may receive reimbursement for an additional three percent of their enrollment. Supplemental instruction of students in grades 7-12 who are at risk of failing the high school exit exam and therefore not graduating was reauthorized by Chapter 1/99 (SB 2x, O'Connell). Reimbursement for this supplemental instruction is uncapped. Chapter 72/00 (SB 1683, Escutia) reorganized summer school law under which districts may claim state funding for student hours of supplemental instruction delivered before and after school, on Saturdays, or during the summer or intercession. Prior to SB 1683, however, remedial supplemental instruction for students below grade 7 had to be accommodated within a capped program except for pupils who were actually retained in their grade level for a second year. Removing the cap would increase program expenditures by an estimated $15,664,231. This would not be a new cost but rather a cost within the $450 million proposed in the 2002-03 Budget for all supplemental instruction programs. Item 6110-104 (2) and (3) would appropriate $49,676,000 for supplemental instruction in Grades 2-9 per Education Code 37252.5 and would appropriate $17,911,000 for Low STAR, Grades 2-6 per Education Code 37252.6. Staff Notes this bill is similar to SB 1671 (Escutia) which has been referred to the Assembly Appropriations Committee Suspense File.