BILL NUMBER: AB 194	AMENDED
	BILL TEXT

	AMENDED IN SENATE  SEPTEMBER 7, 2007

INTRODUCED BY   Committee on Budget (Laird (Chair), Arambula, Beall,
Berg, Brownley, Dymally, Feuer, Hayashi, Hernandez, Jones, Mullin,
Ruskin, Swanson, and Wolk)

                        JANUARY 25, 2007

   An act  relating to   to amend and supplement
 the Budget Act of 2007  (Chapters 171 and 172 of the
Statutes of 2007) by amending Items 3790-001-0001, 3790-497,
4260-111-0001, 4260-111-0236, 6110-101-0349, 7100-001-0514, and
7100-001-0870 of Section 2.00 of that act, relating to the state
budget, making an appropriation therefor, and declaring the urgency
thereof, to take effect immediately  .


	LEGISLATIVE COUNSEL'S DIGEST


   AB 194, as amended, Committee on Budget. Budget Act of 2007.
    This bill would express the intent of the Legislature to
enact statutory changes relating to the Budget Act of 2007. 

    The Budget Act of 2007 made appropriations for the support of
state government for the 2007-08 fiscal year. 
    This bill would amend and supplement the Budget Act of 2007
by revising items of appropriation for the State Department of Health
Care Services, the Employment Development Department, the Department
of Parks and Recreation, the State Department of Education, and the
Board of Governors of the California Community Colleges. 
    This bill would declare that it is to take effect immediately
as an urgency statute. 
   Vote:  majority   2/3  . Appropriation:
 no   yes  . Fiscal committee:  no
  yes  . State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
   
  SECTION 1.    It is the intent of the Legislature
to enact statutory changes relating to the Budget Act of 2007.

   SECTION 1.    Item 3790-001-0001 of Section 2.00 of
the Budget Act of 2007 is amended to read: 
3790-001-0001--For support of Department
of Parks and Recreation....................  130,359,000

                                              145,359,000 
    Schedule:
    (1)   For support of the
          Department of Parks
          and Recreation.......   368,495,000 
                                  383,495,000 
    (2)   Reimbursements.......  -32,199,000
    (3)   Less funding
          provided by capital
          outlay...............   -4,000,000
    (4)   Amount payable from
          the Safe
          Neighborhood Parks,
          Clean Water, Clean
          Air, and Coastal
          Protection Bond Fund
          (Item 3790-001-0005).   -6,639,000
    (5)   Amount payable from
          the California
          Environmental
          License Plate Fund
          (Item 3790-001-0140).   -3,264,000
    (6)   Amount payable from
          the Public Resources
          Account, Cigarette
          and Tobacco Products
          Surtax Fund (Item
          3790-001-0235).......  -11,258,000
    (7)   Amount payable from
          the Off-Highway
          Vehicle Trust Fund
          (Item 3790-001-0263).  -42,336,000
    (8)   Amount payable from
          the State Parks and
          Recreation Fund
          (Item 3790-001-0392). -121,173,000
    (9)   Amount payable from
          the Winter
          Recreation Fund
          (Item 3790-001-0449).     -390,000
    (10)  Amount payable from
          the Harbors and
          Watercraft Revolving
          Fund (Item 3790-001-
          0516)................     -814,000
    (11)  Amount payable from
          the Federal Trust
          Fund (Item 3790-001-
          0890)................   -6,341,000
    (12)  Amount payable from
          the California Main
          Street Program Fund
          (Item 3790-001-3077).     -175,000
    (13)  Amount payable from
          the California Clean
          Water, Clean Air,
          Safe Neighborhood
          Parks, and Coastal
          Protection Fund
          (Item 3790-001-6029).   -4,433,000
    (14)  Amount payable from
          the Water Security,
          Clean Drinking
          Water, Coastal and
          Beach Protection
          Fund of 2002 (Item
          3790-001-6031).......     -491,000
    (15)  Amount payable from
          Safe Drinking Water,
          Water Quality and
          Supply, Flood
          Control, River and
          Coastal Protection
          Fund of 2006 (Item
          3790-001-6051).......   -4,623,000
    Provisions:
    1.    Of the funds appropriated by this
          act from the General Fund and
          special funds, other than the Off-
          Highway Vehicle Trust Fund and
          bond funds, to the Department of
          Parks and Recreation for local
          assistance grants to local
          agencies, the department may
          allocate an amount not to exceed
          3.7 percent of each project's
          allocation, except to the extent
          otherwise restricted by law, to
          allow the department to
          administer its grants. Those
          funds shall be available for
          encumbrance or expenditure until
          June 30, 2013.
    2.    It is the intent of the
          Legislature that salaries, wages,
          operating expenses, and positions
          associated with implementing
          specific Department of Parks and
          Recreation capital outlay
          projects continue to be funded
          through capital outlay
          appropriations, and that these
          funds should also be reflected in
          the department's state operations
          budget in the Governor's Budget
          as a special item of expense
          reflecting the funding provided
          from the capital outlay
          appropriations.
    3.    Notwithstanding any other
          provision of law, the Director of
          Finance may authorize a loan from
          the General Fund, in an amount
          not to exceed 35 percent of
          reimbursements appropriated in
          this item to the Department of
          Parks and Recreation, provided
          that:
          (a)     The loan is to meet cash
                  needs resulting from the
                  delay in receipt of
                  reimbursements for
                  services provided.
          (b)     The loan is for a short
                  term and shall be repaid
                  by September 30, 2008.
          (c)     Interest charges may be
                  waived pursuant to
                  subdivision (e) of
                  Section 16314 of the
                  Government Code.
          (d)     The Director of Finance
                  may not approve the loan
                  unless the approval is
                  made in writing and filed
                  with the Chairperson of
                  the Joint Legislative
                  Budget Committee and the
                  chairpersons of the
                  committees in each house
                  of the Legislature that
                  consider appropriations
                  not later than 30 days
                  prior to the effective
                  date of the approval, or
                  not sooner than whatever
                  lesser time that the
                  chairperson of the joint
                  committee or his or her
                  designee may determine.
    4.    The augmentation of $1,711,000 in
          Schedule (7) is to be used to
          fund restoration activities
          within state parks in which off-
          highway vehicle activity is or
          has been permitted, including
          areas where off-highway vehicle
          recreation has been determined to
          not be appropriate.
    5.    Notwithstanding Section 4.11 or
          any other provision of law, up to
          61 positions initially authorized
          in accordance with Schedule (15)
          shall not be abolished pursuant
          to Section 12439 of the
          Government Code prior to June 30,
          2015.
    6.    Schedule (1) includes $4,104,000
          for remediation and treatment
          activities at Empire Mine State
          Historic Park. Notwithstanding
          any other provision of law, these
          funds shall be available for
          expenditure upon the approval of
          the Director of Finance, after
          the submission by the Department
          of Parks and Recreation of
          detailed information on the
          activities to be funded and their
          cost.
    7.    The Department of Parks and
          Recreation shall have a
          celebration at the Allensworth
          State Park on the one hundredth
          anniversary of the founding of
          the town of Allensworth, and this
          celebration shall be done within
          the department's existing
          resources.
    8.    It is the intent of the
          Legislature that the Department
          of Parks and Recreation shall
          prioritize funds appropriated to
          the department from the Harbors
          and Watercraft Revolving Fund and
          the Motor Vehicle Fuel Account,
          Transportation Tax Fund, for
          boating-related activities that
          include, but are not limited to,
          major and minor capital outlay
          projects, boating trails, boating
          trail grants, boating trails
          access facilities, beach erosion
          grants, and state park boating
          facilities operations and
          maintenance costs.


   SEC. 2.    Item 3790-497 of Section 2.00 of the
Budget Act of 2007 is amended to read: 
3790-497--Reversion, Department of Parks and
Recreation. As of June 30, 2007, the balances provided
in the following citations shall revert to the fund
from which the appropriations were made:
    0001--General Fund
         +
    (1)   Item 3790-001-0001, Budget Act of 2006 (Chs.
          47 and 48, Stats. 2006)
          (1)   For support of the
                Department of Parks and
                Recreation................    160,000,000

                                              175,000,000 
         +
    0005--Safe Neighborhood Parks, Clean Water, Clean
    Air, and Coastal Protection Bond Fund
    (1)   Item 3790-101-0005, Budget Act of 2001 (Ch.
          106, Stats. 2001)
          (1)   80.25-Recreational Grants
                (a)        Local agencies
                           operating park
                           units..........       835,000
    (2)   Item 3790-001-0005, Budget Act
          of 2005 (Chs. 38 and 39, Stats.
          2005)...........................       107,000
         +
    6029--California Clean Water, Clean Air, Safe
    Neighborhood Parks, and Coastal Protection Fund
    (1)   Item 3790-001-6029, Budget Act
          of 2005 (Chs. 38 and 39, Stats.
          2005), as reappropriated by
          Item 3790-490, Budget Act of
          2006 (Chs. 47 and 48, Stats.
          2006)...........................     3,000,000


   SEC. 3.    Item 4260-111-0001 of Section 2.00 of the
Budget Act of 2007 is amended to read: 
4260-111-0001--For local assistance,
Department of Health Care Services........ 162,616,000
    Schedule:
    (1)   20.10-Medical Care
          Services............    5,119,000
    (2)   20.25-Children's
          Medical Services....  266,860,000
    (3)   20.35-Primary and
          Rural Health........    43,289,000 
                                  41,289,000 
    (4)   Reimbursements......  -14,825,000
    (5)   Amount payable from
          the Childhood Lead
          Poisoning
          Prevention Fund
          (Item 4260-111-
          0080)...............      -24,000
    (6)   Amount payable from
          the Unallocated
          Account, Cigarette
          and Tobacco
          Products Surtax
          Fund (Item 4260-111-
          0236)...............   -17,148,000  

                                 -15,148,000 
    (7)   Amount payable from
          the Federal Trust
          Fund (Item 4260-111-
          0890)............... -120,655,000
    Provisions:
    1.    Program 20.25-Children's Medical
          Services: Counties may retain 50
          percent of total enrollment and
          assessment fees that are
          collected by the counties for
          the California Children's
          Services Program. Fifty percent
          of the enrollment and assessment
          fee for each county shall be
          offset from the state's match
          for that county.
    2.    Notwithstanding any other
          provision of law, the
          Department of Finance may
          authorize transfer of
          expenditure authority between
          this item and Items 4260-101-
          0001, 4260-102-0001, and 4260-
          113-0001 in order to effectively
          administer the programs funded
          in these items. The Department
          of Finance shall notify the
          Legislature within 10 days of
          authorizing such transfer unless
          prior notification of the
          transfer has been included in
          the Medi-Cal estimates submitted
          pursuant to Section 14100.5 of
          the Welfare and Institutions
          Code.


   SEC. 4.    Item 4260-111-0236 of Section 2.00 of the
Budget Act of 2007 is amended to read: 
4260-111-0236--For local assistance,
Department of Health Care Services, for
payment to Item 4260-111-0001, payable
from the Unallocated Account, Cigarette
and Tobacco Products Surtax Fund..........   17,148,000

                                              15,148,000 


   SEC. 5.    Item 6110-101-0349 of Section 2.00 of the
Budget Act of 2007 is amended to read: 
6110-101-0349--For local assistance,
Department of Education, Program 20.90-
Instructional Support, for allocation to
the Fiscal Crisis and Management Assistance
Team for the purpose of administering the
California School Information Services
(CSIS) Program, payable from the
Educational Telecommunication Fund..........   1,225,000

                                                3,235,000 
     Provisions:
     1.  Notwithstanding Section 10554 of
         the Education Code, the Controller
         shall transfer from the General
         Fund the actual amount certified by
         the Superintendent of Public
         Instruction as reductions made to
         apportionments in the 2006-07
         fiscal year for repayments of prior
         year excess apportionments
         identified pursuant to audit or
         audit settlements identified as a
         result of audit investigations, or
         inquiries.
     2.  Of the funds appropriated in this
         item, $828,000 is to be provided to
         non-CSIS participating school
         districts for support of
         maintenance of individual student
         identifiers.
      3.  Of the funds appropriated in this 
          item, $2,010,000 is to be provided 
          to the Fiscal Crisis and Management 
          Assistance Team on a one-time basis 
          for the purpose of administering 
          the CSIS Program. These funds shall 
          be used to: (a) replace outdated 
          server capacity, including a three- 
          year service agreement, (b) 
          purchase automated testing tools 
          needed to address system stability 
          and software testing, and (c) 
          address technical assistance 
          workload. 


   SEC. 6.    Item 7100-001-0514 of Section 2.00 of the
Budget Act of 2007 is amended to read: 
7100-001-0514--For support of Employment
Development Department, for payment to
Item 7100-001-0870, payable from the
Employment Training Fund...................  51,600,000

                                              61,600,000 
      Provisions:
      1.     Upon order of the Director of
             Finance, funds disencumbered
             from Employment Training Fund
             training contracts during the
             2007-08 fiscal year that have
             not reverted as of July 1,
             2007, may be appropriated in
             augmentation of this item.
      2.     Notwithstanding subparagraph
             (B) of paragraph (2) of
             subdivision (a) of Section
             10206 of the Unemployment
             Insurance Code, the Employment
             Training Panel's
             administrative costs may
             exceed 15 percent of the
             amount appropriated in this
             item.


   SEC. 7.    Item 7100-001-0870 of Section 2.00 of the
Budget Act of 2007 is amended to read: 
7100-001-0870--For support of Employment
Development Department, payable from the
Unemployment Administration Fund-Federal.. 523,595,000
    Schedule:
    (1)   10-Employment and
          Employment Related
          Services............  168,065,000
    (2)   21-Tax Collections
          and Benefit
          Payments............  626,785,000
    (3)   22-California
          Unemployment
          Insurance Appeals
          Board...............   74,196,000
    (4)   30.01-General
          Administration......   56,859,000
    (5)   30.02-Distributed
          General
          Administration......  -51,194,000
    (6)   50-Employment
          Training Panel......    46,345,000 
                                  56,345,000 
    (7)   Reimbursements......  -22,916,000
    (8)   Amount payable from
          the General Fund
          (Item 7100-001-
          0001)...............  -25,176,000
    (9)   Amount payable from
          the Employment
          Development
          Department Benefit
          Audit Fund (Item
          7100-001-0184)......  -14,621,000
    (10)  Amount payable from
          the Employment
          Development
          Contingent Fund
          (Item 7100-001-
          0185)...............  -67,435,000
    (11)  Amount payable from
          the Employment
          Training Fund (Item
          7100-001-0514)......   -51,600,000  

                                 -61,600,000 
    (12)  Amount payable from
          the Unemployment
          Compensation
          Disability Fund
          (Item 7100-001-
          0588)............... -214,768,000
    (13)  Amount payable from
          the School
          Employees Fund
          (Item 7100-001-
          0908)...............     -945,000
    Provisions:
    1.    Funds appropriated in this item
          are in lieu of the amounts that
          otherwise would have been
          appropriated pursuant to Section
          1555 of the Unemployment
          Insurance Code.
    2.    Provision 1 of Item 7100-001-
          0588 also applies to funds
          appropriated in this item for
          the Unemployment Insurance
          Program.
    3.    No later than September 13,
          2007, the Secretary of Labor and
          Workforce Development shall
          report to the Director of
          Finance and the Joint
          Legislative Budget Committee on
          the progress of the Underground
          Economy Enforcement Program and
          shall provide justification
          for its continuance.


   SEC. 8.    (a) The sum of five million dollars
($5,000,000) is hereby appropriated from the General Fund to the
Superintendent of Public Instruction in augmentation of the amount
appropriated in Schedule (1) of Item 6110-196-0001 of Section 2.00 of
the Budget Act of 2007 (Chapter 171 of the Statutes of 2007). The
funds appropriated in this section are available for the provision of
wraparound care to children enrolled in state preschool programs.
The Superintendent of Public Instruction shall assign priority for
funds appropriated in this section for the provision of wraparound
care to children enrolled in prekindergarten and family literacy
programs authorized by Section 8238.4 of the Education Code. 

   (b) For purposes of this act, "wraparound care" means child care
services provided to children enrolled in state preschool programs
for the portion of each day not otherwise covered by services
provided as part of those programs. 
   SEC. 9.    (a) The sum of thirty-three million one
hundred thousand dollars ($33,100,000) is hereby appropriated from
the General Fund to the Board of Governors of the California
Community Colleges, in augmentation of Schedule (2) (10.10.020 Basic
Skills and Apprenticeship) of Item 6870-101-0001 of the Budget Act of
2007 (Chapters 171 and 172 of the Statutes of 2007).  
   (b) These funds shall be available for the following purposes:
 
   (1) The sum of one million six hundred thousand dollars
($1,600,000) for faculty and staff development to improve curriculum,
instruction, student services, and program practices in the areas of
basic skills and English as a Second Language (ESL) programs. The
Office of the Chancellor shall select a district, utilizing a
competitive process, to carry out these faculty and staff development
activities. All colleges receiving funds pursuant to paragraph (2)
shall be provided with the opportunity to participate in the faculty
and staff development programs specified in this paragraph. The
Chancellor shall report on the use of these funds by the selected
district to the Legislative Analyst and the Department of Finance not
later than September 1, 2008.  
   (2) The sum of thirty-one million five hundred thousand dollars
($31,500,000) for allocation by the Chancellor to community college
districts for improving outcomes of students who enter college
needing at least one course in ESL or basic skills, with particular
emphasis on students transitioning from high school.  
   (A) Funds allocated pursuant to this paragraph shall be expended
for program and curriculum planning and development, student
assessment, advisement and counseling services, supplemental
instruction and tutoring, articulation, instructional materials and
equipment, and any other purpose directly related to the enhancement
of basic skills, ESL instruction, and related student programs. The
allocated funds shall supplement, and not supplant, current
expenditures by districts for matriculation and assessment services,
basic skills, ESL instruction, and related student programs. 

   (B) To be eligible to receive funds pursuant to this paragraph, a
district must submit to the Office of the Chancellor an application
containing a certification that the college will, within the fiscal
year, (i) complete an assessment of its programs and activities
serving basic skills and ESL students utilizing the assessment tool
developed pursuant to paragraph (1) of Item 6870-493 of Section 2.00
of the Budget Act of 2006 (Chapters 47 and 48 of the Statutes of
2006), and (ii) submit to the Office of the Chancellor an action and
expenditure plan for funds received under this paragraph.  
   (C) The Office of the Chancellor shall work jointly with the
Department of Finance and the Legislative Analyst to develop annual
accountability measures for this program. It is the intent of the
Legislature that annual performance accountability measures for this
program utilize, to the extent possible, data available as part of
the accountability system developed pursuant to Section 84754.5 of
the Education Code. By November 1, 2008, the Chancellor shall submit
a report to the Governor and Legislature on the annual accountability
measures developed pursuant to this process.  
   (D) The Chancellor shall distribute funds to districts on the
basis of the following two factors, with equal weight given to each:
(i) the number of full-time equivalent students generated in basic
skills and ESL courses in the preceding fiscal year; and (ii) the
number of full-time equivalent students generated in basic skills and
ESL courses by students transitioning from high schools in the
preceding fiscal year. For purposes of distributing these funds, the
Chancellor may establish a minimum allocation of one hundred thousand
dollars ($100,000) per college. 
   SEC. 10.    This act is an urgency statute necessary
for the immediate preservation of the public peace, health, or safety
within the meaning of Article IV of the Constitution and shall go
into immediate effect. The facts constituting the necessity are:
 
   In order to ensure that state programs are properly funded for the
2007-08 fiscal year, it is necessary that this act take effect
immediately.