BILL NUMBER: SB 80	CHAPTERED
	BILL TEXT

	CHAPTER  174
	FILED WITH SECRETARY OF STATE  AUGUST 24, 2007
	APPROVED BY GOVERNOR  AUGUST 24, 2007
	PASSED THE ASSEMBLY  JULY 20, 2007
	PASSED THE SENATE  AUGUST 21, 2007
	AMENDED IN ASSEMBLY  JULY 19, 2007
	AMENDED IN ASSEMBLY  JULY 16, 2007

INTRODUCED BY   Committee on Budget and Fiscal Review

                        JANUARY 17, 2007

   An act to amend Sections 41203.1, 41350, 48313, 48315, 49430,
56836.155, 60601, 60642, and 60810 of, to amend and repeal Sections
60603, 60604, 60605, 60605.6, 60606, 60640, 60643, and 60643.1 of, to
add Sections 48314.5, 49430.7, and 52055.58 to, and to add and
repeal Chapter 6.5 (commencing with Section 52060) of Part 28 of
Division 4 of Title 2 of, the Education Code, to amend Section
17581.5 of the Government Code, to amend Section 37 of Chapter 79 of
the Statutes of 2006, and to amend Item 6110-136-0890 of Section 2.00
of Chapter 47 of the Statutes of 2006, relating to education, making
an appropriation therefor, and declaring the urgency thereof, to
take effect immediately.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 80, Committee on Budget and Fiscal Review. Education.
   (1) 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 the 1992-93 and 2006-07 fiscal years,
inclusive.
   This bill, in addition, would make that provision inapplicable to
the 2007-08 fiscal year.
   (2) Existing law requires the Superintendent of Public Instruction
to reimburse school districts for free and reduced-price meals
served or sold based on the average statewide meal cost.
   This bill would base that reimbursement on the median statewide
meal cost.
   (3) Existing law requires each person between the ages of 6 and 18
years who is not otherwise exempt to attend the public full-time day
school in the school district in which his or her parent or guardian
is a resident. The governing board of a school district is
authorized to accept interdistrict transfers by admitting pupils
residing in other school districts to attend its schools, subject to
specified conditions. A school district that elects to accept
interdistrict transfers is authorized to keep an accounting of all
requests made for alternative attendance and records of all
disposition of those requests. The provisions governing interdistrict
transfers become inoperative on July 1, 2007, and are repealed on
January 1, 2008.
   This bill, instead, would require a school district that elects to
accept interdistrict transfers to keep an accounting of all requests
made for alternative attendance and records of all disposition of
those requests and to report that information to the Superintendent
of Public Instruction annually on or before a date designated by the
Superintendent. Commencing in 2008, the Superintendent annually would
be required to make the information received from school districts
available to the Governor, the Legislature, and the public on or
before April 1. On or before November 1, 2008, the State Department
of Education would be required to prepare and submit a report to the
Legislature regarding the effectiveness of the interdistrict transfer
program. Commencing on the effective date of this bill, the
governing board of a school district that has not previously elected
to participate in the interdistrict transfer program would be
prohibited from electing to become a school district of choice, as
defined. The inoperative and repeal dates for the provisions
governing interdistrict transfers would be extended to July 1, 2009,
and January 1, 2010, respectively.
   (4) The Pupil Nutrition, Health, and Achievement Act of 2001
requires a school to be reimbursed $0.21 for free and reduced-price
meals sold or served to pupils. To qualify for this reimbursement, a
school is required to follow the Enhanced Food Based Meal Pattern,
Nutrient Standard Meal Planning, or Traditional Meal Pattern
developed by the United States Department of Agriculture (USDA) or
the California's Shaping Health as Partners in Education (SHAPE) menu
patterns developed by the state.
   The Child Nutrition Act of 1974 authorizes a child nutrition
entity, as defined, to apply to the State Department of Education for
all available federal and state funds so that a nutritionally
adequate breakfast or lunch, or both, may be provided to pupils and
requires the department before July 1 of each year to prescribe an
adjustment in the established state meal contribution rates based on
a specified cost-of-living adjustment.
   This bill would require schools and school districts, commencing
with the 2007-08 fiscal year, for meals and food items sold or served
as part of a free or reduced-price meal program, to comply with
specified nutrition-related prohibitions and requirements. By
requiring schools and school districts to satisfy new requirements
for free and reduced-price meals, the bill would impose a
state-mandated local program. These prohibitions and requirements
would not apply to USDA commodity foods, as specified. Child
development programs would be encouraged, commencing with the 2007-08
fiscal year, for meals and food items sold or served as part of a
free or reduced-price meal program, to comply with specified
nutrition-related prohibitions and requirements.
   (5) Existing law requires the State Department of Education to
identify local educational agencies that are in danger of being
identified within 2 years as program improvement local educational
agencies under the federal No Child Left Behind Act of 2001 (20
U.S.C. Sec. 6301 et seq.), and to notify those local educational
agencies, in writing, of this status and provide those local
educational agencies with research-based criteria to conduct a
voluntary self-assessment. A local educational agency that is
identified for corrective action under the federal No Child Left
Behind Act of 2001 (20 U.S.C. Sec. 6301 et seq.) is subject to one or
more sanctions recommended by the Superintendent and approved by the
state board, including a requirement to contract with a district
assistance and intervention team to aid the local educational agency.

   This bill would require the department to transmit, by April 1,
2010, to the appropriate fiscal and policy committees of the
Legislature, the Legislative Analyst's Office, and the Department of
Finance a copy of the final evaluation of the pilot project involving
district assistance and intervention teams conducted by the
department and a consortium of county offices of education.
   (6) Existing law, the Budget Act of 2006, appropriates $633,000
for purposes of the American Indian Early Childhood Education
Program. That program was repealed effective January 1, 2004.
   This bill would recodify the American Indian Early Childhood
Education Program, under which the governing board of a school
district receiving equalization aid, having a school in which there
is a concentration of 10% or more of American Indian pupils, and that
maintains prekindergarten or kindergarten, or both, and grades 1 to
4, inclusive, would be authorized to apply to the Superintendent of
Public Instruction for a project in American Indian early childhood
education. A school district receiving funds would be required to
establish a districtwide American Indian advisory committee for
American Indian early childhood education.
   (7) Existing law adjusts funding for individuals with exceptional
needs based on an incidence multiplier, as defined, for each special
education local plan area.
   This bill would continue the current special education incidence
factor formula through the 2007-08 fiscal year.
   (8) Existing law, the Leroy Greene California Assessment of
Academic Achievement Act, until July 1, 2007, requires each school
district, charter school, and county office of education to
administer to each of its pupils in grades 2 to 11, inclusive,
certain achievement tests, including a standards-based achievement
test pursuant to the Standardized Testing and Reporting (STAR)
Program. Existing law, commencing July 1, 2007, deletes that
requirement with regard to pupils in grade 2. Existing law repeals
the act on January 1, 2011.
   This bill would reinstate the requirement that each school
district, charter school, and county office of education administer
those achievement tests to each of its pupils in grade 2 on and after
July 1, 2007. The bill would make certain provisions relating to
those achievement tests inoperative on July 1, 2011, and would extend
the repeal date of the act to January 1, 2012. By extending the time
period during which school districts are required to perform various
duties related to the administration of achievement tests, the bill
would impose a state-mandated local program.
   (9) Existing law requires the Superintendent of Public Instruction
to review existing tests that assess the English language
development of pupils whose primary language is a language other than
English and to determine if those tests have sufficient range to
assess pupils in kindergarten and grades 1 to 12, inclusive, in
English reading, speaking, and written skills. Pupils in kindergarten
and grade 1 are required to be assessed in reading and written
communication only to the extent that comparable standards and
assessments in English and language arts are used for native speakers
of English.
   This bill, instead, would require the tests to have sufficient
range to assess pupils in grades 2 to 12, inclusive, in English
listening, speaking, reading, and writing skills, and would require
pupils in kindergarten and grade 1 to be assessed in English
listening, speaking, and early literacy skills. In developing the
test for pupils in kindergarten and grade 1, the State Department of
Education would be required to minimize any additional testing time
and to ensure that the test is age and developmentally appropriate,
as specified. The department would be required to report to the
Legislature on the administration of the kindergarten and grade 1
English listening, speaking, and early literacy assessment results,
as well as on the administrative process, as specified.
   (10) Under the California Constitution, whenever the Legislature
or a state agency mandates a new program or higher level of service
on any local government, including school districts, the state is
required to provide a subvention of funds to reimburse the local
government, with specified exceptions.
   Existing law provides that no local agency or school district
shall be required to implement or give effect to any statute or
Executive order, or portion thereof that imposes a mandate during any
fiscal year and for the period immediately following that fiscal
year for which the Budget Act has not been enacted for the subsequent
fiscal year if specified conditions are met, including that the
statute or executive order, or portion thereof, has been specifically
identified by the Legislature in the Budget Act for the fiscal year
as being one for which reimbursement is not provided for that fiscal
year. Existing law provides that only certain specified mandates are
subject to that provision.
   This bill would add Sexual Harassment Training in the Law
Enforcement Workplace, as specified, to the list of mandates subject
to that provision.
   (11) Existing law appropriates $26,726,000 from the General Fund
to the State Department of Education for the Pupil Retention Block
Grant for expenditure during the 2007-08 fiscal year.
   This bill, instead, would appropriate that amount for supplemental
instruction for expenditure during the 2007-08 fiscal year, thereby
making an appropriation.
   (12) Existing law requires a school district or charter school
that applies for funding appropriated for the purpose of meeting the
outstanding long-term fiscal obligations of school districts and
charter schools concerning retired employee nonpension benefits to
complete and submit to the county superintendent of schools a plan
for meeting those obligations.
   This bill would require the plan to be completed and submitted to
the county superintendent of schools on or before June 30, 2009.
   (13) Existing law requires the State Department of Education to
contract for the development of the California Longitudinal Pupil
Achievement Data System, which will provide for the retention and
analysis of data on specified statewide tests administered to pupils.
The data elements and codes included in the system are required to
comply with, among other things, the federal Family Education Rights
and Privacy Act statute and regulations.
   This bill would require the department to provide a report, no
later than August 1, 2007, to the Legislature, the Department of
Finance, the Office of the Secretary for Education, and the
Legislative Analyst's Office that includes the current guidelines
used by the department regarding access to data within CALPADS, a
summary of the ways in which other states interpret and apply the
federal Family Educational Rights and Privacy Act, and suggestions,
based on current knowledge and understanding, for options to ensure
access that is consistent with the federal Family Educational Rights
and Privacy Act.
   (14) This bill would set the cost-of-living adjustment for
specified items in the Budget Act of 2006 at 4.53%.
   (15) This bill would make funds appropriated pursuant to specified
items in the Budget Act of 2007 available for encumbrance until July
31, 2010, and would thereafter revert all unencumbered funds in
those items to the Proposition 98 Reversion Account.
   (16) This bill would appropriate $388,283,000 from the General
Fund for expenditure during the 2008-09 fiscal year according to a
specified schedule. The bill would provide that for purposes of
satisfying the minimum annual funding obligation for school districts
required by the California Constitution, those funds are General
Fund revenues appropriated for school districts and community college
districts for the 2008-09 fiscal year.
   (17) This bill would appropriate $200,000,000 from the General
Fund to the Board of Governors of the California Community Colleges
for expenditure during the 2008-09 fiscal year according to a
specified item in the Budget Act of 2007. The bill would provide that
for purposes of satisfying the minimum annual funding obligation for
community college districts required by the California Constitution,
those funds are General Fund revenues appropriated for community
college districts for the 2008-09 fiscal year.
   (18) This bill would state the intent of the Legislature regarding
the priority allocation, in the 2008-09 fiscal year, of certain
funds for kindergarten and grades 1 to 12, inclusive, to fund revenue
limit equalization.
   (19) This bill would make other technical, clarifying, and
conforming changes.
   (20) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
   (21) This bill would declare that it is to take effect immediately
as an urgency statute.
   Appropriation: yes.


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

  SECTION 1.  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 2007-08 fiscal years, inclusive.
  SEC. 2.  Section 41350 of the Education Code is amended to read:
   41350.  The Superintendent shall make allowances for child
nutrition as follows:
   (a) Reimbursement of child nutrition entities, as defined by
Section 49530.5, for all free and reduced-price meals, pursuant to
Section 49536.
   (b) Reimbursement of school districts for the difference between
the current fiscal year median statewide lunch or breakfast cost for
all free and reduced-price meals required by Section 49550 as
determined by the Superintendent and the combined total income per
meal derived from pupil charges, federal funds, and state funds as
provided in Article 11 (commencing with Section 49550) of Chapter 9
of Part 27.
   (c) Reimbursement of county superintendents of schools for the
difference between the current fiscal year median statewide lunch or
breakfast cost for all free and reduced-price meals as determined by
the Superintendent and the combined total income per meal derived
from pupil charges, federal funds, and state funds as provided in
Article 11 (commencing with Section 49550) of Chapter 9 of Part 27.
   The combined state and federal reimbursements shall not exceed the
current fiscal year median statewide lunch or breakfast cost. If the
combined pupil charges, state reimbursements, and federal
reimbursements exceed the current median statewide lunch or breakfast
costs, the federal funds shall be expended prior to the expenditure
of any state funds.
  SEC. 3.  Section 48313 of the Education Code is amended to read:
   48313.  (a) Pursuant to this article, each school district
electing to accept transfer pupils shall keep an accounting of all
requests made for alternative attendance and records of all
disposition of those requests that may include, but are not limited
to, all of the following:
   (1) The number of requests granted, denied, or withdrawn. In the
case of denied requests, the records may indicate the reasons for the
denials.
   (2) The number of pupils transferred out of the district pursuant
to this article.
   (3) The number of pupils transferred into the district pursuant to
this article.
   (b) The information maintained pursuant to subdivision (a) may be
reported to the governing board of the school district at a regularly
scheduled meeting of the governing board. The school district
annually shall report the information maintained pursuant to
subdivision (a) in addition to information regarding the district's
status as a school district of choice to the Superintendent on or
before a date designated by the Superintendent. Commencing in 2008,
the Superintendent annually shall make the information available to
the Governor, the Legislature, and the public on or before April 1.
   (c) On or before November 1, 2008, the department shall prepare
and submit to the Legislature a report evaluating interdistrict
transfer options within the state with an emphasis on the
interdistrict transfer program established pursuant to this article.
The report shall include, but is not limited to, the information
described in paragraphs (1) to (3), inclusive, of subdivision (a) and
all of the following:
   (1) The number and characteristics of pupils who use one of the
various interdistrict transfer options and other school choice
options within the state, with a specific focus on pupils who use the
interdistrict transfer program established pursuant to this article.
The characteristics reported on pursuant to this paragraph shall
include, but not be limited to, race, ethnicity, socioeconomic
status, English proficiency, and whether or not the pupil
participates in a special education program, the International
Baccalaureate Program, or another specialized instructional program.
   (2) The Academic Performance Index scores of schools in school
districts of residence and school districts of choice for the
previous five years, including subgroup scores.
   (3) The graduation rates of school districts of residence and
school districts of choice for the previous five years.
   (4) The enrollment of school districts of residence and school
districts of choice for the previous five years.
   (5) The fiscal health of school districts of residence and school
districts of choice, including, but not limited to, both of the
following:
   (A) Whether or not the school district is experiencing a decline
in enrollment.
   (B) Whether or not the school district received a negative or
qualified rating of its certification pursuant to Section 42131.
   (6) Whether any school district has exceeded the transfer limits
in Section 48307 and the resulting implications for the impacted
district.
   (7) Other information the department deems appropriate, including
information related to educational outcomes of school districts of
residence and school districts of choice.
   (8) Recommendations regarding the extension of the interdistrict
transfer program pursuant to this article.
   (d) To the extent practicable, the department shall survey school
districts of residence and school districts of choice to gather the
information described in paragraphs (1) to (7), inclusive, of
subdivision (c).
  SEC. 4.  Section 48314.5 is added to the Education Code, to read:
   48314.5.  Notwithstanding any other provision of this article,
commencing on the effective date of the act adding this section, the
governing board of a school district that has not previously elected
to participate in interdistrict transfers pursuant to this article
shall not elect to become a school district of choice.
  SEC. 5.  Section 48315 of the Education Code is amended to read:
   48315.  This article shall become inoperative on July 1, 2009,
and, as of January 1, 2010, is repealed, unless a later enacted
statute, which becomes effective on or before January 1, 2010,
deletes or extends the dates on which it becomes inoperative and is
repealed.
  SEC. 6.  Section 49430 of the Education Code is amended to read:
   49430.  As used in this article, the following terms have the
following meanings:
   (a) "Elementary school" means a public school that maintains any
grade from kindergarten to grade 6, inclusive, but no grade higher
than grade 6.
   (b) "Middle school" means a public school that maintains grade 7
or 8, 7 to 9, inclusive, or 7 to 10, inclusive.
   (c) "High school" means a public school maintaining any of grades
9 to 12, inclusive.
   (d) "Full meal" means a combination of food items that meet
USDA-approved School Breakfast Program or National School Lunch
Program meal pattern requirements or the menu planning options of
Shaping Health as Partners in Education developed by the state (SHAPE
California network).
   (e) "Added sweetener" means an additive other than 100 percent
fruit juice that enhances the sweetness of a beverage.
   (f) "Sold" means the exchange of food for money, coupons, or
vouchers.
   (g) "Entree" means a food that is generally regarded as being the
primary food in a meal, and shall include, but not be limited to,
sandwiches, burritos, pasta, and pizza.
   (h) "Snack" means a food that is generally regarded as
supplementing a meal, including, but not limited to, chips, crackers,
onion rings, nachos, french fries, donuts, cookies, pastries,
cinnamon rolls, and candy.
   (i) "Deep fried" means a food item is cooked by total submersion
in oil or fat.
   (j) "Par fried" means a food item is fried to reach an internal
temperature of 160 degrees Fahrenheit then is cooled to room
temperature so that it may be refrigerated or frozen for future
frying.
   (k) "Flash fried" means a food item is quickly fried on both sides
in oil with a temperature of 400 degrees Fahrenheit or higher.
  SEC. 7.  Section 49430.7 is added to the Education Code, to read:
   49430.7.  (a) For purposes of this section, the following terms
have the following meanings:
   (1) "School" means a school operated and maintained by a school
district or county office of education, or a charter school.
   (2) "School district" means a school district, charter school, or
county office of education.
   (3) "Child development program" means a program operated pursuant
to Chapter 2 (commencing with Section 8200) of Part 6.
   (b) As a condition of receipt of funds pursuant to Section
49430.5, commencing with the 2007-08 fiscal year, for meals and food
items sold as part of the free and reduced-price meal programs, a
school or school district shall comply with all of the following
requirements and prohibitions:
   (1) Follow the United States Department of Agriculture (USDA)
nutritional guidelines or the menu planning options of Shaping Health
as Partners in Education developed by the state (SHAPE California
network).
   (2) Not sell or serve a food item that has in any way been deep
fried, par fried, or flash fried by a school or school district.
   (3) Not sell or serve a food item containing artificial trans fat.
A food item contains artificial trans fat if it contains vegetable
shortening, margarine, or any kind of hydrogenated or partially
hydrogenated vegetable oil, unless the manufacturer's documentation
or the label required on the food, pursuant to applicable federal and
state law, lists the trans fat content as less than 0.5 gram per
serving.
   (4) Not sell or serve a food item that has been deep fried, par
fried, or flash fried in oil or fat as part of the manufacturing
process. Oils and fats prohibited by this paragraph include, but are
not limited to, palm, coconut, palm kernel, lard, typically solid at
room temperature and are known to negatively impact cardiovascular
health. Oils permitted by this paragraph include, but are not limited
to, canola, safflower, sunflower, corn, olive, soybean, peanut, or a
blend of these oils, typically liquid at room temperature and are
known for their positive cardiovascular benefit.
   (c) Commencing with the 2007-08 fiscal year, for meals and food
items sold as part of the free and reduced-price meal programs, a
child development program is encouraged to comply with all of the
following guidelines:
   (1) Meet developmentally and programmatically appropriate meal
pattern and meal planning requirements developed by the USDA or menu
planning options of Shaping Health as Partners in Education developed
by the state (SHAPE California network).
   (2) Not sell or serve a food item that has in any way been deep
fried, par fried, or flash fried by a school, school district, or
child development program.
   (3) Not sell or serve a food item containing artificial trans fat.
A food item contains artificial trans fat if it contains vegetable
shortening, margarine, or any kind of hydrogenated or partially
hydrogenated vegetable oil, unless the manufacturer's documentation
or the label required on the food, pursuant to applicable federal and
state law, lists the trans fat content as less than 0.5 gram per
serving.
   (4) Not sell or serve a food item that has been deep fried, par
fried, or flash fried in oil or fat as part of the manufacturing
process. Oils and fats prohibited by this paragraph include, but are
not limited to, palm, coconut, palm kernel, lard, typically solid at
room temperature and are known to negatively impact cardiovascular
health. Oils permitted by this provision include, but are not limited
to, canola, safflower, sunflower, corn, olive, soybean, peanut, or a
blend of these oils, typically liquid at room temperature and are
known for their positive cardiovascular benefit.
   (d) The prohibitions and requirements of this section regarding
food items sold or served by a school or school district apply to raw
bulk USDA commodity foods ordered by schools or school districts and
sent to commercial processors for conversion into ready to use end
products, but do not apply to other USDA commodity foods until the
scheduled 2009 reauthorization of the USDA National School Lunch
Program is complete or ingredient and nutrition information is
available for all USDA commodity foods, whichever is earlier.
   (e) As a condition of receipt of funds pursuant to Section
49430.5, no later than June 30, 2008, schools and school districts
shall provide the department with a one-time certification of
compliance with the provisions of this section.
   (f) This section shall become operative only upon an appropriation
for its purposes in the annual Budget Act or another statute.
  SEC. 8.  Section 52055.58 is added to the Education Code, to read:
   52055.58.  By April 1, 2010, the department shall transmit to the
appropriate fiscal and policy committees of the Legislature, the
Legislative Analyst's Office, and the Department of Finance a copy of
the final evaluation of the pilot project involving district
assistance and intervention teams conducted by the department and a
consortium of county offices of education.
  SEC. 9.  Chapter 6.5 (commencing with Section 52060) is added to
Part 28 of Division 4 of Title 2 of the Education Code, to read:
      CHAPTER 6.5.  AMERICAN INDIAN EARLY CHILDHOOD EDUCATION PROGRAM


   52060.  (a) It is the intent and purpose of the Legislature that
the American Indian Early Childhood Education Program provided for by
this chapter be directed to improve the educational accomplishments
of American Indian pupils in the educational systems in California.
   (b) It is the intent of the Legislature to establish projects in
American Indian education that are designed to develop and test
educational models that increase competence in reading and
mathematics. These instructional projects shall be provided in
prekindergarten, kindergarten, and grades 1 to 4, inclusive.
   (c) The Legislature recognizes the importance of American Indian
parent-community involvement in the planning, implementing, and
evaluation of the American Indian early childhood education programs.

   52061.  As used in this chapter:
   (a) "State board" means the State Board of Education.
   (b) "Superintendent" means the Superintendent of Public
Instruction.
   (c) "Project" means an organized undertaking in American Indian
early childhood education that includes, but is not limited to, a
description of the undertaking, a listing of the goals and objectives
to be achieved, a statement of methods to be used, and the methods
to be used in evaluating the success of the project.
   52062.  From the funds appropriated to the department for the
purposes of this chapter, the Superintendent, with the approval of
the state board, shall administer this chapter and make
apportionments to school districts to meet the total approved expense
that school districts incurred in establishing American Indian early
childhood education programs.
   52063.  (a) The governing board of a school district receiving
equalization aid, having a school in which there is a concentration
of 10 percent or more of American Indian pupils, and that maintains
prekindergarten or kindergarten, or both, and grades 1 to 4,
inclusive, may apply to the Superintendent for a project in American
Indian early childhood education.
   (b) The governing boards of two or more of school districts that
may apply for a project pursuant to subdivision (a) may apply jointly
for a project in American Indian early childhood education.
   (c) The application shall be made on forms provided by the
Superintendent and in accordance with the rules and regulations
adopted by the state board. The dates for making application shall be
established by the Superintendent.
   52064.  Upon approval by the state board of an application under
Section 52063, the Superintendent shall certify the amount to be
apportioned to the applicant school district.
   52065.  (a) A school district receiving funds provided by Section
52062 shall establish a districtwide American Indian advisory
committee for American Indian early childhood education.
   (b) At each participating school, an American Indian parent
advisory committee shall be established to increase communication and
understanding between members of a community and the school
officials. Each committee shall provide advice and suggestions on all
parts of the program.
   52066.  This chapter shall remain in effect only until January 1,
2009, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2009, deletes or extends
that date.
  SEC. 10.  Section 56836.155 of the Education Code is amended to
read:
   56836.155.  (a) On or before November 2, 1998, the department, in
conjunction with the Legislative Analyst's Office, shall do the
following:
   (1) Calculate an "incidence multiplier" for each special education
local plan area using the definition, methodology, and data provided
in the final report submitted by the American Institutes for
Research pursuant to Section 67 of Chapter 854 of the Statutes of
1997.
   (2) Submit the incidence multiplier for each special education
local plan area and supporting data to the Department of Finance.
   (b) The Department of Finance shall review the incidence
multiplier for each special education local plan area and the
supporting data, and report any errors to the department and the
Legislative Analyst's Office for correction.
   (c) The Department of Finance shall approve the final incidence
multiplier for each special education local plan area by November 23,
1998.
   (d) For the 1998-99 fiscal year and each fiscal year thereafter to
and including the 2007-08 fiscal year, the Superintendent shall
perform the following calculation to determine the adjusted
entitlement of each special education local plan area for the
incidence of disabilities:
   (1) The incidence multiplier for the special education local plan
area shall be multiplied by the statewide target amount per unit of
average daily attendance for special education local plan areas
determined pursuant to Section 56836.11 for the fiscal year in which
the computation is made.
   (2) The amount determined pursuant to paragraph (1) shall be added
to the statewide target amount per unit of average daily attendance
for special education local plan area determined pursuant to Section
56836.11 for the fiscal year in which the computation is made.
   (3) Subtract the amount of funding for the special education local
plan area determined pursuant to paragraph (1) of subdivision (a) or
paragraph (1) of subdivision (b) of Section 56836.08, as appropriate
for the fiscal year in which the computation is made, or the
statewide target amount per unit of average daily attendance for
special education local plan areas determined pursuant to Section
56836.11 for the fiscal year in which the computation is made,
whichever is greater, from the amount determined pursuant to
paragraph (2). For the purposes of this paragraph for the 2002-03,
2003-04, 2004-05, 2005-06, 2006-07, and 2007-08 fiscal years, the
amount, if any, received pursuant to Section 56836.159 shall be
excluded from the funding level per unit of average daily attendance
for a special education local plan area. If the result is less than
zero, the special education local plan area may not receive an
adjusted entitlement for the incidence of disabilities.
   (4) Multiply the amount determined in paragraph (3) by either the
average daily attendance reported for the special education local
plan area for the fiscal year in which the computation is made, as
adjusted pursuant to subdivision (a) of Section 56836.15, or the
average daily attendance reported for the special education local
plan area for the prior fiscal year, as adjusted pursuant to
subdivision (a) of Section 56826.15, whichever is less.
   (5) If there are insufficient funds appropriated in the fiscal
year for which the computation is made for the purposes of this
section, the amount received by each special education local plan
area shall be prorated.
   (e) For the 1997-98 fiscal year, the Superintendent shall perform
the calculation in paragraphs (1) to (3), inclusive, of paragraph (d)
only for the purposes of making the computation in paragraph (1) of
subdivision (d) of Section 56836.08, but the special education local
plan area may not receive an adjusted entitlement for the incidence
of disabilities pursuant to this section for the 1997-98 fiscal year.

  SEC. 11.  Section 60601 of the Education Code is amended to read:
   60601.  This chapter shall remain in effect only until January 1,
2012, and as of that date is repealed, unless a later enacted statute
that is enacted before January 1, 2012, deletes or extends that
date.
  SEC. 12.  Section 60603 of the Education Code, as amended by
Section 3 of Chapter 233 of the Statutes of 2004, is amended to read:

   60603.  (a) As used in this chapter:
   (1) "Achievement test" means any standardized test that measures
the level of performance that a pupil has achieved in the core
curriculum areas.
   (2) "Assessment of applied academic skills" means a form of
assessment that requires pupils to demonstrate their knowledge of,
and ability to apply, academic knowledge and skills in order to solve
problems and communicate. It may include, but is not limited to,
writing an essay response to a question, conducting an experiment, or
constructing a diagram or model. An assessment of applied academic
skills may not include assessments of personal behavioral standards
or skills, including, but not limited to, honesty, sociability,
ethics, or self-esteem.
   (3) "Basic academic skills" means those skills in the subject
areas of reading, spelling, written expression, and mathematics that
provide the necessary foundation for mastery of more complex
intellectual abilities, including the synthesis and application of
knowledge.
   (4) "Content standards" means the specific academic knowledge,
skills, and abilities that all public schools in this state are
expected to teach and all pupils expected to learn in each of the
core curriculum areas, at each grade level tested.
   (5) "Core curriculum areas" means the areas of reading, writing,
mathematics, history-social science, and science.
   (6) "Diagnostic assessment" means interim assessments of the
current level of achievement of a pupil that serves both of the
following purposes:
   (A) The identification of particular academic standards or skills
a pupil has or has not yet achieved.
   (B) The identification of possible reasons that a pupil has not
yet achieved particular academic standards or skills.
   (7) "Direct writing assessment" means an assessment of applied
academic skills that requires pupils to use written expression to
demonstrate writing skills, including writing mechanics, grammar,
punctuation, and spelling.
   (8) "End of course exam" means a comprehensive and challenging
assessment of pupil achievement in a particular subject area or
discipline.
   (9) "Performance standards" are standards that define various
levels of competence at each grade level in each of the curriculum
areas for which content standards are established. Performance
standards gauge the degree to which a pupil has met the content
standards and the degree to which a school or school district has met
the content standards.
   (10) "Publisher" means a commercial publisher or any other public
or private entity, other than the department, which is able to
provide tests or test items that meet the requirements of this
chapter.
   (11) "Statewide pupil assessment program" means the systematic
achievement testing of pupils in grades 2 to 11, inclusive, pursuant
to the standardized testing and reporting program under Article 4
(commencing with Section 60640) and the assessment of basic academic
skills and applied academic skills, administered to pupils in grade
levels specified in subdivision (c) of Section 60605, required by
this chapter in all schools within each school district by means of
tests designated by the state board.
   (b) This section shall become inoperative on July 1, 2011.
  SEC. 13.  Section 60603 of the Education Code, as added by Section
4 of Chapter 233 of the Statutes of 2004, is repealed.
  SEC. 14.  Section 60604 of the Education Code, as amended by
Section 5 of Chapter 233 of the Statutes of 2004, is amended to read:

   60604.  (a) The Superintendent shall design and implement,
consistent with the timetable and plan required pursuant to
subdivision (b), a statewide pupil assessment program consistent with
the testing requirements of this article in accordance with the
objectives set forth in Section 60602. That program shall include all
of the following:
   (1) A plan for producing valid, reliable, and comparable
individual pupil scores in grades 2 to 11, inclusive, and a
comprehensive analysis of these scores based on the results of the
achievement test designated by the state board that assesses a broad
range of basic academic skills pursuant to the Standardized Testing
and Reporting (STAR) Program established by Article 4 (commencing
with Section 60640).
   (2) A method of working with publishers to ensure valid, reliable,
and comparable individual, grade-level, school-level,
district-level, county-level, and statewide scores in grades 2 to 11,
inclusive, that is based
on the achievement test designated pursuant to subdivision (b) of
Section 60605.
   (3) Statewide academically rigorous content and performance
standards that reflect the knowledge and skills that pupils will need
in order to succeed in the information-based, global economy of the
21st century. These skills shall not include personal behavioral
standards or skills, including, but not limited to, honesty,
sociability, ethics, or self-esteem.
   (4) A statewide system that provides the results of testing in a
manner that reflects the degree to which pupils are achieving the
academically rigorous content and performance standards adopted by
the state board.
   (5) The alignment of assessment with the statewide academically
rigorous content and performance standards adopted by the state
board.
   (6) The active, ongoing involvement of parents, classroom
teachers, administrators, other educators, governing board members of
school districts, and the public in all phases of the design and
implementation of the statewide pupil assessment program.
   (7) The development of a contract or contracts with a publisher or
publishers, after the approval of statewide academically rigorous
content standards by the state board, for the development of
performance standards and assessments of applied academic skills
designed to test pupils' knowledge of academic skills and abilities
to apply that knowledge and those skills in order to solve problems
and communicate.
   (b) The Superintendent shall develop and annually update for the
Legislature a five-year cost projection, implementation plan, and
timetable for implementing the program described in subdivision (a).
The annual update shall be submitted on or before March 1 of each
year to the chairperson of the fiscal subcommittee considering budget
appropriations in each house. The update shall explain any
significant variations from the five-year cost projection for the
current year budget and the proposed budget.
   (c) The Superintendent shall provide each school district with
guidelines for professional development that are designed to assist
classroom teachers to use the results of the assessments administered
pursuant to this chapter to modify instruction for the purpose of
improving pupil learning. These guidelines shall be developed in
consultation with classroom teachers and approved by the state board
before dissemination.
   (d) The Superintendent and the state board shall consider comments
and recommendations from school districts and the public in the
development, adoption, and approval of assessment instruments.
   (e) The results of the achievement test administered pursuant to
Article 4 (commencing with Section 60640) shall be returned to the
school district within the period of time specified by the state
board.
   (f) This section shall become inoperative on July 1, 2011.
  SEC. 15.  Section 60604 of the Education Code, as added by Section
6 of Chapter 233 of the Statutes of 2004, is repealed.
  SEC. 16.  Section 60605 of the Education Code, as amended by
Section 7 of Chapter 233 of the Statutes of 2004, is amended to read:

   60605.  (a) (1) (A) Not later than January 1, 1998, the state
board shall adopt statewide academically rigorous content standards,
pursuant to the recommendations of the Commission for the
Establishment of Academic Content and Performance Standards, in the
core curriculum areas of reading, writing, and mathematics to serve
as the basis for assessing the academic achievement of individual
pupils and of schools, school districts, and the California
educational system. Not later than November 1, 1998, the state board
shall adopt these standards in the core curriculum areas of
history/social science and science.
   (B) The state board shall adopt statewide performance standards in
the core curriculum areas of reading, writing, mathematics,
history/social science, and science based on the recommendations made
by the Superintendent of a contractor or contractors.
   (C) The state board shall require the contractor or contractors to
submit performance standards to the Superintendent and the state
board not later than a specified date that allows sufficient
opportunity for the Superintendent to make a recommendation to the
state board and for the state board to conduct regional hearings
prior to the adoption of the performance standards.
   (2) (A) The state board may modify any proposed content standards
or performance standards prior to adoption and may adopt content and
performance standards in individual core curriculum areas as those
standards are submitted to the state board. The state performance
standards shall be established against specific grade level
benchmarks of academic achievement for each subject area tested and
shall be based on the knowledge and skills that pupils will need in
order to succeed in the information-based, global economy of the 21st
century. These skills shall not include personal behavioral
standards or skills, including, but not limited to, honesty,
sociability, ethics, or self-esteem. The standards adopted pursuant
to this section shall be for the purpose of guiding state decisions
regarding the development, adoption, and approval of assessment
instruments pursuant to this chapter and does not mandate any actions
or activities by school districts.
   (B) Because these standards are models, the adoption of these
standards is not subject to the Administrative Procedure Act. This
subparagraph is declaratory of existing law.
   (3) Before adopting academic content and performance standards,
the state board shall hold regional hearings for the purpose of
giving parents and other members of the public the opportunity to
comment on the proposed standards.
   (b) (1) The state board shall require the department to notify
publishers of the opportunity to submit, for consideration by the
state board pursuant to Section 60642, tests of achievement that
include all of the basic academic skills identified in subdivision
(c) of Section 60603 in grades 2 to 8, inclusive, and the core
curriculum areas of English and language arts, mathematics, and
science in grades 9 to 11, inclusive.
   (2) The Superintendent shall recommend to the state board which
achievement test to adopt pursuant to subdivision (b) of Section
60642.
   (c) (1) The state board shall ensure that the statewide assessment
system adopted pursuant to this chapter yields valid, reliable
individual pupil scores and, where applicable, aggregate school
scores, school district scores, and statewide scores of pupils and
assesses basic academic skills and content standards, including the
use of a direct writing assessment or other applied academic skills
if deemed valid and reliable and if resources are made available for
their use.
   (2) This subdivision does not prevent the state board from
developing or adopting an assessment instrument that also contains
assessments of basic academic skills.
   (d) To the extent feasible and as otherwise required, the state
board shall ensure that assessments developed, or contracted for
pursuant to Section 60642.5, by the state are aligned with the
statewide content and performance standards adopted pursuant to
subdivision (a). The department, with the approval of the state
board, periodically shall contract for a review of the achievement
test for conformance with these standards.
   (e) After adopting statewide content and performance standards,
the state board shall review the existing curriculum frameworks for
conformity with the new statewide standards and shall modify the
curriculum frameworks where appropriate to bring them into alignment
with the standards.
   (f) The state board shall adopt regulations for the conduct and
administration of the testing and assessment program.
   (g) The state board shall adopt a regulation for minimum security
procedures that test and assessment publishers and school districts
must follow to ensure the security and integrity of test and
assessment questions and materials.
   (h) This section shall become inoperative on July 1, 2011.
  SEC. 17.  Section 60605 of the Education Code, as added by Section
8 of Chapter 233 of the Statutes of 2004, is repealed.
  SEC. 18.  Section 60605.6 of the Education Code, as amended by
Section 9 of Chapter 233 of the Statutes of 2004, is amended to read:

   60605.6.  Subject to the availability of funds in the annual
Budget Act for this purpose, the Superintendent, upon approval of the
state board, shall contract for the development and distribution of
workbooks, as follows:
   (a) One workbook to be distributed to all pupils in the 10th
grade. This workbook shall contain information on the proficiency
levels that must be demonstrated by pupils on the high school exit
examination described in Chapter 9 (commencing with Section 60850).
The workbook also shall contain sample questions, with explanations
describing how these sample questions test pupil knowledge of the
language arts and mathematics content standards adopted by the state
board pursuant to Section 60605.
   (b) Separate workbooks for each of grades 2 to 11, inclusive. Each
pupil in grades 2 to 11, inclusive, who is required to take the
achievement tests described in Section 60642 or Section 60642.5 shall
receive a copy of the workbook designed for the same grade level in
which the pupil is enrolled. These workbooks shall contain material
to assist pupils and their parents with standards-based learning,
including the grade appropriate academic content standards adopted by
the state board pursuant to Section 60605 and sample questions that
require knowledge of these standards to answer. The workbooks also
shall describe how the sample questions test knowledge of the state
board adopted academic content standards.
   (c) This section shall become inoperative on July 1, 2011.
  SEC. 19.  Section 60605.6 of the Education Code, as added by
Section 10 of Chapter 233 of the Statutes of 2004, is repealed.
  SEC. 20.  Section 60606 of the Education Code, as amended by
Section 11 of Chapter 233 of the Statutes of 2004, is amended to
read:
   60606.  (a) After designating a test of academic achievement for
use in grades 2 to 11, inclusive, pursuant to Section 60642, or
adopting an assessment of applied academic skills for use in grades
4, 5, 8, and 10 pursuant to Section 60605, the state board shall
submit each of those two instruments when designated or adopted to
the Statewide Pupil Assessment Review Panel, which is hereby
established, for review by the panel.
   (b) The panel shall consist of six members. Three members shall be
appointed by the Governor, one member shall be appointed by the
Senate Committee on Rules, one member shall be appointed by the
Speaker of the Assembly, and one member shall be appointed by the
Superintendent. A majority of the panel shall consist of parents
whose children attend public schools in the state in kindergarten and
grades 1 to 12, inclusive.
   (c) Panel members shall serve two-year terms, without
compensation. No panel member shall serve more than two consecutive
terms.
   (d) The panel shall review the two instruments specified in
subdivision (a) in order to ensure that the content of the
instruments complies with the requirements of Section 60614.
Notwithstanding any other provision of law, the panel may meet in
closed session with a publisher for the purpose of addressing
questions and clarifying issues that relate to ensuring that the
content of the publisher's test or assessment, as the case may be,
comply with the requirements of Section 60614.
   (e) The panel shall report its findings and recommendations to the
state board within 10 days of its receipt of each instrument. If the
panel fails to report within the required 10 days, the test or
assessment shall be deemed acceptable to the panel.
   (f) This section shall become inoperative on July 1, 2011.
  SEC. 21.  Section 60606 of the Education Code, as added by Section
12 of Chapter 233 of the Statutes of 2004, is repealed.
  SEC. 22.  Section 60640 of the Education Code, as amended by
Section 4 of Chapter 676 of the Statutes of 2005, is amended to read:

   60640.  (a) There is hereby established the Standardized Testing
and Reporting Program, to be known as the STAR Program.
   (b) Commencing in the 2004-05 fiscal year and each fiscal year
thereafter, and from the funds available for that purpose, each
school district, charter school, and county office of education shall
administer to each of its pupils in grades 3 and 7 the achievement
test designated by the state board pursuant to Section 60642 and
shall administer to each of its pupils in grades 2 to 11, inclusive,
the standards-based achievement test provided for in Section 60642.5.
The state board shall establish a testing period to provide that all
schools administer these tests to pupils at approximately the same
time during the instructional year, except as necessary to ensure
test security and to meet the final filing date.
   (c) The publisher and the school district shall provide two makeup
days for the testing of previously absent pupils within the testing
period established by the state board in subdivision (b).
   (d) The governing board of the school district may administer
achievement tests in grades other than those required by subdivision
(b) as it deems appropriate.
   (e) Pursuant to Section 1412(a)(17) of Title 20 of the United
States Code, individuals with exceptional needs, as defined in
Section 56026, shall be included in the testing requirement of
subdivision (b) with appropriate accommodations in administration,
where necessary, and those individuals with exceptional needs who are
unable to participate in the testing, even with accommodations,
shall be given an alternate assessment.
   (f) (1) At the option of the school district, pupils with limited
English proficiency who are enrolled in any of grades 2 to 11,
inclusive, may take a second achievement test in their primary
language. Primary language tests administered pursuant to this
subdivision and subdivision (g) shall be subject to the requirements
of subdivision (a) of Section 60641. These primary language tests
shall produce individual pupil scores that are valid and reliable.
   (2) Notwithstanding any other law, the state board shall designate
for use, as part of this program, a single primary language test in
each language for which a test is available for grades 2 to 11,
inclusive, pursuant to the process used for designation of the
assessment chosen in the 1997-98 fiscal year, as specified in
Sections 60642 and 60643, as applicable.
   (3) (A) The department shall use funds made available pursuant to
Title VI of the federal No Child Left Behind Act of 2001 (20 U.S.C.
Sec. 6301 et seq.) and appropriated by the annual Budget Act for the
purpose of developing and adopting primary language assessments that
are aligned to the state academic content standards. Subject to the
availability of funds, primary language assessments shall be
developed and adopted for reading/language arts and mathematics in
the dominant primary language of limited-English-proficient pupils.
The dominant primary language shall be determined by the count in the
annual language census of the primary language of each
limited-English-proficient pupil enrolled in the California public
schools.
   (B) Once a dominant primary language assessment is available for
use for a specific grade level, it shall be administered in place of
the assessment designated pursuant to paragraph (1) for that grade
level.
   (C) In choosing a contractor to develop a primary language
assessment the state board shall consider the criteria for choosing a
contractor or test publisher as specified by Sections 60642 and
60643, and as specified by Section 60642.5, as applicable.
   (D) Subject to the availability of funds, the assessments shall be
developed in grade order starting with the lowest grade subject to
the STAR Program.
   (E) If the state board contracts for the development of primary
language assessments or test items to augment an existing assessment,
the state shall retain ownership rights to the assessment and the
test items. With the approval of the state board, the department may
license the test for use in other states subject to a compensation
agreement approved by the Department of Finance.
   (F) On or before January 1, 2006, the department shall submit to
the Legislature a report on the development and implementation of the
initial primary language assessments and recommendations on the
development and implementation of future assessments and funding
requirements.
   (g) A pupil identified as limited English proficient pursuant to
the administration of a test made available pursuant to Section 60810
who is enrolled in any of grades 2 to 11, inclusive, and who either
receives instruction in his or her primary language or has been
enrolled in a school in the United States for less than 12 months
shall be required to take a test in his or her primary language if a
test is available.
   (h) (1) The Superintendent shall apportion funds to school
districts to enable school districts to meet the requirements of
subdivisions (b), (e), (f), and (g).
   (2) The state board annually shall establish the amount of funding
to be apportioned to school districts for each test administered and
annually shall establish the amount that each publisher shall be
paid for each test administered under the agreements required
pursuant to Section 60643. The amounts to be paid to the publishers
shall be determined by considering the cost estimates submitted by
each publisher each September and the amount included in the annual
Budget Act, and by making allowance for the estimated costs to school
districts for compliance with the requirements of subdivisions (b),
(e), (f), and (g).
   (3) An adjustment to the amount of funding to be apportioned per
test shall not be valid without the approval of the Director of
Finance. A request for approval of an adjustment to the amount of
funding to be apportioned per test shall be submitted in writing to
the Director of Finance and the chairpersons of the fiscal committees
of both houses of the Legislature with accompanying material
justifying the proposed adjustment. The Director of Finance is
authorized to approve only those adjustments related to activities
required by statute. The Director of Finance shall approve or
disapprove the amount within 30 days of receipt of the request and
shall notify the chairpersons of the fiscal committees of both houses
of the Legislature of the decision.
   (i) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, the appropriation for
the apportionments made pursuant to paragraph (1) of subdivision (h),
and the payments made to the publishers under the contracts required
pursuant to Section 60643 or subparagraph (C) of paragraph (1) of
subdivision (a) of Section 60605 between the department and the
contractor, are "General Fund revenues appropriated for school
districts," as defined in subdivision (c) of Section 41202, for the
applicable 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 that fiscal year.
   (j) As a condition to receiving an apportionment pursuant to
subdivision (h), a school district shall report to the Superintendent
all of the following:
   (1) The number of pupils enrolled in the school district in grades
2 to 11, inclusive.
   (2) The number of pupils to whom an achievement test was
administered in grades 2 to 11, inclusive, in the school district.
   (3) The number of pupils in paragraph (1) who were exempted from
the test at the request of their parents or guardians.
   (k) The Superintendent and the state board are authorized and
encouraged to assist postsecondary educational institutions to use
the assessment results of the California Standards Tests, including,
but not limited to, the augmented California Standards Tests, for
academic credit, placement, or admissions processes.
   (l) The Superintendent, with the approval of the state board,
annually shall release to the public at least 25 percent of test
items from the standards-based achievement test provided for in
Section 60642.5 from the test administered in the previous year.
   (m) This section shall become inoperative on July, 1, 2011.
  SEC. 23.  Section 60640 of the Education Code, as amended by
Section 5 of Chapter 676 of the Statutes of 2005, is repealed.
  SEC. 24.  Section 60642 of the Education Code is amended to read:
   60642.  (a) The Superintendent and the state board may consider
any evaluations of independent experts who have not been employed by
a test publisher in the preceding 12 months regarding the suitability
of the achievement tests submitted by publishers as required by
subdivision (b) of Section 60605 for use as part of the STAR Program
established by this article.
   (b) Based upon a review of the achievement tests submitted and the
recommendation made by the Superintendent pursuant to subdivision
(b) of Section 60605, the state board, in its sole discretion, based
on the considerations set forth in Section 60644, shall designate for
use as part of the STAR Program a single test in grades 3 and 7.
   (c) The state board shall ensure that the achievement test
designated pursuant to subdivision (b) contains the subject areas
specified in subdivision (c) of Section 60603 for grades 3 and 7.
   (d) The state board is hereby authorized to designate the
achievement test to be administered pursuant to this article for more
than one academic year subject to the availability of funds.
   (e) The state board shall minimize, to the extent it deems
feasible, the amount of testing time required by the assessment in
subdivision (b) for those content areas for which there also exists a
standards-based examination as provided for pursuant to Section
60642.5.
   (f) This section shall become inoperative on July, 1, 2011.
  SEC. 25.  Section 60643 of the Education Code, as amended by
Section 19 of Chapter 233 of the Statutes of 2004, is amended to
read:
   60643.  (a) To be eligible for consideration under Section 60642
or 60642.5 by the state board, test publishers shall agree in writing
each year to meet the following requirements, as applicable, if
selected:
   (1) Enter into an agreement, pursuant to subdivision (e) or (f),
with the department by October 15 of that year.
   (2) With respect to selection under Section 60642.5, align the
standards-based achievement test provided for in Section 60642.5 to
the academically rigorous content and performance standards adopted
by the state board.
   (3) Comply with subdivisions (c) and (d) of Section 60645.
   (4) Provide valid and reliable individual pupil scores only in the
content areas specified in subdivision (c) of Section 60642 to
parents or guardians, teachers, and school administrators.
   (5) Provide valid and reliable aggregate scores only in the
content areas specified in subdivision (c) of Section 60642 to school
districts and county boards of education in all of the following
forms and formats:
   (A) Grade level.
   (B) School level.
   (C) District level.
   (D) Countywide.
   (E) Statewide.
   (F) Comparison of statewide scores relative to other states.
   (6) Provide disaggregated scores, based on
limited-English-proficient status and nonlimited-English-proficient
status. For purposes of this section, pupils with
"nonlimited-English-proficient status" shall include the total of
those pupils who are English-only pupils, fluent-English-proficient
pupils, and redesignated fluent-English-proficient pupils. These
scores shall be provided to school districts and county boards of
education in the same forms and formats listed in paragraph (5).
   (7) Provide disaggregated scores by pupil gender and ethnicity and
provide disaggregated scores based on whether pupils are
economically disadvantaged or not. These disaggregated scores shall
be in the same forms and formats as listed in paragraph (5). In any
one year, the disaggregation shall entail information already being
collected by school districts, county offices of education, or
charter schools.
   (8) Provide disaggregated scores for pupils who have
individualized education programs and have enrolled in special
education, to the extent required by federal law. These scores shall
be provided in the same forms and formats listed in paragraph (5).
This section shall not be construed to exclude the scores of special
education pupils from any state or federal accountability system.
   (9) Provide information listed in paragraphs (5), (6), (7), and
(8) to the department and the state board in the medium requested by
each entity, respectively.
   (b) It is the intent of the Legislature that the publisher work
with the Superintendent and the state board in developing a
methodology to disaggregate statewide scores as required in
paragraphs (6) and (7) of subdivision (a), and in determining which
variable indicated on the STAR testing document shall serve as a
proxy for "economically disadvantaged" status pursuant to paragraph
(7).
   (c) Access to any information about individual pupils or their
families shall be granted to the publisher only for purposes of
correctly associating test results with the pupils who produced those
results or for reporting and disaggregating test results as required
by this section. School districts are prohibited from excluding a
pupil from the test if a parent or parents decline to disclose
income. This chapter does not abridge or deny rights to
confidentiality contained in the federal Family Educational Rights
and Privacy Act of 1974 (20 U.S.C. Sec. 1232g) or other applicable
provisions of state and federal law that protect the confidentiality
of information collected by educational institutions.
   (d) Notwithstanding any other provision of law, the publisher of
the achievement test designated pursuant to Section 60642, the
publisher of the standards-based achievement test provided for in
Section 60642.5, or any contractor under subdivision (f) shall comply
with all of the conditions and requirements enumerated in
subdivision (a), as applicable, to the satisfaction of the state
board.
   (e) (1) A publisher shall not provide a test described in Section
60642, 60642.5, or 60650 or in subdivision (f) of Section 60640 for
use in California public schools, unless the publisher enters into a
written contract with the department as set forth in this
subdivision.

  (2) The department shall develop, and the state board shall
approve, a contract to be entered into with any publisher pursuant to
paragraph (1). The department may develop the contract through
negotiations with the publisher.
   (3) For purposes of the contracts authorized pursuant to this
subdivision, the department is exempt from the requirements of Part 2
(commencing with Section 10100) of Division 2 of the Public Contract
Code and from the requirements of Article 6 (commencing with Section
999) of Chapter 6 of Division 4 of the Military and Veterans Code.
   (4) The contracts shall include provisions for progress payments
to the publisher for work performed or costs incurred in the
performance of the contract. Not less than 10 percent of the amount
budgeted for each separate and distinct component task provided for
in each contract shall be withheld pending final completion of all
component tasks by that publisher. The total amount withheld pending
final completion shall not exceed 10 percent of the total contract
price.
   (5) The contracts shall require liquidated damages to be paid by
the publisher in the amount of up to 10 percent of the total cost of
the contract for any component task that the publisher through its
own fault or that of its subcontractors fails to substantially
perform by the date specified in the agreement.
   (6) The contracts shall establish the process and criteria by
which the successful completion of each component task shall be
recommended by the department and approved by the state board.
   (7) The publishers shall submit, as part of the contract
negotiation process, a proposed budget and invoice schedule, that
includes a detailed listing of the costs for each component task and
the expected date of the invoice for each completed component task.
   (8) The contracts shall specify the following component tasks, as
applicable, that are separate and distinct:
   (A) Development of new tests or test items as required by
paragraph (2) of subdivision (a).
   (B) Test materials production or publication.
   (C) Delivery of test materials to school districts.
   (D) Test processing, scoring, and analyses.
   (E) Reporting of test results to the school districts, including,
but not limited to, all reports specified in this section.
   (F) Reporting of test results to the department, including, but
not limited to, the electronic files required pursuant to this
section.
   (G) All other analyses or reports required by the Superintendent
to meet the requirements of state and federal law and set forth in
the agreement.
   (9) The contracts shall specify the specific reports and data
files, if any, that are to be provided to school districts by the
publisher and the number of copies of each report or file to be
provided.
   (10) The contracts shall specify the means by which any delivery
date for materials to each school district shall be verified by the
publisher and the school district.
   (11) School districts may negotiate a separate agreement with the
publisher for any additional materials or services not within the
contracts specified in this subdivision, including, but not limited
to, the administration of the tests to pupils in grade levels other
than grades 2 to 11, inclusive. Any separate agreement is not within
the scope of the contract specified in this subdivision.
   (f) The department, with approval of the state board, may enter
into a separate contract for the development or administration of any
test authorized pursuant to this part, including, but not limited
to, item development, coordination of tests, assemblage of tests or
test items, scoring, or reporting. The liquidated damages provision
set forth in paragraph (5) of subdivision (e) shall apply to any
contract entered into pursuant to this subdivision.
   (g) This section shall become inoperative on July, 1, 2011.
  SEC. 26.  Section 60643 of the Education Code, as added by Section
20 of Chapter 233 of the Statutes of 2004, is repealed.
  SEC. 27.  Section 60643.1 of the Education Code, as amended by
Section 21 of Chapter 233 of the Statutes of 2004, is amended to
read:
   60643.1.  (a) (1) The test publisher designated by the state board
pursuant to Section 60642 shall make available a reading list on the
Internet by June 1 of the applicable school year. The reading list
shall include an index that correlates ranges of pupil reading scores
on the English language arts portion of the achievement test
designated pursuant to Section 60642 to titles of materials that
would be suitable for pupils in each of grades 2 to 11, inclusive, to
read in order to improve their reading skills. This reading list
shall include titles of books that allow a pupil to practice reading
at his or her current reading level and that will assist the pupil in
achieving a higher level of proficiency. To the extent possible, the
index also shall include information related to the subject matter
of each title. At a minimum, the reading list also shall categorize
titles by subject matter and identify age-appropriate distinctions in
the list.
   (2) The test publisher, in each school year, shall make available
for purchase by school districts a report that provides a numerical
distribution of the reading scores of all pupils in California who
took the achievement test designated pursuant to Section 60642.
   (3) The test publisher, in each school year, shall make available
for purchase by school districts reading lists that can be
distributed to pupils based on a pupil's age and the ranges of scores
on the English language arts portion of the achievement test
designated pursuant to Section 60642.
   (4) The requirements of this subdivision shall become operative
only upon a determination by the Director of Finance that funds are
available to make an adjustment pursuant to subdivision (h) of
Section 60640.
   (b) The state board and the Superintendent jointly shall certify
that the process used by the publisher to determine the reading
levels of the corresponding reading list pursuant to paragraph (1) of
subdivision (a) meets the following criteria:
   (1) The process is educationally valid.
   (2) The process results in a reading list for each reading span
that provides titles at the pupil's current reading level and the
next higher level for challenging practice.
   (3) The process results in a selection from the universe of titles
from the list developed pursuant to subdivision (d) that matches
each reading level.
   (4) The process is unbiased in the selection of publishers' titles
from the legal compliance list.
   (c) The titles listed at each reading level range posted on the
Internet and the reading lists made available to school districts
pursuant to subdivision (a), at a minimum, shall include all relevant
literature materials approved as of September 1, 1999, as being
legally compliant pursuant to Article 3 (commencing with Section
60040) of Chapter 1 of Part 33, and the titles listed in all of the
content area reading and literature lists that are developed and
published by the department and that have been determined by the
department to meet the relevant reading level as certified pursuant
to subdivision (b).
   (d) By imposing the requirements of this section on publishers, it
is not the intent of the Legislature to unfairly disadvantage any
publisher who has otherwise met the requirements of this section or
of Article 3 (commencing with Section 60040) of Chapter 1 of Part 33.

   (e) This section shall become inoperative on July, 1, 2011.
  SEC. 28.  Section 60643.1 of the Education Code, as added by
Section 22 of Chapter 233 of the Statutes of 2004, is repealed.
  SEC. 29.  Section 60810 of the Education Code is amended to read:
   60810.  (a) (1) The Superintendent shall review existing tests
that assess the English language development of pupils whose primary
language is a language other than English. The tests shall include,
but not be limited to, an assessment of achievement of these pupils
in English reading, speaking, and written skills. The Superintendent
shall determine which tests, if any, meet the requirements of
subdivisions (b) and (c). If any existing test or series of tests
meets these criteria, the Superintendent, with approval of the state
board, shall report to the Legislature on its findings and
recommendations.
   (2) If no suitable test exists, the Superintendent shall explore
the option of a collaborative effort with other states to develop a
test or series of tests and share test development costs. If no
suitable test exists, the Superintendent, with approval of the state
board, may contract to develop a test or series of tests that meets
the criteria of subdivisions (b) and (c) or may contract to modify an
existing test or series of tests so that it will meet the
requirements of subdivisions (b) and (c).
   (3) The Superintendent and the state board shall release a request
for proposals for the development of the test or series of tests
required by this subdivision. The state board shall select a
contractor or contractors for the development of the test or series
of tests required by this subdivision, to be available for
administration during the 2000-01 school year.
   (4) The Superintendent shall apportion funds appropriated to
enable school districts to meet the requirements of subdivision (d).
The state board shall establish the amount of funding to be
apportioned per test administered, based on a review of the cost per
test.
   (5) An adjustment to the amount of funding to be apportioned per
test is not valid without the approval of the Director of Finance. A
request for approval of an adjustment to the amount of funding to be
apportioned per test shall be submitted in writing to the Director of
Finance and the chairpersons of the fiscal committees of both houses
of the Legislature with accompanying material justifying the
proposed adjustment. The Director of Finance is authorized to approve
only those adjustments related to activities required by statute.
The Director of Finance shall approve or disapprove the amount within
30 days of receipt of the request and shall notify the chairpersons
of the fiscal committees of both houses of the Legislature of the
decision.
   (b) (1) The test or series of tests developed or acquired pursuant
to subdivision (a) shall have sufficient range to assess pupils in
grades 2 to 12, inclusive, in English listening, speaking, reading,
and writing skills. Pupils in kindergarten and grade 1 shall be
assessed in English listening and speaking, and, once an assessment
is developed, early literacy skills. The early literacy assessment
shall be administered for a period of three years beginning after the
initial administration of the assessment or until July 1, 2012,
whichever occurs first. Six months after the results of the last
administered assessment are collected, but no later than January 1,
2013, the department shall report to the Legislature on the
administration of the kindergarten and grade 1 early literacy
assessment results, as well as on the administrative process, in
order to determine whether reauthorization of the early literacy
assessment is appropriate.
   (2) In the development and administration of the assessment for
pupils in kindergarten and grade 1, the department shall minimize any
additional assessment time, to the extent possible. To the extent
that it is technically possible, items that are used to assess
listening and speaking shall be used to measure early literacy
skills. The department shall ensure that the test and procedures for
its administration are age and developmentally appropriate. Age and
developmentally appropriate procedures for administration may
include, but are not limited to, one-on-one administration, a small
group setting, and orally responding or circling a response to a
question.
   (c) The test or series of tests shall meet all of the following
requirements:
   (1) Provide sufficient information about pupils at each grade
level to determine levels of proficiency ranging from no English
proficiency to fluent English proficiency with at least two
intermediate levels.
   (2) Have psychometric properties of reliability and validity
deemed adequate by technical experts.
   (3) Be capable of administration to pupils with any primary
language other than English.
   (4) Be capable of administration by classroom teachers.
   (5) Yield scores that allow comparison of the growth of a pupil
over time, can be tied to readiness for various instructional
options, and can be aggregated for use in the evaluation of program
effectiveness.
   (6) Not discriminate on the basis of race, ethnicity, or gender.
   (7) Be aligned with the standards for English language development
adopted by the state board pursuant to Section 60811.
   (8) Be age and developmentally appropriate for pupils.
   (d) The test shall be used for the following purposes:
   (1) To identify pupils who are limited English proficient.
   (2) To determine the level of English language proficiency of
pupils who are limited English proficient.
   (3) To assess the progress of limited-English-proficient pupils in
acquiring the skills of listening, reading, speaking, and writing in
English.
  SEC. 30.  Section 17581.5 of the Government Code is amended to
read:
   17581.5.  (a) A school district shall not be required to implement
or give effect to the statutes, or a portion of the statutes,
identified in subdivision (b) during any fiscal year and for the
period immediately following that fiscal year for which the Budget
Act has not been enacted for the subsequent fiscal year if all of the
following apply:
   (1) The statute or a portion of the statute, has been determined
by the Legislature, the commission, or any court to mandate a new
program or higher level of service requiring reimbursement of school
districts pursuant to Section 6 of Article XIII B of the California
Constitution.
   (2) The statute, ora portion of the statute, or the test claim
number utilized by the commission, specifically has been identified
by the Legislature in the Budget Act for the fiscal year as being one
for which reimbursement is not provided for that fiscal year. For
purposes of this paragraph, a mandate shall be considered
specifically to have been identified by the Legislature only if it
has been included within the schedule of reimbursable mandates shown
in the Budget Act and it specifically is identified in the language
of a provision of the item providing the appropriation for mandate
reimbursements.
   (b) This section applies only to the following mandates:
   (1) The School Bus Safety I (CSM-4433) and II (97-TC-22) mandates
(Chapter 642 of the Statutes of 1992; Chapter 831 of the Statutes of
1994; and Chapter 739 of the Statutes of 1997).
   (2) The School Crimes Reporting II mandate (97-TC-03; and Chapter
759 of the Statutes of 1992 and Chapter 410 of the Statutes of 1995).

   (3) Investment reports (96-358-02; and Chapter 783 of the Statutes
of 1995 and Chapters 156 and 749 of the Statutes of 1996).
   (4) County treasury oversight committees (96-365-03; and Chapter
784 of the Statutes of 1995 and Chapter 156 of the Statutes of 1996).

   (5) Grand jury proceedings mandate (98-TC-27; and Chapter 1170 of
the Statutes of 1996, Chapter 443 of the Statutes of 1997, and
Chapter 230 of the Statutes of 1998).
   (6) Sexual Harassment Training in the Law Enforcement Workplace
(97-TC-07; and Chapter 126 of the Statutes of 1993).
  SEC. 31.  Section 37 of Chapter 79 of the Statutes of 2006 is
amended to read:
  Sec. 37.  (a) Three hundred eighty-eight million two hundred
eighty-three thousand dollars ($388,283,000) is hereby appropriated
from the General Fund, for expenditure during the 2007-08 fiscal
year, in accordance with the following schedule:
   (1) Six million two hundred twenty-seven thousand dollars
($6,227,000) to the State Department of Education 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 2006.
   (2) Sixty-three million three hundred ninety-one thousand dollars
($63,391,000) to the State Department of Education 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 2006. 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 2006, and twelve million three hundred thirty thousand
dollars ($12,330,000) shall be expended consistent with Schedule (2)
of that item.
   (3) Twenty-six million seven hundred twenty-six thousand dollars
($26,726,000) to the State Department of Education 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 2006. Of
the amount appropriated by this paragraph, four million six hundred
ninety thousand dollars ($4,690,000) shall be expended consistent
with Schedule (3) of Item 6110-104-0001 of Section 2.00 of the Budget
Act of 2006, and twenty-two million thirty-six thousand dollars
($22,036,000) shall be expended consistent with Schedule (4) of that
item.
   (4) Thirty-nine million six hundred thirty thousand dollars
($39,630,000) to the State Department of Education 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 2006.
   (5) Fifty-two million five hundred eighty-three thousand dollars
($52,583,000) to the State Department of Education for home-to-school
transportation to be expended consistent with the requirements
specified in Schedule (1) of Item 6110-111-0001 of Section 2.00 of
the Budget Act of 2006.
   (6) Four million two hundred ninety-four thousand dollars
($4,294,000) to the State Department of Education 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 2006.
   (7) Forty-five million eight hundred ninety-six thousand dollars
($45,896,000) to the State Department of Education 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 2006.
   (8) Four million seven hundred fifty-one thousand dollars
($4,751,000) to the State Department of Education for community day
schools to be expended consistent with the requirements specified in
of Item 6110-190-0001 of Section 2.00 of the Budget Act of 2006.
   (9) Five million nine hundred forty-seven thousand dollars
($5,947,000) to the State Department of Education for categorical
block grants for charter schools to be expended consistent with the
requirements specified in Item 6110-211-0001 of Section 2.00 the
Budget Act of 2006.
   (10) Thirty-eight million seven hundred twenty thousand dollars
($38,720,000) to the State Department of Education for the School
Safety Block Grant to be expended consistent with the requirements
specified in Schedule (1) of Item 6110-228-0001 of Section 2.00 of
the Budget Act of 2006.
   (11) One hundred million one hundred eighteen thousand dollars
($100,118,000) to the State Department of Education for Targeted
Instructional Improvement Grant Program to be expended consistent
with the requirements specified in Item 6110-246-0001 of Section 2.00
of the Budget Act of 2006.
   (b) 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
2007-08 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 2007-08 fiscal year.
  SEC. 32.  Item 6110-136-0890 of Section 2.00 of the Budget Act of
2006 (Chapter 47 of the Statutes of 2006) is amended to read:
6110-136-0890--For local assistance,
Department of Education, payable from
the Federal Trust Fund................... 1,760,816,000
    Schedule:
    (1)  10.30.060-Title I-   1,680,283,00
         ESEA................            0
    (2)  10.30.065-McKinney-
         Vento Homeless
         Children Education..    8,409,000
    (3)  10.30.080-Title I-
         School Improvement..   72,124,000
    Provisions:
    1.   In administering the
         accountability system required
         by this item, the State
         Department of Education shall
         align the forms, processes, and
         procedures required of local
         educational agencies in a manner
         that they may be utilized for
         the purposes of implementing the
         Public Schools Accountability
         Act, as established by Chapter
         6.1 (commencing with Section
         52050) of Part 28 of the
         Education Code, so that
         duplication of effort is
         minimized at the local level.
    2.   Of the funds appropriated in
         Schedule (3), $10,000,000 shall
         be available for use by the
         State Department of Education
         for the purposes of the
         Statewide System of School
         Support established by Article
         4.2 (commencing with Section
         52059) of Chapter 6.1 of Part 28
         of the Education Code.
    3.   Of the funds appropriated in
         Schedule (3), up to $2,000,000
         shall be made available to
         support school assistance and
         intervention teams that enter
         into a contract with a school
         pursuant to subdivision (a) of
         Section 52055.51 of the
         Education Code. These funds
         shall be allocated in the amount
         of $75,000 for each school
         assistance and intervention team
         assigned to an elementary or
         middle school, and $100,000 for
         each team assigned to a high
         school. The State Department of
         Education and Department of
         Finance may approve applications
         with justification for a total
         funding level of $125,000.
    4.   Of the funds appropriated in
         Schedule (3), up to $22,069,000
         shall be made available to
         provide $150 per pupil for each
         pupil in a school that is
         managed in accordance with
         paragraph (3) of subdivision (b)
         of Section 52055.5 of the
         Education Code or that contracts
         with a school assistance and
         intervention team pursuant to
         subdivision (a) of Section
         52055.51 of the Education Code.
    5.   Of the funds appropriated in
         Schedule (3), $16,180,000 shall
         be available pursuant to Article
         3.1 (commencing with Section
         52055.57) of Chapter 6.1 of Part
         28 of the Education Code, for
         Title I district accountability.
    6.   The funds appropriated in
         Schedule     (1) include a one-
         time carryover from prior years
         of $3,500,000, available for the
         Even Start program.
    7.   The funds appropriated in
         Schedule (2) include a one-time
         carryover of $500,000 to support
         the existing McKinney-Vento
         Homeless Children Education
         program.
    9.   The funds appropriated in
         Schedule (1) include a one-time
         carryover of $24,300,000 to
         support the Title I Basic
         Program.
    10.  The funds appropriated in
         Schedule (3) include a one-time
         carryover of $22,275,000 to
         support the Title I School
         Improvement program.


  SEC. 33.  In order to be eligible for an allocation of funds made
available pursuant to paragraph (6) of subdivision (a) of Section 9
of Chapter 371 of the Statutes of 2006, a school district or charter
school that applies for that funding shall complete and submit to the
county superintendent of schools on or before June 30, 2009, its
plan for meeting its outstanding long-term fiscal obligations
concerning retired employee nonpension benefits.
  SEC. 34.  The allocation of funds a school district, charter
school, or county office of education receives pursuant to paragraph
(16) of subdivision (a) of Section 43 of Chapter 79 of the Statutes
of 2006, as amended by Section 9 of Chapter 371 of the Statutes of
2006, shall be used solely for the following:
   (a) Art and music supplies and equipment.
   (b) Physical education supplies and equipment.
   (c) Professional development in arts, music, physical education,
or physical fitness.
  SEC. 35.  It is the intent of the Legislature to enact legislation
requiring the clear articulation of a data access policy that is both
compliant with the federal Family Educational Rights and Privacy Act
(20 U.S.C. Sec. 1232g) and related federal regulations and allows
parents, educators, researchers, policymakers, and the public
appropriate access to the longitudinal data that will be available in
the California Longitudinal Pupil Achievement Data System (CALPADS).
To further that intent, the State Department of Education shall
provide a report, no later than August 1, 2007, to the Legislature,
the Department of Finance, the Office of the Secretary for Education,
and the Legislative Analyst's Office that includes all of the
following:
   (a) The current guideline used by the department regarding access
to data within CALPADS.
   (b) A summary of the ways in which other states interpret and
apply the federal Family Educational Rights and Privacy Act (20
U.S.C. Sec. 1232g) to longitudinal pupil data.
   (c) Suggestions, based on current knowledge and understanding, for
options to ensure access that is consistent with the federal Family
Educational Rights and Privacy Act (20 U.S.C. Sec. 1232g).
  SEC. 36.  Notwithstanding Sections 42238.1 and 42238.15 of the
Education Code or any other provision of law, the cost-of-living
adjustment for Items 6110-104-0001, 6110-105-0001, 6110-111-0001,
6110-156-0001, 6110-158-0001, 6110-161-0001, 6110-189-0001,
6110-190-0001, 6110-196-0001, 6110-232-0001, 6110-234-0001,
6110-244-0001, and 6110-246-0001 of Section 2.00 of the Budget Act of
2006 (Chapter 47 of the Statutes of 2006), and those items
identified in subdivision (b) of Section 12.40 of the Budget Act of
2006, is 4.53 percent. All funds appropriated 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.
  SEC. 37.  Notwithstanding any other provision of law, the funds
appropriated pursuant to Items 6110-103-0001, 6110-104-0001,
6110-105-0001, 6110-111-0001, 6110-124-0001, 6110-156-0001,
6110-158-0001, 6110-161-0001, 6110-190-0001, 6110-211-0001, and
6110-243-0001 of Section 2.00 of the Budget Act of 2007 are available
for encumbrance until July 31, 2010, and after that date, all
remaining unencumbered funds in those items shall revert to the
Proposition 98 Reversion Account.
  SEC. 38.  (a) The sum of three hundred eighty-eight million two
hundred eighty-three thousand dollars ($388,283,000) is hereby
appropriated from the General Fund, for expenditure during the
2008-09 fiscal year, in accordance with the following schedule:
   (1) Six million two hundred twenty-seven thousand dollars
($6,227,000) to the State Department of Education 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 2007.
   (2) Ninety million one hundred seventeen thousand dollars
($90,117,000) to the State Department of Education 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 2007. 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 2007, 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) to the State Department of Education 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 2007.
   (4) Fifty-two million five hundred eighty-three thousand dollars
($52,583,000) to the State Department of Education for home-to-school
transportation to be expended consistent with the requirements
specified in Schedule (1) of Item 6110-111-0001 of Section 2.00 of
the Budget Act of 2007.
   (5) Four million two hundred ninety-four thousand dollars
($4,294,000) to the State Department of Education 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 2007.
   (6) Forty-five million eight hundred ninety-six thousand dollars
($45,896,000) to the State Department of Education 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 2007.
   (7) Four million seven hundred fifty-one thousand dollars
($4,751,000) to the State Department of Education for community day
schools to be expended consistent with the requirements specified in
of Item 6110-190-0001 of Section 2.00 of the Budget Act of 2007.
   (8) Five million nine hundred forty-seven thousand dollars
($5,947,000) to the State Department of Education for categorical
block grants for charter schools to be expended consistent with the
requirements specified in Item 6110-211-0001 of Section 2.00 the
Budget Act of 2007.
   (9) Thirty-eight million seven hundred twenty thousand dollars
($38,720,000) to the State Department of Education for the School
Safety Block Grant to be expended consistent with the requirements
specified in Schedule (1) of Item 6110-228-0001 of Section 2.00 of
the Budget Act of 2007.
   (10) One hundred million one hundred eighteen thousand dollars
($100,118,000) to the State Department of Education for Targeted
Instructional Improvement Grant Program to be expended consistent
with the requirements specified in Item 6110-246-0001 of Section 2.00
of the Budget Act of 2007.
   (b) For 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 2008-09 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 2008-09 fiscal
year.
  SEC. 39.  (a) The sum of two hundred million dollars ($200,000,000)
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 2008-09
fiscal year, to be expended in accordance with Schedule (1) of Item
6870-101-0001 of Section 2.00 of the Budget Act of 2007.
   (b) For the purposes of making the computations required by
Section 8 of Article XVI of the California Constitution, the
appropriation made by subdivision (a) shall be deemed to be "General
Fund revenues appropriated for community college districts," as
defined in subdivision (d) of Section 41202 of the Education Code,
for the 2008-09 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 2008-09 fiscal year.
  SEC. 40.  It is the intent of the Legislature that for the 2008-09
fiscal year, after funding cost-of-living and enrollment growth
adjustments for kindergarten and grades 1 to 12, inclusive, education
programs operated in the 2007-08 fiscal year, a priority for the
allocation of any additional funds available for kindergarten and
grades 1 to 12, inclusive, within the Proposition 98 minimum
guarantee shall be to fund revenue limit equalization in a manner
consistent with Section 42238.48 of the Education Code.
  SEC. 41.  If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.
  SEC. 42.  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 make the necessary statutory changes to implement the
Budget Act of 2007 at the earliest possible time, it is necessary
that this act take effect immediately.