BILL NUMBER: AB 1948 CHAPTERED 09/30/08 CHAPTER 636 FILED WITH SECRETARY OF STATE SEPTEMBER 30, 2008 APPROVED BY GOVERNOR SEPTEMBER 30, 2008 PASSED THE SENATE AUGUST 14, 2008 PASSED THE ASSEMBLY AUGUST 19, 2008 AMENDED IN SENATE AUGUST 12, 2008 AMENDED IN SENATE JULY 10, 2008 AMENDED IN SENATE JUNE 12, 2008 AMENDED IN ASSEMBLY APRIL 16, 2008 INTRODUCED BY Assembly Member Evans FEBRUARY 13, 2008 An act to amend Section 11 of Chapter 53 of the Statutes of 2004, relating to education finance. LEGISLATIVE COUNSEL'S DIGEST AB 1948, Evans. Education finance. (1) Existing law requires the Superintendent of Public Instruction and the Director of Finance to jointly establish a plan for repayment of school funds that a local educational agency received on the basis of average daily attendance that did not comply with statutory or regulatory requirements that were conditions of apportionments, as determined by an audit or a review. Existing law also requires the Superintendent and the Director of Finance to jointly establish a plan for repayment of a penalty arising from an audit exception. Existing law establishes the Education Audit Appeals Panel, and requires the panel to hear an appeal, filed by the local educational agency within prescribed timelines, of a finding of a final audit report resulting from audit or review. This bill would, notwithstanding the appeal timelines in this provision, authorize the panel to accept, at its discretion, an appeal filed one business day late by the Vallejo City Unified School District related to specified findings from that district's 2003-04 local educational agency annual audit. (2) Existing law appropriates $60,000,000 from the General Fund to the Superintendent of Public Instruction for apportionment to the Vallejo City Unified School District as an emergency loan. Existing law authorizes the Vallejo City Unified School District, from June 1, 2004, to June 30, 2007, inclusive, to sell property owned by the district and to use the proceeds from the sale to reduce or retire that emergency loan. This act would extend the termination date of the operation of this provision from June 30, 2007, to July 1, 2010. The bill would make a legislative finding and declaration that the unique circumstances of the Vallejo City Unified School District warrant the enactment of this provision as a special statute. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Notwithstanding subdivision (d) of Section 41344 of the Education Code, the Education Audit Appeals Panel, at its discretion, may accept an appeal filed one business day late by the Vallejo City Unified School District related to Findings 2004-48, 2004-50, and 2004-58 from that district's 2003-04 local educational agency annual audit. SEC. 2. Section 11 of Chapter 53 of the Statutes of 2004 is amended to read: Sec. 11. (a) Notwithstanding Sections 17456, 17457, 17462, and 17463 of the Education Code, or any other law, from June 1, 2004, to July 1, 2010, inclusive, the Vallejo City Unified School District may sell property owned by the district and use the proceeds from the sale to reduce or retire the emergency loan provided in Section 9 of this act. The sale only of property pursuant to this subdivision is not subject to Section 17459 or 17464 of the Education Code. (b) Notwithstanding any other provision of law, from June 1, 2004, to June 30, 2010, inclusive, the Vallejo City Unified School District is not eligible for financial hardship assistance pursuant to Article 8 (commencing with Section 17075.10) of Chapter 12.5 of Part 10 of Division 1 of Title 1 of the Education Code. SEC. 3. The Legislature finds and declares that, due to unique circumstances relating to the fiscal emergency in the Vallejo City Unified School District, a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution and the enactment of Sections 1 and 2 of this act as a special statute is therefore necessary.