BILL NUMBER: ACAX3 2	CHAPTERED
	BILL TEXT

	CHAPTER  2
	FILED WITH SECRETARY OF STATE  FEBRUARY 19, 2009
	PASSED THE SENATE  FEBRUARY 19, 2009
	PASSED THE ASSEMBLY  FEBRUARY 14, 2009

INTRODUCED BY   Assembly Member Bass

                        FEBRUARY 13, 2009

   A resolution to propose to the people of the State of California
an amendment to the Constitution of the State, by adding Section 8.3
to Article XVI thereof, relating to education finance.


	LEGISLATIVE COUNSEL'S DIGEST


   ACA 2, Bass. Education finance.
   The California Constitution requires the state, from all state
revenues, to first set apart the moneys to be applied for the support
of the public school system and public institutions of higher
education. The Constitution requires that the moneys to be applied by
the state for the support of school districts and community college
districts be not less than the greater of 3 amounts computed pursuant
to specified tests. The Constitution provides that school districts
and community college districts are entitled to a maintenance factor,
as specified, for any fiscal year in which they are allocated a
reduced amount of funding pursuant to the 3rd test or pursuant to a
suspension of the minimum funding guarantee.
   This measure would provide, commencing with the 2011-12 fiscal
year, that school districts and community college districts are to
receive supplemental education payments in the total amount of
$9,300,000,000, and would require the Legislature to annually
appropriate that amount from a specified account until the full
amount of the supplemental education payments has been allocated. The
measure would provide that the payments are in lieu of the
maintenance factor amounts, if any, that otherwise would be
determined for the 2007-08 or 2008-09 fiscal years. The measure would
make its operation contingent upon the establishment, under a
separate provision of the Constitution, of the specified account from
which the payments would be appropriated.
    The measure would require that, of the appropriations to school
districts for this purpose for the 2011-12 fiscal year, an amount not
exceeding $200,000,000 be available only for the purposes set forth
in a specified statute, as determined pursuant to the funding formula
set forth in that statute. The measure would require that any
remaining funds from the appropriations made to school districts for
the 2011-12 fiscal year, and all of the funds from the appropriations
made to school districts for each subsequent fiscal year, be
allocated to school districts as an adjustment to revenue limit
apportionments, as specified by statute, in a manner that does not
limit a recipient school district with regard to the purposes of the
district for which the moneys may be expended.



   Resolved by the Assembly, the Senate concurring, That the
Legislature of the State of California at its Third Extraordinary
Session commencing on the fifth day of January 2009, two-thirds of
the membership of each house concurring, hereby proposes to the
people of the State of California, that the Constitution of the State
be amended as follows:
    That Section 8.3 is added to Article XVI thereof, to read:
      Sec. 8.3.  (a) School districts and community college districts
shall receive supplemental education payments in the total amount of
nine billion three hundred million dollars ($9,300,000,000). These
payments shall be in lieu of the maintenance factor amounts, if any,
that otherwise would be determined pursuant to subdivision (d) of
Section 8 for the 2007-08 and 2008-09 fiscal years. These payments
are not subject to subdivision (e) of Section 8. These payments shall
be made only from the Supplemental Education Payment Account,
subject to the deposit into that account of the amounts necessary to
make the payments. The operation of this section is contingent upon
the establishment of the Supplemental Education Payment Account
pursuant to subdivision (a) of Section 20.
   (b) Commencing with the 2011-12 fiscal year, in addition to the
amounts required to be allocated pursuant to subdivisions (b) and (e)
of Section 8, the Legislature annually shall appropriate to school
districts and community college districts the amount transferred to
the Supplemental Education Payment Account pursuant to subdivision
(h) of Section 20 in satisfaction of the supplemental education
payments required by subdivision (a), until the full amount of the
supplemental education payments required by subdivision (a) has been
allocated pursuant to this section.
   (c) (1) Of the appropriations made to school districts for the
2011-12 fiscal year pursuant to subdivision (b), an amount not
exceeding two hundred million dollars ($200,000,000) shall be
available only for the purposes set forth in Section 42238.49 of the
Education Code as that section read on March 28, 2009, as determined
pursuant to the funding formula set forth in that section.
   (2) The remaining amount of the appropriations made to school
districts for the 2011-12 fiscal year pursuant to subdivision (b),
and all of the appropriations made to school districts pursuant to
subdivision (b) for each subsequent fiscal year, shall be allocated
as an adjustment to revenue limit apportionments, as specified by
statute, in a manner that does not limit a recipient school district
with regard to the purposes of the district for which the moneys may
be expended.
   (d) All amounts appropriated in a fiscal year pursuant to this
section shall be deemed allocations to school districts and community
college districts from General Fund proceeds of taxes appropriated
pursuant to Article XIII B for that fiscal year, for purposes of
determining, in the following fiscal year, the amount required
pursuant to paragraph (2) or (3), as applicable, of subdivision (b)
of Section 8.