BILL NUMBER: AB 184	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 2, 2010
	AMENDED IN SENATE  SEPTEMBER 4, 2009

INTRODUCED BY   Assembly Members Block and V. Manuel Perez
   (Coauthor: Senator Price)

                        FEBRUARY 2, 2009

    An act to repeal, add, and repeal Section 14044 of the
Corporations Code, relating to corporations, making an appropriation
therefor, and declaring the urgency thereof, to take effect
immediately.   An act to amend Section 56836.155 of the
Education Code, relating to special education, and declaring the
urgency thereof, to take effect immediately. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 184, as amended, Block.  California Small Business
Expansion Fund.  Special education funding.  
   Existing law requires the Superintendent of Public Instruction,
through the 2008-09 fiscal year, to perform a specified calculation
to determine the adjusted entitlement of each special education local
plan area for the incidence of disabilities.  
   This bill would extend the requirements of the Superintendent to
perform the calculation and adjust the funding through the 2009-10
fiscal year and would specify that the calculation and adjustment
also apply to the 2009-10 fiscal year.  
   The California Small Business Financial Development Corporation
Law authorizes the formation of small business financial development
corporations to grant loans or loan guarantees for the purpose of
stimulating small business development. The California Small Business
Expansion Fund, which is a continuously appropriated fund created
under that law, provides funds to be used to pay for defaulted loan
guarantees and administrative costs of these corporations, among
other investments. Existing law authorizes moneys in that fund to be
paid out to a lending institution or financial company that will act
as trustee of the funds, as specified. Existing law, effective July
28, 2009, makes state money, as defined, in the California Small
Business Expansion Fund and the trust fund unavailable for new loans,
loan guarantees, or other investments and requires state money not
needed to guarantee existing loans, to administer existing loans, or
for other existing investments, as determined by the Director of
Finance, to revert to the General Fund.  
   This bill would specify that upon the reversion to the General
Fund of a total of $8,300,000, the prohibition on the use of state
money in these funds and the reversion requirement shall become
inoperative. By making money in excess of that amount available from
the expansion fund for purposes of loans, loan guarantees, and other
investments, the bill would make an appropriation. 
   This bill would declare that it is to take effect immediately as
an urgency statute.
   Vote: 2/3. Appropriation:  yes   no  .
Fiscal committee: yes. State-mandated local program: no.


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

   SECTION 1.    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  2008-09   2009-10 
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, 2007-08,  and 
2008-09  , and 2009-10  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 shall 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 shall not receive an adjusted entitlement for the incidence
of disabilities pursuant to this section for the 1997-98 fiscal
year. 
   (f) The Superintendent shall perform the calculation in
subdivision (d) for the 2009-10 fiscal year and shall adjust the
entitlement of each special education local plan area for the
incidence of disabilities regardless of when the changes in this
section made during the 2009-10 Regular Session become operative.
 
  SECTION 1.    Section 14044 of the Corporations
Code is repealed.  
  SEC. 2.    Section 14044 is added to the
Corporations Code, to read:
   14044.  (a) As of July 28, 2009, notwithstanding any other
provision of this chapter, a total of eight million three hundred
thousand dollars ($8,300,000) of state money in the expansion fund,
or the trust fund, or both, as determined by the Director of Finance,
shall not be available to corporations or to the state for any
purposes authorized by this chapter, and shall instead revert to the
General Fund.
   (b) For purposes of this section, "state money" means money that
can be reverted to the General Fund.
   (c) This section shall become inoperative as of the date upon
which the reversion pursuant to subdivision (a) is completed, and
shall be repealed on January 1 of the next succeeding calendar year.

   SEC. 3.   SEC. 2.   This act is an
urgency statute necessary for the immediate preservation of the
public peace, health, or safety within the meaning of Article IV of
the Constitution and shall go into immediate effect. The facts
constituting the necessity are: 
   In order to ensure that revenue intended by the Legislature is
available in the General Fund to support vital programs, it is
necessary that this act take effect immediately.  
   Unless an entitlement is provided for the 2009-10 school year,
school districts will face financial hardship if they are required to
return funds to the department that were distributed to them in
error; therefore it is necessary that this act go into immediate
effect.