BILL NUMBER: AB 548 AMENDED
BILL TEXT
AMENDED IN SENATE MARCH 1, 2010
AMENDED IN SENATE JANUARY 4, 2010
AMENDED IN ASSEMBLY JUNE 1, 2009
INTRODUCED BY Assembly Member Chesbro
( Coauthors: Assembly Members
Bass, Brownley, Emmerson,
Harkey, Nestande, and John A. Perez
)
( Coauthor: Senator
Benoit )
FEBRUARY 25, 2009
An act to amend Section 17558.5 of the Government
52124.3 of, and to add Section 52124.4 to, the
Education Code, relating to state mandates
education finance, and declaring the urgency thereof, to take
effect immediately .
LEGISLATIVE COUNSEL'S DIGEST
AB 548, as amended, Chesbro. State mandates.
Education finance: Class Size Reduction Program.
(1) Existing law establishes the Class Size Reduction Program,
under which a participating school district or county office of
education reduces class size to 20 pupils per class in kindergarten
and grades 1 to 3, inclusive. If a school district or county office
of education receives funding for a class, but fails to reduce the
size of that class to 20 pupils, the school district or county office
of education incurs a reduction in its next principal apportionment
of state funds. Existing law provides that for the 2008-09, 2009-10,
2010-11, and 2011-12 fiscal years, a local educational agency is
eligible to receive funding for the same number of classes for which
it had applied to receive program funding as of January 31, 2009.
This bill would provide that, for the 2008-09 school year, a local
educational agency may choose for state apportionment purposes the
option to receive funding for the same number of classes for which it
had applied to receive program funding as of January 31, 2009, or
the funding option provided under the Class Size Reduction Program on
December 31, 2008, prior to the enactment of the provision
referenced above.
This bill would provide that, for the 2009-10 school year, the
Riverside Unified School District may choose to operate each of its
grade 3 classrooms that participate in the Class Size Reduction
Program either pursuant to the option to receive funding for the same
number of classes for which it had applied to receive program
funding as of January 31, 2009, or the funding option provided under
the Class Size Reduction Program on December 31, 2008, prior to the
enactment of the provision referenced above.
(2) This bill would make legislative findings and declarations as
to the necessity of a special statute for the Riverside Unified
School District.
(3) This bill would declare that it is to take effect immediately
as an urgency statute.
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 establishes a procedure for
local governmental agencies to file claims for reimbursement of these
costs with the Commission on State Mandates. Under this procedure,
the commission is required to hear and decide upon each claim for
reimbursement and then determine the amount to be subvened for
reimbursement, which the Controller is required to pay to eligible
claimants. The procedure also provides that a reimbursement claim for
actual costs filed by a local agency or school district is subject
to an audit by the Controller no later than 3 years after the date
that the actual reimbursement claim is filed or last amended,
whichever is later, but that, if no funds are appropriated or no
payment is made to a claimant for the fiscal year for which the claim
is filed, the audit is required to be commenced no later than 3
years from the date of the initial payment of the claim.
This bill would delete the provision that authorizes the
Controller to commence an audit more than 3 years from the date of
the initial payment of the claim if those conditions exist. The bill
would also extend the time in which the Controller is authorized to
audit a claim for reimbursement to 4 years after the date the claim
is filed or amended, whichever is later.
Vote: majority 2/3 . Appropriation:
no. Fiscal committee: yes. State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 52124.3 of the
Education Code is amended to read:
52124.3. (a) For the 2008-09, 2009-10, 2010-11, and 2011-12
fiscal years only, the amounts deducted pursuant to subdivision (d)
of Section 52124 shall be as follows:
(1) Five percent of the amount to which the school district would
otherwise be eligible for each class for which the annual average
enrollment determined pursuant to Section 52124.5 is greater than or
equal to 20.5 but less than 21.5.
(2) Ten percent of the amount to which the school district would
otherwise be eligible for each class for which the annual average
enrollment determined pursuant to Section 52124.5 is greater than or
equal to 21.5 but less than 22.5.
(3) Fifteen percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 22.5 but less than 23.0.
(4) Twenty percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 23.0 but less than 25.0.
(5) Thirty percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 25.0.
(b) For the 2008-09, 2009-10, 2010-11, and 2011-12 fiscal years, a
local educational agency is eligible to receive funding pursuant to
this chapter only for the same number of classes for which it had
applied to receive program funding as of January 31, 2009. A local
educational agency that meets these criteria is eligible for reduced
funding under this section only for the number of classes reported on
its 2008-09 operations application and is not eligible for funds
under this chapter for classes in addition to that number.
(c) For the 2008-09 school year, a local educational agency may
choose for state apportionment purposes pursuant to this chapter
either the option set forth in subdivision (b) or the option set
forth in this chapter as it read on December 31, 2008.
SEC. 2. Section 52124.4 is added to the
Education Code , to read:
52124.4. Notwithstanding any other law, for state apportionment
purposes in the 2009-10 school year, the Riverside Unified School
District may choose to operate each of its grade 3 classrooms that
participate in the Class Size Reduction Program either pursuant to
the option set forth in subdivision (b) of Section 52124.3 or the
option set forth in this chapter as it read on December 31, 2008.
SEC. 3. The Legislature finds and declares that a
special law is necessary and that a general law cannot be made
applicable within the meaning of Section 16 of Article IV of the
California Constitution because of the unique fiscal circumstances of
the Riverside Unified School District.
SEC. 4. 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 prevent financial hardship from occurring to the
Riverside Unified School District and other local educational
agencies that participate in the Class Size Reduction Program prior
to the end of the 2009-10 school year, it is necessary for this act
to take effect immediately.
SECTION 1. Section 17558.5 of the Government
Code is amended to read:
17558.5. (a) A reimbursement claim for actual costs filed by a
local agency or school district pursuant to this chapter is subject
to the initiation of an audit by the Controller no later than four
years after the date that the actual reimbursement claim is filed or
last amended, whichever is later. An audit shall be completed not
later than two years after the date that the audit is commenced.
(b) The Controller may conduct a field review of any claim after
the claim has been submitted, prior to the reimbursement of the
claim.
(c) The Controller shall notify the claimant in writing within 30
days after issuance of a remittance advice of an adjustment to a
claim for reimbursement that results from an audit or review. The
notification shall specify the claim components adjusted, the amounts
adjusted, interest charges on claims adjusted to reduce the overall
reimbursement to the local agency or school district, and the reason
for the adjustment. Remittance advices and other notices of payment
action shall not constitute notice of adjustment from an audit or
review.
(d) The interest rate charged by the Controller on reduced claims
shall be set at the Pooled Money Investment Account rate and shall be
imposed on the dollar amount of the overpaid claim from the time the
claim was paid until overpayment is satisfied.
(e) Nothing in this section shall be construed to limit the
adjustment of payments when inaccuracies are determined to be the
result of the intent to defraud, or when a delay in the completion of
an audit is the result of willful acts by the claimant or inability
to reach agreement on terms of final settlement.