BILL NUMBER: AB 826	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Members Buchanan and Bill Berryhill

                        FEBRUARY 26, 2009

   An act to amend Sections 56836.08 and 56836.10 of the Education
Code, relating to special education.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 826, as introduced, Buchanan. Special education: local plan
areas: funding.
   Existing law requires the Superintendent of Public Instruction to
make prescribed computations each fiscal year to determine the amount
of funding to be apportioned to each special education local plan
area.
   This bill, notwithstanding the computations that are required by
existing law, would instead require the Superintendent to make
different computations, as prescribed, to determine the amount of
General Fund moneys that a special education local plan area may
claim for the 2009-10 fiscal year and each fiscal year thereafter.
The bill would also require the Superintendent to make different
computations to determine the amount of funding per unit of average
daily attendance for each special education local plan area for the
2009-10 fiscal year and each fiscal year thereafter.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) Special education is a federally mandated program, and
children with disabilities are entitled to a free and appropriate
education (FAPE).
   (b) California's neutral special education funding formula does
not reflect the true costs of providing educational services to
pupils with disabilities.
   (c) The lack of sufficient federal and state funding to pay for
special education services has forced local school districts to
backfill an estimated three billion dollars ($3,000,000,000) from
local funds, thereby reducing funding for programs that serve all
pupils.
   (d) Since 1980, federal special education funds have been deducted
from state special education entitlement funds allocated to special
education local plan areas (SELPAs) and local education agencies for
special education programs.
   (e) This practice has resulted in adding complexity to the special
education funding model, and has created an artificial inflation of
the state's maintenance of effort requirement for special education.
   (f) Removing the federal grant from the statutory funding formula
will result in all of the following:
   (1) School agencies will have greater flexibility in the use of
increased special education funding.
   (2) Ensuring that increased federal dollars are passed through to
schools.
   (3) Simplifying and clarifying the use of federal special
education dollars.
   (4) Ending the artificial inflation of the state's maintenance of
effort requirement for special education.
  SEC. 2.  Section 56836.08 of the Education Code is amended to read:

   56836.08.  (a) For the 1998-99 fiscal year, the superintendent
shall make the following computations to determine the amount of
funding for each special education local plan area:
   (1) Add the amount of funding per unit of average daily attendance
computed for the special education local plan area pursuant to
paragraph (1) of subdivision (a) of Section 56836.10 to the inflation
adjustment computed pursuant to subdivision (d) for the 1998-99
fiscal year.
   (2) Multiply the amount computed in paragraph (1) by the units of
average daily attendance reported for the special education local
plan area for the 1997-98 fiscal year, exclusive of average daily
attendance for absences excused pursuant to subdivision (b) of
Section 46010, as that subdivision read on July 1, 1996.
   (3) Add the actual amount of the equalization adjustment, if any,
computed for the 1998-99 fiscal year pursuant to Section 56836.14 to
the amount computed in paragraph (2).
   (4) Add or subtract, as appropriate, the adjustment for growth
computed pursuant to Section 56836.15 from the amount computed in
paragraph (3).
   (b) For the 1999-2000 fiscal year and each fiscal year thereafter,
the superintendent shall make the following computations to
determine the amount of funding for each special education local plan
area for the fiscal year in which the computation is made:
   (1) Add the amount of funding per unit of average daily attendance
computed for the special education local plan area for the prior
fiscal year pursuant to Section 56836.10 to the inflation adjustment
computed pursuant to subdivision (d) for the fiscal year in which the
computation is made.
   (2) Multiply the amount computed in paragraph (1) by the units of
average daily attendance reported for the special education local
plan area for the prior fiscal year.
   (3) Add the actual amount of the equalization adjustment, if any,
computed for the special education local plan area for the fiscal
year in which the computation is made pursuant to Section 56836.14 to
the amount computed in paragraph (2).
   (4) Add or subtract, as appropriate, the adjustment for growth or
decline in enrollment, if any, computed for the special education
local plan area for the fiscal year in which the computation is made
pursuant to Section 56836.15 from the amount computed in paragraph
(3).
   (c) For the 1998-99 fiscal year and each fiscal year thereafter,
the superintendent shall make the following computations to determine
the amount of General Fund moneys that the special education local
plan area may claim:
   (1) Add the total of the amount of property taxes for the special
education local plan area pursuant to Section 2572 for the fiscal
year in which the computation is made to the amount of federal funds
allocated for the purposes of paragraph (1) of subdivision (a) of
Section 56836.09 for the fiscal year in which the computation is
made.
   (2) Add the amount of funding computed for the special education
local plan area pursuant to subdivision (a) for the 1998-99 fiscal
year, and commencing with the 1999-2000 fiscal year and each fiscal
year thereafter, the amount computed for the fiscal year in which the
computations were made pursuant to subdivision (b) to the amount of
funding computed for the special education local plan area pursuant
to Article 3 (commencing with Section  56836.16) 
 56836.165)  .
   (3) Subtract the sum computed in paragraph (1) from the sum
computed in paragraph (2).
   (d) For the 1998-99 fiscal year and each fiscal year thereafter,
the superintendent shall make the following computations to determine
the inflation adjustment for the fiscal year in which the
computation is made:
   (1) For the 1998-99 fiscal year, multiply the sum of the statewide
target amount per unit of average daily attendance for special
education local plan areas for the 1997-98 fiscal year computed
pursuant to paragraph (3) of subdivision (a) of Section 56836.11 and
the amount determined pursuant to  paragraph  
subdivision  (e) of Section 56836.155 for the 1997-98 fiscal
year that corresponds to the amount determined pursuant to paragraph
(1) of subdivision (d) of Section 56836.155 by the inflation
adjustment computed pursuant to Section 42238.1 for the 1998-99
fiscal year.
   (2) For the 1999-2000 fiscal year and each fiscal year thereafter,
multiply the sum of the statewide target amount per unit of average
daily attendance for special education local plan areas for the prior
fiscal year computed pursuant to Section 56836.11 and the amount
determined pursuant to paragraph (1) of subdivision (d) of Section
56836.155 for the prior fiscal year by the inflation adjustment
computed pursuant to Section 42238.1 for the fiscal year in which the
computation is made.
   (3) For the purposes of computing the inflation adjustment for the
special education local plan area identified as the Los Angeles
County Juvenile Court and Community School/Division of Alternative
Education Special Education Local Plan Area for the 1998-99 fiscal
year and each fiscal year thereafter, the superintendent shall
multiply the amount of funding per unit of average daily attendance
computed for that special education local plan area for the prior
fiscal year pursuant to Section 56836.10 by the inflation adjustment
computed pursuant to Section 42238.1 for the fiscal year in which the
computation is being made.
   (e) For the 1998-99 fiscal year and each fiscal year thereafter to
and including the 2002-03 fiscal year, the superintendent shall
perform the calculation set forth in Section 56836.155 to determine
the adjusted entitlement for the incidence of disabilities for each
special education local plan area, but this amount shall not be used
in the next fiscal year to determine the base amount of funding for
each special education local plan area for the current fiscal year,
except as specified in this article. 
   (f) Notwithstanding any other provision of law, for the 2009-10
fiscal year and each fiscal year thereafter, the Superintendent shall
make the following computations to determine the amount of General
Fund moneys that the special education local plan area may claim:
 
   (1)  Add the amount of funding computed for the special education
local plan area pursuant to subdivision (a) for the 2009-10 fiscal
year, and commencing with the 2010-11 fiscal year, and each fiscal
year thereafter, and the amount computed for the fiscal year in which
the computations were made pursuant to subdivision (b), to the
amount of funding computed for the special education local plan area.
 
   (2) Subtract the total amount of property taxes for the special
education local plan area pursuant to Section 2572 for the fiscal
year in which the computation is made from the sum computed in
paragraph (1). 
  SEC. 3.  Section 56836.10 of the Education Code is amended to read:

   56836.10.  (a) The  superintendent  
Superintendent  shall make the following computations to
determine the amount of funding per unit of average daily attendance
for each special education local plan area for the 1998-99 fiscal
year:
   (1) Divide the amount of funding for the special education local
plan area computed for the 1997-98 fiscal year pursuant to Section
56836.09 by the number of units of average daily attendance,
exclusive of average daily attendance for absences excused pursuant
to subdivision (b) of Section 46010 as that subdivision read on July
1, 1997, reported for the special education local plan area for the
1997-98 fiscal year.
   (2) Add the amount computed in paragraph (1) to the inflation
adjustment computed pursuant to subdivision (d) of Section 56836.08
for the 1998-99 fiscal year.
   (b) Commencing with the 1999-2000 fiscal year and each fiscal year
thereafter, the superintendent shall make the following computations
to determine the amount of funding per unit of average daily
attendance for each special education local plan area for the fiscal
year in which the computation is made:
   (1) For the 1999-2000 fiscal year, divide the amount of funding
for the special education local plan area computed for the 1998-99
fiscal year pursuant to subdivision (a) of Section 56836.08 by the
number of units of average daily attendance upon which funding is
based pursuant to subdivision (a) of Section 56836.15 for the special
education local plan area for the 1998-99 fiscal year.
   (2) For the 2000-01 fiscal year, and each fiscal year thereafter,
divide the amount of funding for the special education local plan
area computed for the prior fiscal year pursuant to subdivision (b)
of Section 56836.08 by the number of units of average daily
attendance upon which funding is based pursuant to subdivision (a) of
Section 56836.15 for the special education local plan area for the
prior fiscal year. 
   (c) Notwithstanding any other provision of law, for the 2009-10
fiscal year, the Superintendent shall make the following computations
to determine the amount of funding per unit of average daily
attendance for each special education local plan area:  
   (1)  From the amount of funding for the special education local
plan area computed from the 2008-09 fiscal year pursuant to
subdivision (b) of Section 56836.08, subtract the total amount of
federal funds apportioned to the special education local plan area
pursuant to schedules (b) and (h) of Item 6110-161-0890 of Section
2.00 of the Budget Act of 2009 for the purposes of special education
for individuals with exceptional needs enrolled in kindergarten and
grades 1 to 12, inclusive.  
   (2) Divide the amount computed in paragraph (1) by the number of
units of average daily attendance upon which funding is based
pursuant to subdivision (a) of Section 56836.15 for the special
education local plan area for the 2008-09 fiscal year.  
   (d) For the 2010-11 fiscal year, and each fiscal year thereafter,
divide the amount of funding for the special education local plan
area computed for the prior fiscal year pursuant to subdivision (f)
of Section 56836.08 by the number of units of average daily
attendance upon which funding is based pursuant to subdivision (a) of
Section 56836.15 for the special education local plan area for the
prior fiscal year.