BILL ANALYSIS AB 1683 Page 1 ASSEMBLY THIRD READING AB 1683 (Torres) As Amended May 28, 2010 Majority vote EDUCATION 8-0 APPROPRIATIONS 12-0 ----------------------------------------------------------------- |Ayes:|Brownley, Nestande, |Ayes:|Fuentes, Ammiano, | | |Ammiano, Arambula, | |Bradford, | | |Carter, Chesbro, Norby, | |Charles Calderon, Coto, | | |Torlakson | |Davis, | | | | |Monning, Ruskin, Skinner, | | | | |Solorio, | | | | |Torlakson, Torrico | |-----+--------------------------+-----+--------------------------| | | | | | ----------------------------------------------------------------- SUMMARY : Requires the State Board of Education (SBE) to include school districts, county offices of education (COEs), and other agencies deemed eligible pursuant to state and federal law, in any application for federal aid to education, in any allocation of federal funds made pursuant to law, and in any rules and regulations adopted governing the allocation of those funds. EXISTING LAW : 1)Provides base funding by requiring the SPI to make prescribed calculations for the apportionment of state aid to local educational agencies. 2)Establishes and funds categorical programs that focus resources and/or compliance requirements on specific classes of students or schools, or on specific uses of funds, identified by the Legislature as priorities. 3)Authorizes the allocation and apportionment of federal funds to recipients and for uses, as specified in federal and state law. 4)Requires the SBE to make timely application for federal education funds and to direct the allocation of federal funds to local education agencies. AB 1683 Page 2 FISCAL EFFECT : According to the Assembly Appropriations Committee, no additional state General Fund / Proposition 98 costs. COMMENTS : This bill makes a proposal related to the inclusion of COE's in federal funding, which was made in AB 339 introduced by the author in 2009; AB 339 was passed by the Legislature and subsequently vetoed by the Governor. Specifically, this bill proposes to require the SBE to include COEs in any application for federal aid to education, in any allocation of federal funds currently made to school districts, and in any rules and regulations adopted governing the allocation of those funds. This proposal has pointed out inconsistencies in statute. In the code sections amended by this bill, regarding the SBE making applications for federal funds or allocating those funds, there are references to "school districts", "local education agencies", and "local school districts and other agencies entitled to receive federal funds for the support of schools." These different references do not appear to be related to any substantive difference in the treatment of those agencies in terms of the application for or allocation of federal funds. Five observations can be made about this issue: 1) these terms are used in an ambiguous, but interchangeable, manner in these sections of code; 2) these code sections exist the context of the authorization of the state's full participation in Federal Programs and Interstate Agreements; 3) the federal government generally focuses education funding on schools and students rather than on school districts, county, or regional education agencies (note that the federal government has to take a one-size-fits-all approach to local education governance, since there are many organizational models across the states); 4) according to the CDE, there are no instances where federal education funds are currently made available to school districts, but not to COEs, unless there is federal or state statute requiring that differentiation; and, 5) these sections of the code were enacted by AB 3100 (Greene), Chapter 1010, Statutes of 1976, which implements a complete revision of the education code and have not been clarified since. Given these observations, it can be concluded that this proposal, to have the students and schools under the administration of COEs included in applications and eligible for the receipt of federal funds, unless specifically excluded, is consistent with the intent of the Legislature as stated in the AB 1683 Page 3 Education Code sections amended by this portion of the bill. Given this conclusion, this proposal is of a technical nature in that it would serve to clarify that COEs be considered eligible for federal education funds during application or allocation, unless excluded by statute. Effectively, this bill reconciles existing ambiguous and seemingly interchangeable references to "school districts" and "local education agencies" in existing law, and thus clarifies that school districts, county offices of education, and all other educational agencies, including charter schools and educational joint powers authorities, deemed eligible under law are required to be considered by the SBE when any application for or allocation of federal funds is being made. Analysis Prepared by : Gerald Shelton / ED. / (916) 319-2087 FN: 0004657