BILL ANALYSIS Ó
SB 85
Page 1
SENATE THIRD READING
SB 85 (Budget and Fiscal Review Committee)
As Amended June 14, 2011
Majority vote. Budget Bill Appropriation Takes Effect
Immediately
SENATE VOTE :Vote not relevant
SUMMARY : Contains necessary statutory and technical changes in
the area of education in order to implement changes to the
Budget Act of 2011. Specifically, this bill contains the
following provisions:
K-12 Provisions:
1)Eliminates approximately $3 billion in new and prior-year
revenue limit and apportionment deferrals, decreasing annual
inter-year payment deferrals to K-12 schools from $9.4 billion
to $6.4 billion in 2011-12. As a part of this reduction, the
buydown utilizes $663 million in one-time General Fund
payments scored in satisfaction of outstanding Proposition 98
"settle-up" obligations.
2)Updates revenue limit deficit factors for school district and
county of education to reflect ongoing base reductions and
foregone cost-of-living adjustments for K-12 revenue limit
(general purpose) funding in 2011-12. More specifically,
establishes a school district deficit factor of 19.754% and a
county office of education factor of 20.041% in 2011-12.
Deficit factors track lost revenue limit funding in recent
years with the intent of eventual restoration in future years.
3)Amends and repeals various sections of the Education,
Government, and Welfare and Institutions Codes to repeal the
state AB 3632 mandate program, which mandated counties to
provide mental health services to students with disabilities.
As a result of this elimination, responsibility for
educationally related mental health services, as required by
federal law for student with disabilities, is shifted back to
schools.
4)Amends an existing categorical funding formula to provide $127
per pupil to new, non-conversion charter schools established
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after 2008-09. This formula funding gives non-conversion
charters schools access to categorical funds included in the
categorical flexibility program that began in 2008-09.
Requires school districts to pass through either $127 per
pupil or another mutually agreed upon amount in categorical
funding to new conversion charter schools.
5)Renumbers Education Code Section 60422.3 to Section 60049 to
correct a technical error in statute.
Child Care & Development Programs Provisions:
6)Reduces the across-the-board unallocated reduction to all the
child care services from 15% to 11%, effective July 1, 2011.
7)Reinstates child care services for 11- to 12-year olds, which
had been scheduled for elimination by July 1, 2011.
8)Amends the before and after school programs to provide
preferred placement for children who are 11 or 12-years of
age, as originally established before the March budget
changes.
9)Repeals the increase family fee schedule by 10%, which had
been scheduled for implementation by July 1, 2011.
10)Establishes the Early Learning Advisory Council within the
State Department of Education.
Higher Education Provisions:
11)Reduces the community colleges deferral payment enacted in
the March budget package, from $961 million to $560.8 million
for fiscal year 2011-12, to be appropriated in July of the
2012-13 Fiscal Year.
12)Suspends two mandates (Response Procedures and Student
Records), both of which are already required by federal law.
13)Eliminates California State University duplicative audits
that are currently required biennially at each of the 23
campuses, which the university already incorporates into their
system wide annual financial statement report.
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14)Makes a technical correction to ensure that the institutions
that become ineligible due to their Three-Year Cohort Default
Rate exceeding the established threshold for the 2012-13
academic year and every academic year thereafter, shall be
ineligible for initial and renewal Cal Grant awards at that
institution.
Adds an appropriation allowing the bill to take effect
immediately upon enactment.
Analysis Prepared by : Sara Bachez and Christian Griffith /
BUDGET / (916) 319-2099
FN: 0001292