Amended in Senate June 5, 2013

California Legislature—2013–14 Regular Session

Assembly BillNo. 392

Introduced by Assembly Member Jones-Sawyer

February 15, 2013

An act to amendbegin delete Sectionend deletebegin insert Sectionsend insert 17567begin insert and 17613end insert of the Government Code, relating to state mandates.


AB 392, as amended, Jones-Sawyer. State mandates: prorated claims.

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, requiresbegin delete the state is to provideend delete a subvention of funds to reimburse the local government, with specified exceptions. Existing law requires the Controller to prorate claims if the amount appropriated for reimbursement is not sufficient to pay all of the claims approved by the Controller. Existing law requires the Controller to report to the Department of Finance and various legislative entities when it is necessary to prorate claims.

This bill would delete that reporting requirement and would require the Controller to determine the most cost-effective allocation method if $1,000 or less is appropriated for a program.begin insert This bill would also make a conforming statutory change.end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1


Section 17567 of the Government Code is
2amended to read:



In the event that the amount appropriated for
4reimbursement purposes pursuant to Section 17561 is not sufficient
5to pay all of the claims approved by the Controller, the Controller
6shall prorate claims in proportion to the dollar amount of approved
7claims timely filed and on hand at the time of proration. The
8Controller shall adjust prorated claims if supplementary funds are
9appropriated for this purpose. Notwithstanding any other law, if
10one thousand dollars ($1,000) or less is appropriated for a program,
11the Controller shall determine the most cost-effective allocation

13begin insert

begin insertSEC. 2.end insert  

end insert

begin insertSection 17613 of the end insertbegin insertGovernment Codeend insertbegin insert is amended to
14read:end insert



(a) The Director of Financebegin delete may, upon receipt of any
16report submitted pursuant to Section 17567,end delete
begin insert mayend insert authorize the
17augmentation of the amount available for expenditure to reimburse
18costs mandated by the state, as defined in Section 17514, as

20(1) For augmentation of (A) any schedule in any item to
21reimburse costs mandated by the state in any budget act, or (B)
22the amount appropriated in a local government claims bill for
23reimbursement of the claims of local agencies, as defined by
24Section 17518, from the unencumbered balance of any other item
25to reimburse costs mandated by the state in that budget act or
26another budget act or in an appropriation for reimbursement of the
27claims of local agencies in another local government claims bill.

28(2) For augmentation of (A) any schedule in any budget act
29item, or (B) any amount appropriated in a local government claims
30bill, when either of these augmentations is for reimbursement of
31mandated claims of school districts, as defined in Section 17519,
32when the source of this augmentation is (A) the unencumbered
33balance of any other scheduled amount in that budget act or another
34budget act, or (B) an appropriation in another local government
35claims bill, when either of these appropriations is for
36reimbursement of mandate claims of school districts. This
37paragraph applies only to appropriations that are made for the
38purpose of meeting the minimum funding guarantee for educational
P3    1programs pursuant to Section 8 of Article XVI of the California

3(b) No authorization for an augmentation pursuant to this section
4may be made sooner than 30 days after the notification in writing
5of the necessity therefor to the chairperson of the committee in
6each house which considers appropriations and the chairperson of
7the Joint Legislative Budget Committee, or not sooner than
8whatever lesser time as the chairperson of the joint committee, or
9his or her designee, may in each instance determine.