BILL ANALYSIS Ó
SB 81
Page 1
SENATE THIRD READING
SB 81 (Senate Budget and Fiscal Review)
As Amended June 13, 2013
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
2013. Specifically, this bill :
K-12 Education
1)Includes statutory provisions that retire a total of $4.3 billion
in ongoing Proposition 98 deferrals for K-14 education in 2012-13
and 2013-14. This leaves an outstanding balance of $6.2 billion
in deferred funding to schools.
2)Appropriates $1.25 billion to school districts, county offices of
education (COEs), charter schools and state special schools for
the purposes of implementing Common Core State Standards.
3)Appropriates $250 million General Fund for the establishment of
the California Career Pathways Trust. This competitive grant
program for regional partnerships links high schools, community
colleges and businesses to build and improve career pathway
programs.
4)Extends through July 1, 2016, the requirement that the governing
board of any school district seeking to sell or lease any real
surplus property first offer that property for sale or lease to
charter schools that have at least 80 units of average daily
attendance, as specified.
5)Extends flexibility through July 1, 2016, to allow school
districts to deposit the proceeds from the sale of surplus
property into their general fund.
6)Deletes education code sections that are inconsistent with federal
law as it relates to cafeteria funds.
7)Makes several changes related to the shifting of the Charter
School Facility Grant Program from the Department of Education to
the California School Finance Authority.
SB 81
Page 2
8)Authorizes the Commission on Teacher Credentialing to charge fees
for teacher preparation program review, with notification to
Legislature and Department of Finance.
9)Adjusts the meal reimbursement rate for free and reduced price
meals in schools to $0.2229 and adjusts the rate for child care
centers to reflect a rate of $0.1660.
10)Suspends the following mandates, consistent with action on Local
Government mandates: Absentee Ballots, Brendon Maquire Act,
Mandate Reimbursement I and II and Sex Offender: Disclosure by Law
Enforcement.
11)Adds the Science Graduation Requirement and the Pupil Expulsions
and Suspensions mandates to the K-12 mandate block grant. The
budget bill increases funding for the block grant by $50 million
to reflect the inclusion of these mandates.
12)Modifies state law related to Behavior Intervention Plans to
minimize costs related to mandated activities.
13)Consolidates funding for regionalized services and program
specialists and personnel development grants into the larger AB
602 funding formula to provide more local flexibility in the use
of the funds.
14)Relaxes restrictions on funding for service to students with
low-incidence disabilities. Consolidates two extraordinary cost
pool budget items into one.
15)Revises the statewide target rate to a weighted student average
based on updated data, and begins to equalize funding across all
special education local plan areas (SELPAs).
16)Extends supplemental per-Average Daily Attendance (ADA) funding
provided to necessary small SELPAs. Authorizes growth funding and
a 1.565% cost of living adjustment.
17)Allocates federal special education funding separately from state
funding to streamline the calculation and correct inequities in
the funding that SELPAs receive when ADA grows versus the amount
they lose when it declines. Specifies the state's
federally-required "maintenance of effort" expenditure.
SB 81
Page 3
18)Makes the necessary statutory changes to begin the process of
equalizing state special education funding among SELPAs in 2013-14
to the 90th percentile. The Budget Act provided $30 million to
begin this process in 2013-14.
19)Suspends the statutory division of Proposition 98 funding among
K-12 educational agencies, community colleges, and other state
agencies, and instead conform the division of funding based upon
actual budget appropriations in 2012-13.
20)Extends the statutory authorization for use of the existing early
literacy assessment for English learners (California English
Development Test (CELDT) exam) by two years.
21)Makes statutory changes conforming to zero funding for the
Emergency Repair Program in 2012-13.
22)Authorizes Inglewood Unified School District (IUSD), through the
Department of Education, to request cash flow loans from the
General Fund for a total of up to $55 million. This replaces the
authorization established through SB 533 (Wright), Chapter 325,
Statutes of 2012, which appropriated $29 million for an emergency
loan to IUSD and authorized an additional $26 million of lease
financing through the California Infrastructure and Economic
Development Bank (I-Bank).
23)Authorizes the Superintendent of Public Instruction (SPI) to
appoint a trustee with the powers and responsibilities of an
administrator when a school district becomes insolvent and
requires an emergency apportionment from the state.
Higher Education
24)Consolidates the K-12 and community college apprenticeship
programs into the community college system while continuing to
allow local school districts to administer existing programs.
Requires the Community College Chancellor's Office and the
Division of Apprenticeship Standards, with participation by school
district and community college apprenticeship administrators, to
develop policies and standards for apprenticeship programs.
25)Requires the Community College Chancellor's Office and State
Department of Education, based on funding provided in the Budget
Act of 2013, to jointly provide planning grants to regional
SB 81
Page 4
consortia of community college and school districts to develop
regional plans to improve adult education programs. Plans are
expected to include area adult education needs and proposals to
improve specific portions of adult education, including English as
a second language, career technical education, education programs
for adults with disabilities and basic skills. Includes the
requirement of a subsequent report on improving the adult
education system and legislative intent that additional funding
will be provided for adult education in 2015-16.
26)Eliminates the Community College Fund for Instructional
Improvement, an outdated program, and sweeps the remaining fund
balance of $863,000 into the General Fund.
27)Changes the date by which community college districts are
required to submit letters to participate in the mandates block
grant from September 30 to August 30.
28)Allows for a General Fund backfill for community colleges to the
extent that expected property tax revenue from the dissolution of
Redevelopment Agencies does not match anticipated revenues in the
current year and budget year.
29)Allows for a General Fund backfill for community colleges to the
extent that expected tax revenue from the Education Protection
Account, created by Proposition 30, does not match anticipated
revenues in the current year and budget year.
30)Requires that community college students who are California Work
Opportunity and Responsibility to Kids (CalWORKs) recipients to
receive priority enrollment status, allowing these students who
have a shortened amount of time on benefits to enroll in classes
earlier than other students.
31)Removes the apprenticeship and matriculation categorical programs
at community colleges from the flex, which will require districts
to spend funding associated with these programs directly on these
programs.
Child Care
32)Simplifies family fees for families receiving state-subsidized
child care by creating a process for the Department of Education
to adopt a new fee schedule that will provide more predictable
SB 81
Page 5
fees through a cost-neutral change to the current fee structure.
33)Requires the Department of Education to report family fees
collects for preschool programs to the Department of Finance.
34)Clarifies that current state income eligibility levels for state
child care program continue for the budget year.
35)Contains an appropriation allowing this bill to take effect
immediately upon enactment.
Analysis Prepared by : Misty Feusahrens, Mark Martin and Christian
Griffith / BUDGET / (916) 319-2099
FN:
0001190