BILL ANALYSIS Ó
-----------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 971|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
-----------------------------------------------------------------
THIRD READING
Bill No: SB 971
Author: Huff (R)
Amended: 4/9/14
Vote: 21
SENATE EDUCATION COMMITTEE : 7-0, 3/19/14
AYES: Liu, Block, Galgiani, Hancock, Hueso, Huff, Monning
NO VOTE RECORDED: Wyland, Correa
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : School finance: categorical programs
SOURCE : Author
DIGEST : This bill repeals or modifies numerous provisions of
the Education Code that are considered obsolete or unnecessary
in light of the passage of the Local Control Funding Formula
(LCFF)/Local Control Accountability Plans (LCAP) (AB 97
[Assembly Budget Committee], Chapter 47, Statutes of 2013, and
SB 97 [Senate Budget and Fiscal Review Committee], Chapter 357,
Statutes of 2013), as specified.
ANALYSIS : Existing law, the LCFF, enacted as part of the
2013-14 State Budget is a significant reform to the state's
system of financing K-12 public schools. The LCFF replaces the
prior system of revenue limits and restricted funding for a
multitude of categorical programs with a new funding formula
that provides base funding for the core educational needs of all
students and supplemental funding for the additional educational
CONTINUED
SB 971
Page
2
needs of low-income students, English learners, and foster
youth. Because the LCFF funds have limited spending
restrictions, local education agencies (LEAs) have considerable
flexibility to direct LCFF resources to best meet their
students' needs.
Although LEAs have considerably more flexibility in how they
spend their resources under LCFF compared to the previous
funding system, the law requires a school district, county
office of education, or charter school:
"...to increase or improve services for unduplicated pupils
[low-
income students, English learners, and foster youth] in
proportion to
the increase in funds apportioned on the basis of the number
and
concentration of unduplicated pupils in the school district,
county
office of education, or charter school."
Under the old system, revenue limits provided LEAs with
discretionary (unrestricted) funding for general education
purposes, and categorical program (restricted) funding was
provided for specialized purposes, with each program having
unique allocation and spending requirements. Revenue limits
made up about two-thirds of state funding for schools, while
categorical program funding made up the remaining one-third
portion. For some time, that system was criticized as being too
state-driven, bureaucratic, complex, inequitable, and based on
outdated allocation methods that did not reflect current student
needs.
To ensure accountability for LCFF funds, the state also mandated
that each LEA develop a LCAP that identifies locally determined
goals, actions, services, and expenditures of LCFF funds for
each school year in support of the state educational priorities
that are specified in statute, as well as any additional local
priorities.
The eight state priorities that must be addressed in the LCAP,
for all students and significant student subgroups in a school
district and at each school, are: (1) Williams settlement
issues (adequacy of credentialed teachers, instructional
CONTINUED
SB 971
Page
3
materials, and school facilities); (2) implementation of
academic content standards; (3) parental involvement; (4) pupil
achievement (in part measured by statewide assessments and the
Academic Performance Index); (5) pupil engagement (as measured
by attendance, graduation and dropout data); (6) school climate
(in part measured by suspension and expulsion rates); (7) the
extent to which students have access to a broad course of study;
and (8) pupil outcomes for non-state assessed courses of study.
School district LCAPs are subject to review and approval by
county offices of education. Existing law establishes a process
for districts to receive technical assistance related to their
LCAP. The Superintendent of Public Instruction (SPI) is
authorized to intervene in a struggling school district under
certain conditions.
This bill repeals or modifies numerous provisions of the
Education Code that are considered obsolete or unnecessary in
light of the passage of the LCFF/LCAP, as specified.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
SUPPORT : (Verified 4/9/14)
California Association of School Business Officials
California School Boards Association
Riverside County Superintendent of Schools
ARGUMENTS IN SUPPORT : According to the author's office, this
bill simply removes Education Code Sections that remain on the
books despite being rendered obsolete by the enactment of the
LCFF.
PQ:d 4/9/14 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
**** END ****
CONTINUED
SB 971
Page
4
CONTINUED