AB 1064, as introduced, Roger Hernández. Education finance: indirect cost rates.
Existing law requires the State Department of Education or any other state agency that administers a grant or allocation of state funds to a school district to allow an indirect cost rate that is not less than the indirect cost rate established by the department, unless a lower rate is required by law.
This bill would make a nonsubstantive change to that provision.
Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 33338 of the Education Code is amended
2to read:
(a) The department or any other state agency that
4administers a grant or allocation of state funds to a school district
5shall allow an indirect cost rate that is not less than the indirect
6cost rate established by the department, unless a lower rate is
7required by law.
8(b) As used in this section:
end delete
P2 1(b) For purposes of this section, the following terms have the
2following meanings:
3(1) “Direct cost” means a cost that provides measurable, direct
4benefits to a particular program of an agency. Direct costs of a
5local educational agency include, but are not necessarily limited
6to, salaries and benefits of teachers and instructional aides, costs
7for purchasing textbooks and instructional supplies, and costs for
8providing pupils with counseling, health services, and
9transportation.
10(2) “Indirect cost” means the agencywide, general management
11cost of the activities for the direction and control of the agency as
12a whole. Indirect costs include, but are not necessarily limited to,
13administrative activities necessary for the general operation of the
14agency, such as accounting, budgeting, payroll preparation,
15personnel services, purchasing, and centralized data processing.
16(3) “Indirect cost rate” means the indirect cost rate established
17by the department
for each school district.
18(4) “School district” has the same meaning as defined in
19subdivision (d) of Section 12000.
20(c) This section shall remain in effect only until January 1, 2016,
21and as of that date is repealed, unless a later enacted statute, that
22is enacted before January 1, 2016, deletes or extends that date.
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