Amended in Assembly July 8, 2015

Amended in Senate April 6, 2015

Senate Bill No. 436

Introduced by Committee on Education (Senators Liu (Chair), Block, Hancock, begin delete Huff, end delete Leyva, Mendoza, begin insert Monning, end insert Pan, begin insert Runner, end insert and Vidak)

February 25, 2015

An act to amend Sections begin delete 1042, 11800, end delete begin insert 5225, 5229, 11800, 16150, 16151, 16157, 16160, end insert 16236, 17070.75, 17088.2, 17463, 17582, 17592.5, begin delete 49073.1, 52335.12, end delete begin insert 35709, 41360, 42623, 49073.1, 56155.5, 56325, 56366, 56366.3, 56441.5, end insert and 60900 of, and to repeal Sections 17591, begin delete 32228.5, 35294.14,48200.7, end delete begin insert 48200.7, end insert 48200.8, 52171.6, 52184, and 54006 of, the Education Code, relating to education.

LEGISLATIVE COUNSEL’S DIGEST

SB 436, as amended, Committee on Education. Education: omnibus bill.

begin delete

(1) Existing law, until July 1, 2017, authorizes a county board of education, subject to the concurrence of the county superintendent of schools, to loan moneys from the proceeds of revenue anticipation notes to a charter school for which the county board of education or the county superintendent of schools has a supervisory responsibility or, regardless of whether the charter school is within or outside of the county, with which a county board of education or county superintendent of schools has a contractual relationship. Existing law requires the county board of education, as a condition of making a loan to a charter school, to report to the State Department of Education by September 15 of each year specified information on loans made to charter schools within the prior fiscal year, and requires the department to compile that information into one report to be submitted by December 1 of each year to the appropriate policy and fiscal committees of the Legislature, the Department of Finance, and the Legislative Analyst’s Office.

end delete begin delete

This bill would instead require the California School Finance Authority within the State Treasurer’s Office to compile the information referenced above into the one report to be submitted by December 1 of each year to the appropriate policy and fiscal committees of the Legislature, the Department of Finance, and the Legislative Analyst’s Office.

end delete begin delete

(2)

end delete

begin insert ( end insert begin insert 1) end insert  Existing law establishes the K-12 High-Speed Network, as specified, for the purpose of enriching pupil educational experiences and improving pupil academic performance by providing high-speed, high-bandwidth Internet connectivity to the public schools. Existing law requires the Superintendent of Public Instruction to use a competitive grant process to select a local educational agency to serve as the Lead Education Agency to administer the network on behalf of the Superintendent. Existing law requires the Superintendent to establish a K-12 HSN advisory board to include the Superintendent, the county superintendent of schools of the Lead Education Agency, the President of the State Board of Education, and other officers of local educational agencies, including 3 schoolsite representatives, as specified.

This bill would specify that the schoolsite representatives appointed to the advisory board under this provision would serve renewable 2-year terms.

begin delete

(3)

end delete

begin insert ( end insert begin insert 2) end insert  Existing law authorizes the State Allocation Board to allocate any amount of the funds designated for purposes of school housing aid for school districts impacted by seasonal agricultural employment that is in excess of the amounts needed for administration to any of specified funds, including the State School Deferred Maintenance Fund, as provided. Existing law separately authorizes the board to transfer any funds within the State School Building Aid Fund that are in excess of the amounts needed by the board for the maintenance of portable buildings or for the purchase of new portable buildings, for that fiscal year, to any of specified funds, including the State School Deferred Maintenance Fund, as provided.

This bill would delete those allocation authorizations to the State School Deferred Maintenance Fund.

begin delete

(4) Existing law, the Leroy F. Greene School Facilities Act of 1998 (the Greene Act of 1998), requires the State Allocation Board to allocate to applicant school districts and county offices of education prescribed per-unhoused-pupil state funding for construction and modernization of school facilities, including hardship funding, and supplemental funding for site development and acquisition. Existing law requires the board to require school districts and county offices of education that receive funding under the Greene Act of 1998 to establish a restricted account within the school district’s or county office of education’s general fund and to deposit, in each fiscal year for 20 years, a minimum amount equal to or greater than 3% of the school district’s or county office of education’s total general fund expenditures, including other financing uses, for that fiscal year into the account for maintenance of school facilities. Existing law authorizes annual deposits into the account in excess of 21⁄2% of the school district’s general fund budget to count towards the amount that a school district is required to contribute in order to receive an apportionment from the State School Deferred Maintenance Fund.

end delete begin delete

This bill would delete that authorization.

end delete begin delete

(5)

end delete

begin insert ( end insert begin insert 3) end insert  Existing law authorizes the governing board of a school district to establish a restricted fund known as the “district deferred maintenance fund” for certain school facilities purposes, including, among others, any other items of maintenance approved by the State Allocation Board.

This bill would remove that purpose from the list of specifically authorized purposes, but would no longer limit the use of the fund to the list of specifically authorized purposes.

begin delete

(6) Existing law, the Carl Washington School Safety and Violence Prevention Act, among other things, effectuates the intent of the Legislature that public schools serving pupils in any of grades 8 to 12, inclusive, have access to supplemental resources to establish programs and strategies that promote school safety and emphasize violence prevention among children and youth in public schools. A provision of this act requires the Superintendent of Public Instruction to annually report to the Legislature regarding the use of funds pursuant to the act, and to base this report on information provided to the Superintendent by local educational agencies.

end delete begin delete

This bill would delete this provision.

end delete begin delete

(7) Existing law, the School Safety Violence Protection Act, effectuates the intent of the Legislature that all public schools with any combination of instructional settings from kindergarten to grade 7, inclusive, have access to supplemental resources to establish programs and strategies that promote school safety and emphasize violence prevention among children and youth in the public schools. A provision of this act requires the Superintendent of Public Instruction and the Attorney General to cooperatively design an evaluation process for the programs and activities established pursuant to the act and report to the Legislature by January 1 of each year, as specified.

end delete begin delete

This bill would delete this provision.

end delete begin delete

(8)

end delete

begin insert ( end insert begin insert 4) end insert  Existing law requires the State Department of Education, and authorizes the Compton Unified School District, to identify low-performing schools in the school district, as provided, for purposes of providing extended school year instruction. Former law, repealed by its own provisions on January 1, 2003, authorized the Compton Unified School District to receive funding for extended year classes at those low-performing schools in the school district, as provided. Existing law requires the department, in conjunction with the Legislative Analyst, to contract for 2 independent evaluations, as provided, to determine the effectiveness of the extended school year curriculum, instructional program, and materials in improving pupil academic outcomes at those low-performing schools in the Compton Unified School District. Existing law requires the results of the evaluations to be reported on or before January 1, 2002, and January 1, 2003, respectively, to specified persons.

This bill would delete those obsolete provisions.

begin delete

(9)

end delete

begin insert ( end insert begin insert 5) end insert  Existing law, the Chacon-Moscone Bilingual-Bicultural Education Act of 1976, which ceased to be operative on June 30, 1987, required, among other things, that the Superintendent of Public Instruction report annually to the Legislature on bilingual education programs, as specified. The act also required the State Department of Education to prepare and submit to the Legislature an annual report regarding the number of participants in the State Bilingual Teacher Training Assistance Program and other topics related to that program.

This bill would delete those reporting requirements.

begin delete

(10)

end delete

begin insert ( end insert begin insert 6) end insert  Existing law establishes programs to provide state aid to public schools where pupil performance is affected by factors such as low family income, high pupil transiency rates, and large numbers of homes where a primary language other than English is spoken. Existing law requires the Superintendent of Public Instruction to submit annually to the Governor and to each house of the Legislature a report evaluating these programs and containing information related to specified topics.

This bill would delete the requirement for this annual report.

begin delete

(11)

end delete

begin insert ( end insert begin insert 7) end insert  This bill would also update references, delete other obsolete provisions, make conforming changes, and make other nonsubstantive changes.

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

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

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 5225 of the end insert begin insert Education Code end insert begin insert is amended
to read: end insert

5225.  

Notwithstanding begin delete the provisions of end delete Section 5033, when
a unified school district is formed pursuant to Chapter begin delete 2
(commencing with Section 4200) of Part 3 of this division which end delete
begin insert 4 (commencing with Section 35700) of Part 21 of Division 3 of
Title 2, which end insert includes a city school district having a city board of
education as provided under Section 5224, the unified school
district shall be governed by said city board of education and the
governing board members thereof shall continue in office for the
remainder of their terms as elected pursuant to begin delete the provisions of end delete
Section 5224.

begin insert

begin insert SEC. end insert begin insert 2. end insert   

end insert

begin insert Section 5229 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

5229.  

begin insert (a) end insert begin insert   end insert begin insert (1) end insert begin insert   end insert If a unified begin insert school end insert district governed by a board
of education of five members includes a chartered city, the charter
of which provides for a board of education, the members of which
are to be elected pursuant to this code and to hold office for the
terms provided by this code, and three members of begin delete such end delete begin insert that end insert board
of education were elected to hold office for a term expiring during
the school year commencing on the date the district was formed
for all purposes, the office of three members of the board of
education shall be filled at the first election of governing board
members following begin delete such end delete begin insert the end insert date of formation for all purposes.

begin delete

The

end delete

begin insert ( end insert begin insert 2) end insert begin insert   end insert begin insert The end insert term of office of begin delete such end delete begin insert the end insert three members begin insert elected
pursuant to paragraph (1) end insert shall be determined by lot. The term of
one member shall expire on the first Friday in December of the
first succeeding odd-numbered year following his begin insert or her end insert election;
and the terms of two members shall expire on the first Friday in
December of the second succeeding odd-numbered year following
their election. The persons elected to succeed begin delete such end delete begin insert the end insert three
members shall hold office for four years.

begin delete

In

end delete

begin insert (b) end insert begin insert   end insert begin insert In end insert a unified school district formed pursuant to Chapter begin delete 2
(commencing with Section 4200) of Part 3 of this division which end delete
begin insert 4 (commencing with Section 35700) of Part 21 of Division 3 of
Title 2, which end insert includes a chartered city, the governing board of the
begin insert school end insert district shall be the board of education of such city or city
and begin delete county; provided, end delete begin insert county, provided end insert that all qualified electors
residing within the unified school district are eligible to vote at all
elections held for the election of members of the city board of
education and any elector residing in the district, or in a trustee
area if the district is divided into trustee areas, is eligible to serve
as a member of begin delete said end delete begin insert that end insert board.

begin delete

In

end delete

begin insert (c) end insert begin insert   end insert begin insert In end insert the event a unified district includes a chartered begin delete city end delete begin insert city, end insert
the governing board of the unified begin insert school end insert district shall consist of
either five or seven begin delete members end delete begin insert members, end insert and shall be elected at
large or by trustee areas, as designated by the unification proposal,
and any elector residing in the district, or in a trustee area if the
district is divided into trustee areas, is eligible to serve as a member
of the board. The first governing board of any such unified school
district shall be elected in the manner prescribed by Section 35101,
except where the charter of the included chartered city expressly
provides for the election of the first governing board of a newly
formed unified school district, in which case begin delete such end delete begin insert those end insert provisions
of the charter shall control the election of the governing board.

begin delete

SECTION 1.  

Section 1042 of the Education Code, as amended
by Section 1 of Chapter 38 of the Statutes of 2012, is amended to
read:

1042.  

County boards of education may do all of the following:

(a) Adopt rules and regulations governing the administration of
the office of the county superintendent of schools.

(b) Review the county superintendent of schools annual itemized
estimate of anticipated revenue and expenditures before the annual
itemized estimate is filed with the auditor as required by Section
29040 of the Government Code, and make revisions, reductions,
or additions in the annual itemized estimate it deems advisable
and proper. An annual itemized estimate shall not be filed by the
county superintendent of schools or be approved by the county
board of supervisors until it has first been so reviewed and
approved by the county board of education.

(c) In the name by which the county board of education is
designated, acquire, lease, lease-purchase, hold, and convey real
property for the purpose of housing the offices and the services of
the county superintendent of schools, except that this subdivision
shall only apply to the county boards of education to which all or
a portion of the duties and functions of the county board of
supervisors specified in subdivision (b) of Section 1080 have been
transferred, with the exception of the recreational duties and
recreational functions specified in subdivisions (c) and (d) of
Section 1080.

(d) Contract with and employ any persons for the furnishing to
the county board of education of special services and advice in
financial, economic, accounting, engineering, legal, or
administrative matters if these persons are specially trained and
experienced and competent to perform the special services required.
The county board of education may pay to these persons from any
available funds the compensation that it deems proper for the
services rendered.

(e) (1) Notwithstanding Section 25304 of the Government
Code, fill by appointment any vacancy that occurs during the term
of office of the county superintendent of schools. In a county in
which the county superintendent of schools is elected, the appointee
shall hold office until the office is filled by election at the next
gubernatorial election.

(2) The authority described in this subdivision shall be vested
in a county board of education only upon its adoption by the county
board of education at a public meeting held pursuant to Article 1
(commencing with Section 1000).

(f) (1) Subject to the concurrence of the county superintendent
of schools pursuant to paragraph (3), use and expend moneys from
the proceeds of notes issued pursuant to the authority granted in
Article 7.6 (commencing with Section 53850) of Chapter 4 of Part
1 of Division 2 of Title 5 of the Government Code, to make loans
to a charter school for which the county board of education or the
county superintendent of schools has a supervisory responsibility
or, regardless of whether the charter school is within or outside of
the county, with which the county board of education or the county
superintendent of schools has a contractual relationship pursuant
to subdivision (b) of Section 47603. Moneys borrowed by the
county board of education for the purpose of making a loan to a
charter school shall be payable solely from the funds of the charter
school and shall not constitute a debt or liability of the county
board of education or the county superintendent of schools,
notwithstanding Section 53857 of the Government Code, or any
other law.

(2) The State of California is not liable for any debt or liability
within the meaning of Section 1 of Article XVI of the California
Constitution, or otherwise, for loans made pursuant to this
subdivision.

(3) Before the county board of education makes a loan pursuant
to this subdivision, the county superintendent of schools shall do
all of the following:

(A) Advise the chartering authority of the charter school and
the county office of education in which the charter school is
primarily located that the charter school has requested the loan.

(B) Allow the chartering authority and county office of
education to provide input regarding the advisability of making
the loan.

(C) Solicit a recommendation from a recognized authority on
school district financial management who is not an employee of
the county office of education about the advisability of making
the loan. The recommendation shall consider the financial condition
of the charter school, the level of risk assumed by the county office
of education, and the potential impact on the county office of
education if the charter school is unable to repay the loan.

(D) Disclose the information received pursuant to subparagraphs
(B) and (C) at a regularly scheduled meeting of the county board
of education.

(E) Determine whether to concur with the intent of the county
board of education to make the loan.

(4) In any fiscal year, a charter school shall not receive more
than one loan that is made pursuant to this subdivision.

(5) (A) As a condition of making a loan to a charter school
pursuant to this subdivision, a county board of education shall
report to the department by September 15 of each year the
following information on loans made to charter schools within the
prior fiscal year:

(i) The name and address of each charter school that received
a loan, including the name of the county in which the charter school
is located.

(ii) The amount of the loan, including the interest rate, that each
charter school received.

(iii) The total amount of money loaned to charter schools by
the county board of education.

(iv) The average duration of loans made to charter schools.

(v) The current status of each loan, including whether or not
the charter school has repaid the loan.

(B) No later than December 1 of each year, the California School
Finance Authority within the State Treasurer’s Office shall compile
the information reported by the county boards of education
pursuant to subparagraph (A) into one report and submit this
information to the appropriate policy and fiscal committees of the
Legislature, the Department of Finance, and the Legislative
Analyst’s Office.

(g) This section shall become inoperative on July 1, 2017, and,
as of January 1, 2018, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2018, deletes or
extends the dates on which it becomes inoperative and is repealed.

end delete

begin delete SEC. 2. end delete
begin insert SEC. 3. end insert   

Section 11800 of the Education Code is amended to
read:

11800.  

(a) (1) The K-12 High-Speed Network (K-12 HSN)
is hereby established for the purpose of enriching pupil educational
experiences and improving pupil academic performance by
providing high-speed, high-bandwidth Internet connectivity to the
public school system, as defined by Section 6 of Article IX of the
California Constitution.

(2) The California Education Network is hereby established,
consisting of the California Research and Education Network
(CalREN) and the K-12 HSN.

(b) The Superintendent shall measure the success of the K-12
HSN and ensure that the benefits of the K-12 HSN are maximized
to the extent possible. The K-12 HSN shall provide critical services
and functions for public primary and secondary local educational
agencies, including, but not limited to, all of the following:

(1) Reliable and cost-effective Internet service.

(2) Reliable and secure interconnectivity among public school
entities offering kindergarten or any of grades 1 to 12, inclusive,
in California, connection to higher education institutions of
California, and connection to state and local agencies to facilitate
efficient interaction, including transmission of data.

(3) Videoconferencing and related distance learning capabilities.

(4) Statewide coordination of network uses to benefit teaching
and learning.

(c) The Superintendent shall use a competitive grant process to
select a local educational agency to serve as the Lead Education
Agency to administer the K-12 HSN on behalf of the
Superintendent.

(d) The Superintendent shall establish a K-12 HSN advisory
board to be composed of all of the following members:

(1) The Superintendent, or his or her designee.

(2) The county superintendent of schools of the Lead Education
Agency.

(3) A county superintendent of schools of a county with an
average daily attendance of more than 60,000 pupils, appointed
by the Superintendent. The member appointed pursuant to this
paragraph shall serve a renewable two-year term.

(4) Three school district superintendents, appointed by the
Superintendent. Members appointed pursuant to this paragraph
shall represent school districts that are diverse as to geography and
size, and that serve socioeconomically and culturally diverse pupil
populations. Members appointed pursuant to this paragraph shall
serve renewable two-year terms.

(5) Two county superintendents of schools appointed by the
majority of the votes of all of the county superintendents of schools.
Members appointed pursuant to this paragraph shall serve
renewable two-year terms.

(6) Three schoolsite representatives, who shall include not less
than two classroom teachers or instructional specialists. Members
appointed pursuant to this paragraph shall serve renewable two-year
terms.

(7) The president of the state board or his or her designee.

(e) The advisory board shall meet quarterly and shall recommend
policy direction and broad operational guidance to the
Superintendent and the Lead Education Agency. The advisory
board, in consultation with the Lead Education Agency, shall
develop recommendations for measuring the success of the
network, improving network oversight and monitoring,
strengthening accountability, and optimizing the use of the K-12
HSN and its ability to improve education. The advisory board shall
report its recommendations to the Legislature, the Governor, the
Department of Finance, the president of the state board or his or
her designee, and the Legislative Analyst’s Office by March 1,
2007. It is the intent of the Legislature that the report identify and
recommend specific annual performance measures that should be
established to assess the effectiveness of the network.

(f) The duties of the Lead Education Agency shall include all
of the following:

(1) Entering into appropriate contracts for the provision of
high-speed, high-bandwidth Internet connectivity, provided such
contracts secure the necessary terms and conditions to adequately
protect the interests of the state. Terms and conditions shall include,
but are not limited to, all of the following:

(A) Development of comprehensive service level agreements.

(B) Protection of any ownership rights of intellectual property
of the state that result due to participation of the state in the K-12
HSN.

(C) Appropriate protection of assets of the state acquired due
to its participation in the K-12 HSN.

(D) Assurance that appropriate fee structures are in place.

(E) Assurance that any interest earned on funds of the state for
this purpose are used solely to the benefit of the project.

(2) Development of an annual budget request for the K-12 HSN
for submission to the department and the Department of Finance
to be included in the annual Budget Act.

(3) Development, in consultation with the advisory board
established pursuant to subdivision (d), of specific goals and
objectives for the program with appropriate reporting of success
measures developed by the Superintendent pursuant to subdivision
(b).

(4) Ongoing fiscal oversight of the program, including
mechanisms to control statewide costs and exposure. To
accomplish this objective, the Lead Education Agency shall
contract for an annual independent audit of the program. The
independent auditor shall report the audit findings to the
Superintendent, the Legislature, and the Governor by December
15 of each year.

(5) Ongoing technical oversight of the program, including
external evaluation and independent validation, where appropriate.
To accomplish this objective, the Lead Education Agency shall
contract for an independent evaluation to be completed and
provided to the Superintendent by March 1, 2009. The
Superintendent shall report the results of the evaluation, including
a response and recommendations to correct any adverse findings
from the evaluation, to the Governor and the Legislature by April
30, 2009.

(6) (A) The Lead Education Agency shall administer grant
programs to promote the most cost-effective manner for the
completion of connectivity for all public schools of the state and
cost-effective applications that meet instructional needs to the
extent that funds are provided for these purposes in the annual
Budget Act.

(B) Before the appropriation of any state funds for the purposes
of this paragraph, the Lead Education Agency shall submit
information justifying the need for additional grant funds,
including, but not limited to, all of the following:

(i) The number of schools and school districts that are already
connected.

(ii) The means by which the costs associated with connectivity
were covered for schools and school districts that are already
connected.

(iii) Obstacles to connection for those schools and school
districts that are not yet connected.

(iv) Other local options and funding sources for purposes of
connectivity and applications.

begin insert

begin insert SEC. end insert begin insert 4. end insert   

end insert

begin insert Section 16150 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

16150.  

(a) As used in this article:

begin delete

(1) “State-aided district” means a district to which a conditional
or final apportionment has been made under this chapter.

end delete begin delete

(2)

end delete

begin insert ( end insert begin insert 1) end insert  “Acquiring district” means a district in which all or a part
begin delete of, end delete begin insert of end insert a state-aided district or an applicant district has been
included.

begin delete

(3)

end delete

begin insert ( end insert begin insert 2) end insert  “Original district” means a state-aided or applicant district
included in whole or in part in an acquiring district.

begin insert

(3) “State-aided district” means a district to which a conditional
or final apportionment has been made under this chapter.

end insert

(b) For begin delete the end delete purposes of this article as it applies to an acquiring
district, the effective date of any change of boundaries, annexation,
formation of a new district, or other reorganization shall be:

(1) For granting conditional apportionments: the date the action
became effective for begin delete the end delete purposes of Sections begin delete 4062 and 4063. end delete
begin insert 35 end insert begin insert 532 and 35 end insert begin insert 533. end insert

(2) For making conditional apportionments final: the date the
action became effective for begin delete the end delete purposes of Sections begin delete 4062 and
4063. end delete begin insert 35 end insert begin insert 532 and 35 end insert begin insert 533. end insert

(c) For begin delete the end delete purposes of this article as it applies to an original
district, the effective date of any change of boundaries, annexation,
formation of a new district, or other reorganization in which the
original district is included in whole or in part in an acquiring
district shall be:

(1) For granting conditional apportionments: the date the action
becomes effective for all purposes as specified in Section begin delete 4064. end delete
begin insert 35 end insert begin insert 534. end insert

(2) For making conditional apportionments final: the date the
action became effective for all purposes as specified in Section
begin delete 4064. end delete begin insert 35 end insert begin insert 534. end insert

(3) No conditional apportionment may be made to any original
district affected by any reorganization after the date begin delete such end delete begin insert that end insert
action became effective for begin delete the end delete purposes of Sections begin delete 4062 and
4063 end delete begin insert 35532 and 35533 end insert except upon an application that has the
approval of the governing board of the acquiring district.

begin insert

begin insert SEC. end insert begin insert 5. end insert   

end insert

begin insert Section 16151 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

16151.  

On the date an acquiring district becomes effective for
all purposes, as specified in Section begin delete 4064, end delete begin insert 35534, end insert the authority to
accept a state loan voted by an original district pursuant to this
chapter whose boundaries are coterminous with the boundaries of
the acquiring district shall become authority of the acquiring district
to accept a state loan. However, when the proceeds of bonds
authorized and sold by the acquiring district are applied toward
the reduction of apportionments made to an original district begin delete which end delete
begin insert that end insert is included in whole in the acquiring district pursuant to
Section 16058, the amount of bond proceeds shall be excluded in
determining the amount chargeable against any apportionment
authorized to be accepted by the electorate of the original or
acquiring district.

begin insert

begin insert SEC. end insert begin insert 6. end insert   

end insert

begin insert Section 16157 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

16157.  

begin delete Whenever, end delete begin insert If, end insert subsequent to the date on which a
conditional apportionment made to a district becomes final, the
state-aided district is included in whole in another district, the
acquiring district shall, on the effective date of the inclusion,
succeed to and be vested with all of the duties, powers, purposes,
jurisdiction, and responsibilities of the state-aided district with
respect to the apportionment and the property acquired or to be
acquired from funds provided thereby, and all funds in the state
school building fund of the state-aided district shall be transferred
to the state school building fund of the acquiring district. All
amounts begin delete which end delete begin insert that end insert would, after the effective date of the inclusion,
have been otherwise paid to the state-aided district under the terms
of or pursuant to the apportionment, shall be paid to the acquiring
district. In addition, the acquiring district shall, on the effective
date of the inclusion of the state-aided district in the acquiring
district as fixed by Section begin delete 4064, end delete begin insert 35534, end insert become liable for the
annual repayments and other payments due the state under Section
16075 and other provisions of this chapter with respect to the
apportionment or the property acquired or to be acquired therewith.

begin insert

begin insert SEC. end insert begin insert 7. end insert   

end insert

begin insert Section 16160 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

16160.  

Notwithstanding begin delete the provisions of end delete Sections 16159 and
16161, in situations where an applicant district at the elementary
grade level under this chapter is divided into three parts, each of
which is included in a newly formed unified school district, each
part shall be excluded in determining the state loan repayment
liability for any apportionment made to the original district
subsequent to the date the unification is effective for purposes of
Section begin delete 4062 (Sec. 1, Ch. 873, Stats. 1972), provided: end delete begin insert 35 end insert begin insert 532,
provided that all of the following occur: end insert

(a) The assessed valuation of the part is less than 4 percent of
the original district in the fiscal year immediately preceding the
fiscal year the change is made effective for all purposes.

(b) The average daily attendance in the part is excluded in
determining projected enrollment of the original district for
additional state aid during the period after the change is effective
for purposes of Section begin delete 4062 (Sec. 1, Ch. 873, Stats. 1972) and
prior to end delete begin insert 35532 and before end insert the effective date for all purposes.

(c) The part contains no sites, plans, or school facilities, which
were acquired under this chapter or under Chapter 4 (commencing
with Section begin delete 15700) of this part. end delete begin insert 15700). end insert

begin delete SEC. 3. end delete
begin insert SEC. 8. end insert   

Section 16236 of the Education Code is amended to
read:

16236.  

Notwithstanding any other law, the board may allocate
any amount of the funds designated for purposes of this article that
is in excess of the amounts needed for the administration of this
article to any of the following:

(a) The Emergency School Classroom Fund for allocation by
the board for any purpose authorized pursuant to that fund.

(b) The 1998 State School Facilities Fund for allocation by the
board for any purpose authorized to that fund.

(c) The 2002 State School Facilities Fund for allocation by the
board for any purpose authorized to that fund.

(d) The 2004 State School Facilities Fund for allocation by the
board for any purpose authorized to that fund.

(e) If the voters approve the Kindergarten-University Public
Education Facilities Bond Act of 2006 at the November 7, 2006,
statewide general election, the 2006 State School Facilities Fund
for allocation by the board for any purpose authorized to that fund.

begin delete

SEC. 4.  

Section 17070.75 of the Education Code is amended
to read:

17070.75.  

(a) The board shall require the school district to
make all necessary repairs, renewals, and replacements to ensure
that a project is at all times maintained in good repair, working
order, and condition. All costs incurred for this purpose shall be
borne by the school district.

(b) In order to ensure compliance with subdivision (a) and to
encourage school districts to maintain all buildings under their
control, the board shall require an applicant school district to do
all of the following before the approval of a project:

(1) Establish a restricted account within the general fund of the
school district for the exclusive purpose of providing moneys for
ongoing and major maintenance of school buildings, according
the highest priority to funding for the purposes set forth in
subdivision (a).

(2) (A) Agree to deposit into the account established pursuant
to paragraph (1), in each fiscal year for 20 years after receipt of
funds under this chapter, a minimum amount equal to or greater
than 3 percent of the total general fund expenditures of the
applicant school district, including other financing uses, for that
fiscal year.

(B) A school district contribution to the account may be provided
in lieu of meeting the ongoing maintenance requirements pursuant
to Section 17014 to the extent the funds are used for purposes
established in that section. A school district that serves as the
administrative unit for a special education local plan area may
elect to exclude from its total general fund expenditures, for
purposes of this paragraph, the distribution of revenues that are
passed through to participating members of the special education
local plan area.

(C) This paragraph applies only to the following school districts:

(i) High school districts with an average daily attendance greater
than 300 pupils.

(ii) Elementary school districts with an average daily attendance
greater than 900 pupils.

(iii) Unified school districts with an average daily attendance
greater than 1,200 pupils.

(3) Certify that it has publicly approved an ongoing and major
maintenance plan that outlines the use of the funds deposited, or
to be deposited, pursuant to paragraph (2). The plan may provide
that the school district need not expend all of its annual allocation
for ongoing and major maintenance in the year in which it is
deposited if the cost of major maintenance requires that the
allocation be carried over into another fiscal year. However, any
state funds carried over into a subsequent year may not be counted
toward the annual minimum contribution by the school district.

(c) A school district to which paragraph (2) of subdivision (b)
does not apply shall certify to the board that it can reasonably
maintain its facilities with a lesser level of maintenance.

(d) For purposes of calculating a county office of education
requirement pursuant to this section, the 3-percent maintenance
requirement shall be based upon the county office of education
general fund less any restricted accounts.

(e) As a condition of participation in the school facilities
program, a school district shall establish a facilities inspection
system to ensure that each of its schools is maintained in good
repair.

(f) For purposes of this section, “good repair” has the same
meaning as specified in subdivision (d) of Section 17002.

end delete

begin insert

begin insert SEC. 9. end insert   

end insert

begin insert Section 17070.75 of the end insert begin insert Education Code end insert begin insert is amended
to read: end insert

17070.75.  

(a) The board shall require the school district to
make all necessary repairs, renewals, and replacements to ensure
that a project is at all times maintained in good repair, working
order, and condition. All costs incurred for this purpose shall be
borne by the school district.

(b) In order to ensure compliance with subdivision (a) and to
encourage school districts to maintain all buildings under their
control, the board shall require an applicant school district to do
all of the following before the approval of a project:

(1) Establish a restricted account within the general fund of the
school district for the exclusive purpose of providing moneys for
ongoing and major maintenance of school buildings, according
the highest priority to funding for the purposes set forth in
subdivision (a). Funds in the account may be used for drought
mitigation purposes related to the implementation of Executive
Order B-29-15.

(2) (A) Agree to deposit into the account established pursuant
to paragraph (1), in each fiscal year for 20 years after receipt of
funds under this chapter, a minimum amount equal to or greater
than 3 percent of the total general fund expenditures of the
applicant school district, including other financing uses, for that
fiscal year.

(B) Notwithstanding subparagraph (A), for the 2015-16 and
2016-17 fiscal years, the minimum amount required to be deposited
into the account established pursuant to paragraph (1) shall be the
lesser of the following amounts:

(i) Three percent of the total general fund expenditures for that
fiscal year.

(ii) The amount that the school district deposited into the account
in the 2014-15 fiscal year.

(C) Notwithstanding subparagraph (A), for the 2017-18 to
2019-20 fiscal years, inclusive, the minimum amount required to
be deposited into the account established pursuant to paragraph
(1) shall be the greater of the following amounts:

(i) The lesser of 3 percent of the general fund expenditures for
that fiscal year or the amount that the school district deposited into
the account in the 2014-15 fiscal year.

(ii) Two percent of the total general fund expenditures of the
applicant school district for that fiscal year.

(D) A school district contribution to the account may be
provided in lieu of meeting the ongoing maintenance requirements
pursuant to Section 17014 to the extent the funds are used for
purposes established in that section. A school district that serves
as the administrative unit for a special education local plan area
may elect to exclude from its total general fund expenditures, for
purposes of this paragraph, the distribution of revenues that are
passed through to participating members of the special education
local plan area.

(E) This paragraph applies only to the following school districts:

(i) High school districts with an average daily attendance greater
than 300 pupils.

(ii) Elementary school districts with an average daily attendance
greater than 900 pupils.

(iii) Unified school districts with an average daily attendance
greater than 1,200 pupils.

(F) It is the intent of the Legislature that a school district shall
be required to comply with the requirements of subparagraph (A)
in the year in which the local control funding formula is fully
implemented.

(3) Certify that it has publicly approved an ongoing and major
maintenance plan that outlines the use of the funds deposited, or
to be deposited, pursuant to paragraph (2). The plan may provide
that the school district need not expend all of its annual allocation
for ongoing and major maintenance in the year in which it is
deposited if the cost of major maintenance requires that the
allocation be carried over into another fiscal year. However, any
state funds carried over into a subsequent year may not be counted
toward the annual minimum contribution by the school district.

(c) A school district to which paragraph (2) of subdivision (b)
does not apply shall certify to the board that it can reasonably
maintain its facilities with a lesser level of maintenance.

(d) For purposes of calculating a county office of education
requirement pursuant to this section, the applicable maintenance
requirement specified in paragraph (2) of subdivision (b) shall be
based upon the county office of education general fund less any
restricted accounts.

(e) (1) This subdivision shall only apply to a school district that
received funds pursuant to this chapter equal to or greater than 10
percent of the State School Facilities Funds of 1998, 2002, 2004,
and 2006.

(2) Notwithstanding subparagraphs (B) and (C) of paragraph
(2) of subdivision (b), a school district shall comply with the
requirements of subparagraph (A) of paragraph (2) of subdivision
(b) if the amount available in any fiscal year for the public school
system pursuant to Section 8 of Article XVI of the California
Constitution is equal to or greater than the amount available in the
prior fiscal year, unless a school district has locally negotiated an
alternative minimum annual deposit percentage in a collective
bargaining agreement with the representatives of the school
district’s skilled crafts employees.

(3) Under no circumstances shall a school district deposit less
than the amounts required in subparagraphs (B) and (C) of
paragraph (2) of subdivision (b).

(4) This subdivision shall be operative from July 1, 2015, until
June 30, 2020.

(f) As a condition of participation in the school facilities begin delete program
or the receipt of funds pursuant to Section 17582, end delete begin insert program, end insert for a
fiscal year after the 2004-05 fiscal year, a school district shall
establish a facilities inspection system to ensure that each of its
schools is maintained in good repair.

(g) For purposes of this section, “good repair” has the same
meaning as specified in subdivision (d) of Section 17002.

begin delete SEC. 5. end delete
begin insert SEC. 10. end insert   

Section 17088.2 of the Education Code is amended
to read:

17088.2.  

Notwithstanding any other law, the board may transfer
any funds within the State School Building Aid Fund that are in
excess of the amounts needed by the board for the maintenance of
portable buildings or for the purchase of new portable buildings,
for that fiscal year, to any of the following, as appropriate:

(a) The 1998 State School Facilities Fund for allocation by the
board for any purpose authorized pursuant to that fund.

(b) The 2002 State School Facilities Fund for allocation by the
board for any purpose authorized pursuant to that fund.

(c) The 2004 State School Facilities Fund for allocation by the
board for any purpose authorized pursuant to that fund.

begin delete SEC. 6. end delete
begin insert SEC. 11. end insert   

Section 17463 of the Education Code is amended to
read:

17463.  

Notwithstanding Section 17462, a school district having
an average daily attendance of less than 10,001 in any fiscal year
may deposit any and all interest earned on the funds derived from
the sale in that fiscal year of surplus property into the general fund
of the school district for any general fund purpose, subject to the
following conditions:

(a) Before that deposit, the school district shall submit to the
State Allocation Board a capital outlay plan for the school district
for a period of five years following that sale, together with a
declaration of the finding by the governing board of the school
district that the school facilities needs of the school district can be
met over that five-year period without funding or other assistance
from any state school facilities funding program. No later than the
date upon which that initial five-year period concludes, the school
district shall submit to the State Allocation Board a capital outlay
plan for the school district for the subsequent five-year period.

(b) Before the decision to place that interest money into the
school district’s general fund, the governing board of the school
district shall consider the extent to which it is necessary or
appropriate to expend that money to meet the school district’s
needs relative to capital outlay, facilities, modernization, and
deferred maintenance. In addition, as to any interest money
deposited into the school district’s general fund pursuant to this
section, the governing board of the school district shall consider
the extent to which it is necessary or appropriate to expend the
money to meet the school district’s needs relative to ongoing
maintenance before expending that money for any other purpose.

(c) A school district that deposits interest into its general fund
pursuant to the authority set forth in this section shall not be eligible
during the 10-year period described in subdivision (a) for funding
or other assistance under Chapter 12 (commencing with Section
17000) or Chapter 14 (commencing with Section 17085) of Part
10, or any other state school facilities funding program.

(d) If a school district seeks state funding pursuant to Chapter
12 (commencing with Section 17000) of Part 10, Chapter 14
(commencing with Section 17085) of Part 10, or any other state
school facilities funding program, on or after the expiration of the
10-year period specified in subdivision (c), any state funding
received by the school district from the program shall be reduced
by any remaining funds derived from the sale of that surplus
property by the school district and any unencumbered interest
earned on those funds.

begin delete SEC. 7. end delete
begin insert SEC. 12. end insert   

Section 17582 of the Education Code is amended to
read:

17582.  

(a) The governing board of a school district may
establish a restricted fund to be known as the “district deferred
maintenance fund” for purposes including, but not limited to, major
repair or replacement of plumbing, heating, air conditioning,
electrical, roofing, and floor systems; the exterior and interior
painting of school buildings; the inspection, sampling, and analysis
of building materials to determine the presence of
asbestos-containing materials; the encapsulation or removal of
asbestos-containing materials; the inspection, identification,
sampling, and analysis of building materials to determine the
presence of lead-containing materials; and the control,
management, and removal of lead-containing materials. Funds
deposited in the district deferred maintenance fund may be received
from any source and shall be accounted for separately from all
other funds and accounts and retained in the district deferred
maintenance fund for purposes of this section. The term “school
building” as used in this article includes a facility that a county
office of education is authorized to use pursuant to Article 3
(commencing with Section 17280) of Chapter 3.

(b) Funds deposited in the district deferred maintenance fund
shall only be expended for maintenance purposes as provided
pursuant to subdivision (a).

(c) The governing board of each school district shall have
complete control over the funds and earnings of funds once
deposited in the district deferred maintenance fund.

begin delete SEC. 8. end delete
begin insert SEC. 13. end insert   

Section 17591 of the Education Code is repealed.

begin delete SEC. 9. end delete
begin insert SEC. 14. end insert   

Section 17592.5 of the Education Code is amended
to read:

17592.5.  

The Southern California Regional Occupational
Center and the Metropolitan Education District, each of which is
a joint powers authority, shall be deemed to be school districts for
purposes of Sections 17582, 17589, and 17590.

begin delete

SEC. 10.  

Section 32228.5 of the Education Code is repealed.

end delete

begin delete

SEC. 11.  

Section 35294.14 of the Education Code is repealed.

end delete

begin insert

begin insert SEC. 15. end insert   

end insert

begin insert Section 35709 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

35709.  

If the following conditions are met, the county
committee may approve the petition and order that the petition be
granted, and shall so notify the county board of supervisors:

(a) The county committee finds that the conditions enumerated
in paragraphs (1) to (10), inclusive, of subdivision (a) of Section
35753 are substantially met, and:

(b) Either:

(1) The petition is to transfer uninhabited territory from one
district to another and the owner of the territory, or a majority of
the owners of the territory, and the governing boards of all school
districts involved in the transfer consent to the transfer; or

(2) The petition is to transfer inhabited territory of less than 10
percent of the assessed valuation of the district from which the
territory is being transferred, and begin delete all of the governing boards have
consented end delete begin insert the governing board of each school district involved in
the transfer consent end insert to the transfer.

begin insert

begin insert SEC. 16. end insert   

end insert

begin insert Section 41360 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

41360.  

begin insert (a) end insert begin insert   end insert Loans may be made from moneys in the Public
School District Organization Revolving Fund to newly organized
elementary, high school, or unified school districts upon application
of the governing board of any such begin insert school end insert district, certified by the
county superintendent of schools and approved by the
Superintendent begin delete of Public Instruction end delete for use by the begin insert school end insert district
during the period from the date the action to form the begin insert school end insert district
was completed and the date the begin insert school end insert district becomes effective
for all purposes. Money loaned to a begin insert school end insert district pursuant to this
section shall be used only to meet begin delete (a) the end delete begin insert one or more of the
following: end insert

begin insert (1) end insert begin insert   end insert begin insert The end insert expenses of office rental, office supplies, postage,
telephone, and begin delete telegraphing; (b) the end delete begin insert telegraphing. end insert

begin insert (2) end insert begin insert   end insert begin insert The end insert expenses of necessary elections required by law or
authorized by Section begin delete 4062; and (c) the end delete begin insert 35 end insert begin insert 532. end insert

begin insert (3) end insert begin insert   end insert begin insert The end insert expenses of employing, the salary of, and necessary
travel expenses of officers and necessary clerical help for the
governing begin delete board. end delete begin insert board of the school district. end insert

begin delete

During

end delete

begin insert (b) end insert begin insert   end insert begin insert During end insert each of the two successive fiscal years commencing
with the first fiscal year of the existence of the school district for
all purposes, the State Controller shall deduct from apportionments
made to begin delete such end delete begin insert that end insert school district an amount equal to one-half of
the amount loaned to begin delete such end delete begin insert that end insert school district under this section
and pay the same amount into the Public School District
Organization Revolving Fund in the State Treasury.

begin insert

begin insert SEC. 17. end insert   

end insert

begin insert Section 42623 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

42623.  

begin insert (a) end insert begin insert   end insert Upon the request of the county board of education
on behalf of a newly organized school district, and upon the order
of the county board of supervisors of the county or city and county,
the auditor and treasurer of the county or city and county shall
make a temporary transfer from any funds of the county or city
and county not immediately needed to pay claims against them to
the general fund of the newly organized school district for the
purpose of meeting the current expense of the begin insert school end insert district until
begin delete such time as end delete the begin insert school end insert district receives its first state
apportionments or begin insert school end insert district tax funds. Upon the making of
the transfer, the auditor shall immediately notify the superintendent
of schools of the county or the city and county of the amount
transferred.

begin delete

The

end delete

begin insert (b) end insert begin insert   end insert begin insert The end insert funds transferred under this section to the general fund
of a newly organized school district shall be retransferred by the
auditor and the treasurer to the fund from which they were taken
from the first moneys accruing to the school district after it
becomes effective for all purposes pursuant to Section begin delete 4000 end delete begin insert 35534 end insert
and before any other obligation of the school district is paid from
the money accruing.

begin delete SEC. 12. end delete
begin insert SEC. 18. end insert   

Section 48200.7 of the Education Code is repealed.

begin delete SEC. 13. end delete
begin insert SEC. 19. end insert   

Section 48200.8 of the Education Code is repealed.

begin delete SEC. 14. end delete
begin insert SEC. 20. end insert   

Section 49073.1 of the Education Code is amended
to read:

49073.1.  

(a) A local educational agency may, pursuant to a
policy adopted by its governing board or, in the case of a charter
school, its governing body, enter into a contract with a third party
for either or both of the following purposes:

(1) To provide services, including cloud-based services, for the
digital storage, management, and retrieval of pupil records.

(2) To provide digital educational software that authorizes a
third-party provider of digital educational software to access, store,
and use pupil records in accordance with the contractual provisions
listed in subdivision (b).

(b) A local educational agency that enters into a contract with
a third party for purposes of subdivision (a) shall ensure the
contract contains all of the following:

(1) A statement that pupil records continue to be the property
of and under the control of the local educational agency.

(2) Notwithstanding paragraph (1), a description of the means
by which pupils may retain possession and control of their own
pupil-generated content, if applicable, including options by which
a pupil may transfer pupil-generated content to a personal account.

(3) A prohibition against the third party using any information
in the pupil record for any purpose other than those required or
specifically permitted by the contract.

(4) A description of the procedures by which a parent, legal
guardian, or eligible pupil may review personally identifiable
information in the pupil’s records and correct erroneous
information.

(5) A description of the actions the third party will take,
including the designation and training of responsible individuals,
to ensure the security and confidentiality of pupil records.
Compliance with this requirement shall not, in itself, absolve the
third party of liability in the event of an unauthorized disclosure
of pupil records.

(6) A description of the procedures for notifying the affected
parent, legal guardian, or eligible pupil in the event of an
unauthorized disclosure of the pupil’s records.

(7) (A) A certification that a pupil’s records shall not be retained
or available to the third party upon completion of the terms of the
contract and a description of how that certification will be enforced.

(B) The requirements provided in subparagraph (A) shall not
apply to pupil-generated content if the pupil chooses to establish
or maintain an account with the third party for the purpose of
storing that content pursuant to paragraph (2).

(8) A description of how the local educational agency and the
third party will jointly ensure compliance with the federal Family
Educational Rights and Privacy Act (20 U.S.C. Sec. 1232g).

(9) A prohibition against the third party using personally
identifiable information in pupil records to engage in targeted
advertising.

(c) In addition to any other penalties, a contract that fails to
comply with the requirements of this section shall be rendered
void if, upon notice and a reasonable opportunity to cure, the
noncompliant party fails to come into compliance and cure any
defect. Written notice of noncompliance may be provided by any
party to the contract. All parties subject to a contract voided under
this subdivision shall return all pupil records in their possession
to the local educational agency.

(d) For purposes of this section, the following terms have the
following meanings:

(1) “Deidentified information” means information that cannot
be used to identify an individual pupil.

(2) “Eligible pupil” means a pupil who has reached 18 years of
age.

(3) “Local educational agency” includes school districts, county
offices of education, and charter schools.

(4) “Pupil-generated content” means materials created by a
pupil, including, but not limited to, essays, research reports,
portfolios, creative writing, music or other audio files, photographs,
and account information that enables ongoing ownership of pupil
content. “Pupil-generated content” does not include pupil responses
to a standardized assessment where pupil possession and control
would jeopardize the validity and reliability of that assessment.

(5) (A) “Pupil records” means both of the following:

(i) Any information directly related to a pupil that is maintained
by the local educational agency.

(ii) Any information acquired directly from the pupil through
the use of instructional software or applications assigned to the
pupil by a teacher or other local educational agency employee.

(B) “Pupil records” does not mean any of the following:

(i) Deidentified information, including aggregated deidentified
information, used by the third party to improve educational
products, for adaptive learning purposes, and for customizing pupil
learning.

(ii) Deidentified information, including aggregated deidentified
information, used to demonstrate the effectiveness of the operator’s
products in the marketing of those products.

(iii) Deidentified information, including aggregated deidentified
information, used for the development and improvement of
educational sites, services, or applications.

(6) “Third party” refers to a provider of digital educational
software or services, including cloud-based services, for the digital
storage, management, and retrieval of pupil records.

(e) If the provisions of this section are in conflict with the terms
of a contract in effect before January 1, 2015, the provisions of
this section shall not apply to the local educational agency or the
third party subject to that agreement until the expiration,
amendment, or renewal of the agreement.

(f) Nothing in this section shall be construed to impose liability
on a third party for content provided by any other third party.

begin delete SEC. 15. end delete
begin insert SEC. 21. end insert   

Section 52171.6 of the Education Code is repealed.

begin delete SEC. 16. end delete
begin insert SEC. 22. end insert   

Section 52184 of the Education Code is repealed.

begin delete

SEC. 17.  

Section 52335.12 of the Education Code is amended
to read:

52335.12.  

(a) As a condition of receiving additional funding
based on average daily attendance, the regional occupational center
or program shall report annually to the department the academic
and workforce preparation progress of the secondary pupils
enrolled in the center or program. Indicators to measure that
progress shall include, but are not limited to, the California
Assessment of Student Performance and Progress, pursuant to
Article 4 (commencing with Section 60640) of Chapter 5 of Part
33; the high school exit examination, pursuant to Chapter 9
(commencing with 60850) of Part 33; and other indicators of
academic and workforce preparation success, such as reduced
dropout rates, workforce preparation, increased matriculation into
postsecondary educational institutions, and other measures as
determined by the department.

(b) This section shall become effective only when the
longitudinal data on pupils enrolled in regional occupational centers
and programs can be disaggregated from the California
Longitudinal Pupil Achievement Data System (CALPADs)
database, established pursuant to Chapter 10 (commencing with
Section 60900) of Part 33.

(c) On or before October 1, 2007, the department shall submit
to the Department of Finance a detailed proposal for the
implementation of the outcome reports required in subdivision (a).
The proposal shall identify the specific data elements to be
collected and the costs associated with the data collection and
preparation of the report. The department shall consult with the
Department of Finance and the office of the Legislative Analyst
during the development of this proposal.

end delete

begin delete SEC. 18. end delete
begin insert SEC. 23. end insert   

Section 54006 of the Education Code is repealed.

begin insert

begin insert SEC. 24. end insert   

end insert

begin insert Section 56155.5 of the end insert begin insert Education Code end insert begin insert is amended
to read: end insert

56155.5.  

(a) As used in this article, “licensed children’s
institution” means a residential facility that is licensed by the state,
or other public agency having delegated authority by contract with
the state to license, to provide nonmedical care to children,
including, but not limited to, individuals with exceptional needs.
“Licensed children’s institution” includes a group home as defined
by subdivision (g) of Section 80001 of Title 22 of the California
Code of Regulations. As used in this article and Article 3
(commencing with Section begin delete 56836.16) end delete begin insert 56836.165) end insert of Chapter 7.2,
a “licensed children’s institution” does not include any of the
following:

(1) A juvenile court school, juvenile hall, juvenile home, day
center, juvenile ranch, or juvenile camp administered pursuant to
Article 2.5 (commencing with Section 48645) of Chapter 4 of Part
27.

(2) A county community school program provided pursuant to
Section 1981.

(3) Any special education programs provided pursuant to Section
56150.

(4) Any other public agency.

(b) As used in this article, “foster family home” means a family
residence that is licensed by the state, or other public agency having
delegated authority by contract with the state to license, to provide
24-hour nonmedical care and supervision for not more than six
foster children, including, but not begin insert necessarily end insert limited to, individuals
with exceptional needs. “Foster family home” includes a small
family home as defined in paragraph (6) of subdivision (a) of
Section 1502 of the Health and Safety Code.

begin insert

begin insert SEC. 25. end insert   

end insert

begin insert Section 56325 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

56325.  

(a) (1) As required by subclause (I) of clause (i) of
subparagraph (C) of paragraph (2) of subsection (d) of Section
1414 of Title 20 of the United States Code, the following shall
apply to special education programs for individuals with
exceptional needs who transfer from district to district within the
state. In the case of an individual with exceptional needs who has
an individualized education program and transfers into a district
from a district not operating programs under the same local plan
in which he or she was last enrolled in a special education program
within the same academic year, the local educational agency shall
provide the pupil with a free appropriate public education,
including services comparable to those described in the previously
approved individualized education program, in consultation with
the parents, for a period not to exceed 30 days, by which time the
local educational agency shall adopt the previously approved
individualized education program or shall develop, adopt, and
implement a new individualized education program that is
consistent with federal and state law.

(2) In the case of an individual with exceptional needs who has
an individualized education program and transfers into a district
from a district operating programs under the same special education
local plan area of the district in which he or she was last enrolled
in a special education program within the same academic year, the
new district shall continue, without delay, to provide services
comparable to those described in the existing approved
individualized education program, unless the parent and the local
educational agency agree to develop, adopt, and implement a new
individualized education program that is consistent with federal
and state law.

(3) As required by subclause (II) of clause (i) of subparagraph
(C) of paragraph (2) of subsection (d) of Section 1414 of Title 20
of the United States Code, the following shall apply to special
education programs for individuals with exceptional needs who
transfer from an educational agency located outside the State of
California to a district within California. In the case of an individual
with exceptional needs who transfers from district to district within
the same academic year, the local educational agency shall provide
the pupil with a free appropriate public education, including
services comparable to those described in the previously approved
individualized education program, in consultation with the parents,
until the local educational agency conducts an assessment pursuant
to paragraph (1) of subsection (a) of Section 1414 of Title 20 of
the United States Code, if determined to be necessary by the local
educational agency, and develops a new individualized education
program, if appropriate, that is consistent with federal and state
law.

(b) (1) To facilitate the transition for an individual with
exceptional needs described in subdivision (a), the new school in
which the individual with exceptional needs enrolls shall take
reasonable steps to promptly obtain the pupil’s records, including
the individualized education program and supporting documents
and any other records relating to the provision of special education
and related services to the pupil, from the previous school in which
the pupil was enrolled, pursuant to paragraph (2) of subsection (a)
of Section 99.31 of Title 34 of the Code of Federal Regulations.

(2) The previous school in which the individual with exceptional
needs was enrolled shall take reasonable steps to promptly respond
to the request from the new school.

(c) If whenever a pupil described in subdivision (a) was placed
and residing in a residential nonpublic, nonsectarian school, prior
to transferring to a district in another special education local plan
area, and this placement is not eligible for funding pursuant to
Section begin delete 56836.16, end delete begin insert 56836.165, end insert the special education local plan area
that contains the district that made the residential nonpublic,
nonsectarian school placement is responsible for the funding of
the placement, including related services, for the remainder of the
school year. An extended year session is included in the school
year in which the session ends.

begin insert

begin insert SEC. 26. end insert   

end insert

begin insert Section 56366 of the end insert begin insert Education Code end insert begin insert is amended to
read: end insert

56366.  

It is the intent of the Legislature that the role of a
nonpublic, nonsectarian school or agency shall be maintained and
continued as an alternative special education service available to
a local educational agency and parents.

(a) The master contract for nonpublic, nonsectarian school or
agency services shall be developed in accordance with the
following provisions:

(1) The master contract shall specify the general administrative
and financial agreements, including teacher-to-pupil ratios, between
the nonpublic, nonsectarian school or agency and the local
educational agency to provide the special education and designated
instruction and services, as well as transportation specified in each
pupil’s individualized education program. The administrative
provisions of the contract also shall include procedures for
recordkeeping and documentation, and the maintenance of school
records by the contracting local educational agency to ensure that
appropriate high school graduation credit is received by each pupil.
The contract may allow for partial or full-time attendance at the
nonpublic, nonsectarian school.

(2) (A) The master contract shall include an individual services
agreement for each pupil placed by a local educational agency that
will be negotiated for the length of time for which nonpublic,
nonsectarian school or agency special education and designated
instruction and services are specified in the pupil’s individualized
education program.

(B) The master contract shall include a description of the process
being utilized by the local educational agency to oversee and
evaluate placements in nonpublic, nonsectarian schools, as required
by federal law. This description shall include a method for
evaluating whether each pupil is making appropriate educational
progress. At least once every year, the local educational agency
shall do all of the following and, to the extent possible, the
following shall be conducted as part of the development and
provision of an individualized education program:

(i) Evaluate the educational progress of each pupil placed in a
nonpublic, nonsectarian school, including all state assessment
results pursuant to the requirements of Section 52052.

(ii) Consider whether or not the needs of the pupil continue to
be best met at the nonpublic, nonsectarian school and whether
changes to the individualized education program of the pupil are
necessary, including whether the pupil may be transitioned to a
public school setting. This consideration shall be made at the
meeting required by subdivision (d) of Section 56343.

(C) In the case of a nonpublic, nonsectarian school that is owned,
operated by, or associated with a licensed children’s institution,
the master contract shall include a method for evaluating whether
the nonpublic, nonsectarian school is in compliance with the
mandate set forth in Section 56366.9 of this code and subdivision
(b) of Section 1501.1 of the Health and Safety Code.

(3)  begin insert (A) end insert begin insert   end insert Changes in educational instruction, services, or
placement provided under contract may only be made on the basis
of revisions to a pupil’s individualized education program.

begin delete

At

end delete

begin insert (B) end insert begin insert   end insert begin insert At end insert any time during the term of the contract or individual
services agreement, the parent, the nonpublic, nonsectarian school
or agency, or the local educational agency may request a review
of a pupil’s individualized education program by the individualized
education program team. Changes in the administrative or financial
agreements of the master contract that do not alter the individual
services agreement that outlines each pupil’s educational
instruction, services, or placement may be made at any time during
the term of the contract as mutually agreed by the nonpublic,
nonsectarian school or agency and the local educational agency.

(4) The master contract or individual services agreement may
be terminated for cause. The cause shall not be the availability of
a public class initiated during the period of the contract unless the
parent agrees to the transfer of the pupil to a public school program.
To terminate the contract either party shall give 20 days’ notice.

(5) The nonpublic, nonsectarian school or agency shall provide
all services specified in an individualized education program,
unless the nonpublic, nonsectarian school or agency and the local
educational agency agree otherwise in the contract or individual
services agreement.

(6) Related services provided pursuant to a nonpublic,
nonsectarian agency master contract shall only be provided during
the period of a pupil’s regular or extended school year program,
or both, unless otherwise specified by the pupil’s individualized
education program.

(7) The nonpublic, nonsectarian school or agency shall report
attendance of pupils receiving special education and designated
instruction and services, as defined by Section 46307, for purposes
of submitting a warrant for tuition to each contracting local
educational agency.

(8) (A) A nonpublic, nonsectarian school is subject to the
alternative accountability system developed pursuant to Section
52052 in the same manner as public schools and each pupil placed
in the nonpublic, nonsectarian school by a local educational agency
shall be tested by qualified staff of the nonpublic, nonsectarian
school in accordance with that accountability program. The test
results shall be reported by the nonpublic, nonsectarian school to
the department.

(B) Beginning with the 2006-07 school year testing cycle, each
nonpublic, nonsectarian school shall determine its begin delete STAR testing end delete
begin insert California Assessment of Student Performance and Progress end insert period
subject to subdivisions (b) and (c) of Section 60640. The nonpublic,
nonsectarian school shall determine this period based on
completion of 85 percent of the instructional year at that nonpublic,
nonsectarian school, plus and minus 10 days, resulting in a 21-day
period. Each nonpublic, nonsectarian school shall notify the district
of residence of a pupil enrolled in the school of its testing period.
Staff at the nonpublic, nonsectarian school who administer the
assessments shall attend the regular testing training sessions
provided by the district of residence. If staff from a nonpublic,
nonsectarian school have received training from one local
educational agency, that training begin delete will end delete begin insert shall end insert be sufficient for all
local educational agencies that send pupils to the nonpublic,
nonsectarian school. The district of residence shall order testing
materials for its pupils that have been placed in the nonpublic,
nonsectarian school. The board shall adopt regulations to facilitate
the distribution of and collection of testing materials.

(9) With respect to a nonpublic, nonsectarian school, the school
shall prepare a school accountability report card in accordance
with Section 33126.

(b)  begin insert (1) end insert begin insert   end insert The master contract or individual services agreement
shall not include special education transportation provided through
the use of services or equipment owned, leased, or contracted by
a local educational agency for pupils enrolled in the nonpublic,
nonsectarian school or agency unless provided directly or
subcontracted by that nonpublic, nonsectarian school or agency.

begin delete

The superintendent

end delete

begin insert (2) end insert begin insert   end insert begin insert The Superintendent end insert shall withhold 20 percent of the amount
apportioned to a local educational agency for costs related to the
provision of nonpublic, nonsectarian school or agency placements
if the begin delete superintendent end delete begin insert Superintendent end insert finds that the local educational
agency is in noncompliance with this subdivision. This amount
shall be withheld from the apportionments in the fiscal year
following the begin delete superintendent’s end delete begin insert Superintendent’s end insert finding of
noncompliance. The begin delete superintendent end delete begin insert Superintendent end insert shall take other
appropriate actions to prevent noncompliant practices from
occurring and report to the Legislature on those actions.

(c) (1) If a pupil is enrolled in a nonpublic, nonsectarian school
or agency with the approval of the local educational agency prior
to agreement to a contract or individual services agreement, the
local educational agency shall issue a warrant, upon submission
of an attendance report and claim, for an amount equal to the
number of creditable days of attendance at the per diem tuition
rate agreed upon prior to the enrollment of the pupil. This provision
shall be allowed for 90 days during which time the contract shall
be consummated.

(2) If after 60 days the master contract or individual services
agreement has not been finalized as prescribed in paragraph (1)
of subdivision (a), either party may appeal to the county
superintendent of schools, if the county superintendent begin insert of schools end insert
is not participating in the local plan involved in the nonpublic,
nonsectarian school or agency contract, or the begin delete superintendent, end delete
begin insert Superintendent, end insert if the county superintendent begin insert of schools end insert is
participating in the local plan involved in the contract, to negotiate
the contract. Within 30 days of receipt of this appeal, the county
superintendent begin insert of schools end insert or the begin delete superintendent, end delete begin insert Superintendent, end insert
or his or her designee, shall mediate the formulation of a contract,
which shall be binding upon both parties.

(d) A master contract for special education and related services
provided by a nonpublic, nonsectarian school or agency may not
be authorized under this part, unless the school or agency has been
certified as meeting those standards relating to the required special
education and specified related services and facilities for
individuals with exceptional needs. The certification shall result
in the begin insert nonpublic, nonsectarian end insert school or agency receiving approval
to educate pupils under this part for a period no longer than 18
months from the date of the initial approval.

(e) By September 30, 1998, the procedures, methods, and
regulations for the purposes of contracting for nonpublic,
nonsectarian school and agency services pursuant to this section
and for reimbursement pursuant to Sections begin delete 56836.16 end delete begin insert 56836.165 end insert
and 56836.20 shall be developed by the begin delete superintendent end delete
begin insert Superintendent end insert in consultation with statewide organizations
representing providers of special education and designated
instruction and services. The regulations shall be established by
rules and regulations issued by the board.

begin insert

begin insert SEC. 27. end insert   

end insert

begin insert Section 56366.3 of the end insert begin insert Education Code end insert begin insert is amended
to read: end insert

56366.3.  

(a) No contract for special education and related
services provided by a nonpublic, nonsectarian agency shall be
reimbursed by the state pursuant to Article 4 (commencing with
Section 56836.20) of Chapter 7.2 and Section begin delete 56836.16 end delete begin insert 56836.165 end insert
if the contract covers special education and related services,
administration, or supervision by an individual who is or was an
employee of a contracting local educational agency within the last
365 days. Former contracting agency personnel may be employed
by a nonpublic, nonsectarian agency if the personnel were
involuntarily terminated or laid off as part of necessary staff
reductions from the local educational agency.

(b) This section does not apply to any person who is able to
provide designated instruction and services during the extended
school year because he or she is otherwise employed for up to 10
months of the school year by the local educational agency.

begin insert

begin insert SEC. 28. end insert   

end insert

begin insert Section 56441.5 of the end insert begin insert Education Code end insert begin insert is amended
to read: end insert

56441.5.  

Appropriate instructional adult-to-child ratios for
group services shall be dependent on the needs of the child.
However, because of the unique needs of individuals with
exceptional needs between the ages of three and five years,
inclusive, who require special education and related services, the
number of children per instructional adult shall be less than ratios
set forth in begin delete subsection (b) of Section 18204 of Title 5 of the
California Code of Regulations, as it read on May 1, 1987, end delete
begin insert subdivision (c) of Section 8264.8 end insert for young children in a regular
preschool program. Group services provided to individuals with
exceptional needs between the ages of three and five years,
inclusive, identified as severely disabled pursuant to Section
56030.5 shall not exceed an instructional adult-to-child ratio of
one to five.

begin delete SEC. 19. end delete
begin insert SEC. 29. end insert   

Section 60900 of the Education Code is amended to
read:

60900.  

(a) The department shall contract for the development
of proposals that will provide for the retention and analysis of
longitudinal pupil achievement data on the tests administered
pursuant to Chapter 5 (commencing with Section 60600), Chapter
7 (commencing with Section 60810), and Chapter 9 (commencing
with Section 60850). The longitudinal data shall be known as the
California Longitudinal Pupil Achievement Data System.

(b) The proposals developed pursuant to subdivision (a) shall
evaluate and determine whether it would be most effective, from
both a fiscal and a technological perspective, for the state to own
the system. The proposals shall additionally evaluate and determine
the most effective means of housing the system.

(c) The California Longitudinal Pupil Achievement Data System
shall be developed and implemented in accordance with all state
rules and regulations governing information technology projects.

(d) The system or systems developed pursuant to this section
shall be used to accomplish all of the following goals:

(1) To provide school districts and the department access to
data necessary to comply with federal reporting requirements
delineated in the federal No Child Left Behind Act of 2001 (20
U.S.C. Sec. 6301 et seq.).

(2) To provide a better means of evaluating educational progress
and investments over time.

(3) To provide local educational agencies information that can
be used to improve pupil achievement.

(4) To provide an efficient, flexible, and secure means of
maintaining longitudinal statewide pupil level data.

(5) To facilitate the ability of the state to publicly report data,
as specified in Section 6401(e)(2)(D) of the federal America
COMPETES Act (20 U.S.C. Sec. 9871) and as required by the
federal American Recovery and Reinvestment Act of 2009 (Public
Law 111-5).

(6) To ensure that any data access provided to researchers, as
required pursuant to the federal Race to the Top regulations and
guidelines is provided, only to the extent that the data access is in
compliance with the federal Family Educational Rights and Privacy
Act of 1974 (20 U.S.C. Sec. 1232g).

(e) In order to comply with federal law as delineated in the
federal No Child Left Behind Act of 2001 (20 U.S.C. Sec. 6301
et seq.), the local educational agency shall retain individual pupil
records for each test taker, including all of the following:

(1) All demographic data collected from the California
Assessment of Student Performance and Progress (CAASPP), high
school exit examination, and English language development tests.

(2) Pupil achievement data from assessments administered
pursuant to the CAASPP, high school exit examination, and
English language development testing programs. To the extent
feasible, data should include subscore data within each content
area.

(3) A unique pupil identification number to be identical to the
pupil identifier developed pursuant to the California School
Information Services, which shall be retained by each local
educational agency and used to ensure the accuracy of information
on the header sheets of the CAASPP tests, high school exit
examination, and the English language development test.

(4) All data necessary to compile reports required by the federal
No Child Left Behind Act of 2001 (20 U.S.C. Sec. 6301 et seq.),
including, but not limited to, dropout and graduation rates.

(5) Other data elements deemed necessary by the
Superintendent, with the approval of the state board, to comply
with the federal reporting requirements delineated in the federal
No Child Left Behind Act of 2001 (20 U.S.C. Sec. 6301 et seq.),
and the federal American Recovery and Reinvestment Act of 2009
(Public Law 111-5), after review and comment by the advisory
board convened pursuant to subdivision (h). Before the
implementation of this paragraph with respect to adding data
elements to the California Longitudinal Pupil Achievement Data
System for the purpose of complying with the federal American
Recovery and Reinvestment Act of 2009 (Public Law 111-5), the
department and the appropriate postsecondary educational agencies
shall submit an expenditure plan to the Department of Finance
detailing any administrative costs to the department and costs to
any local educational agency, if applicable. The Department of
Finance shall provide to the Joint Legislative Budget Committee
a copy of the expenditure plan within 10 days of receipt of the
expenditure plan from the department.

(6) To enable the department, the University of California, the
California State University, and the Chancellor of the California
Community Colleges to meet the requirements prescribed by the
federal American Recovery and Reinvestment Act of 2009 (Public
Law 111-5), these entities shall be authorized to obtain quarterly
wage data, commencing July 1, 2010, on students who have
attended their respective systems, to assess the impact of education
on the employment and earnings of those students, to conduct the
annual analysis of district-level and individual district or
postsecondary education system performance in achieving priority
educational outcomes, and to submit the required reports to the
Legislature and the Governor. The information shall be provided
to the extent permitted by federal statutes and regulations.

(f) The California Longitudinal Pupil Achievement Data System
shall have all of the following characteristics:

(1) The ability to sort by demographic element collected from
the CAASPP tests, high school exit examination, and English
language development test.

(2) The capability to be expanded to include pupil achievement
data from multiple years.

(3) The capability to monitor pupil achievement on the CAASPP
tests, high school exit examination, and English language
development test from year to year and school to school.

(4) The capacity to provide data to the state and local educational
agencies upon their request.

(g) Data elements and codes included in the system shall comply
with Sections 49061 to 49079, inclusive, and Sections 49602 and
56347, with Sections 430 to 438, inclusive, of Title 5 of the
California Code of Regulations, with the Information Practices
Act of 1977 (Chapter 1 (commencing with Section 1798) of Title
1.8 of Part 4 of Division 3 of the Civil Code), and with the federal
Family Educational Rights and Privacy Act of 1974 (20 U.S.C.
Sec. 1232g), Section 1232h of Title 20 of the United States Code,
and related federal regulations.

(h) The department shall convene an advisory board consisting
of representatives or designees from the state board, the Department
of Finance, the State Privacy Ombudsman, the Legislative
Analyst’s Office, representatives of parent groups, school districts,
and local educational agencies, and education researchers to
establish privacy and access protocols, provide general guidance,
and make recommendations relative to data elements. The
department is encouraged to seek representation broadly reflective
of the general public of California.

(i) Subject to funding being provided in the annual Budget Act,
the department shall contract with a consultant for independent
project oversight. The Director of Finance shall review the request
for proposals for the contract. The consultant hired to conduct the
independent project oversight shall twice annually submit a written
report to the Superintendent, the state board, the advisory board,
the Director of Finance, the Legislative Analyst, and the
appropriate policy and fiscal committees of the Legislature. The
report shall include an evaluation of the extent to which the
California Longitudinal Pupil Achievement Data System is meeting
the goals described in subdivision (d) and recommendations to
improve the data system in ensuring the privacy of individual pupil
information and providing the data needed by the state and school
districts.

(j) This section shall be implemented using federal funds
received pursuant to the federal No Child Left Behind Act of 2001
(20 U.S.C. Sec. 6301 et seq.), which are appropriated for purposes
of this section in Item 6110-113-0890 of Section 2.00 of the Budget
Act of 2002 (Chapter 379 of the Statutes of 2002). The release of
these funds is contingent on approval of an expenditure plan by
the Department of Finance.

(k) For purposes of this chapter, a local educational agency shall
include a county office of education, a school district, and a charter
school.