BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON APPROPRIATIONS
                             Senator Ricardo Lara, Chair
                            2015 - 2016  Regular  Session

          SB 460 (Allen) - Pupils redesignated as fluent English  
          proficient:  local control funding formula:  local control and  
          accountability plans
          
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          |Version: April 6, 2015          |Policy Vote: ED. 9 - 0          |
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          |Urgency: No                     |Mandate: Yes                    |
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          |Hearing Date: May 28, 2015      |Consultant: Jillian Kissee      |
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          SUSPENSE FILE.  AS AMENDED.


          
          Bill  
          Summary:  This bill, until July 1, 2019, or whenever the state  
          adopts statewide English learner redesignation standards,  
          whichever comes first, requires that local educational agencies  
          (LEAs) continue to receive a percentage of supplemental and  
          concentration grant funding under the Local Control Funding  
          Formula (LCFF) for two additional years after an English learner  
          student has been reclassified as fluent English proficient.

          This bill also requires LEAs to expand reporting in their Local  
          Control and Accountability Plan (LCAP) to include goals and  
          actions for students reclassified as fluent English proficient  
          students and to specify specialized programs or services  
          provided to these students.

          Fiscal Impact (as approved on May 28, 2015):
           Cost pressure in the high tens of millions in Proposition 98  







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            General Fund annually.  This estimate would change depending  
            on the number of students that are redesignated as fluent  
            English proficient and whether they attend school in districts  
            that qualify for concentration grant funding. 

           California Department of Education (CDE) estimates one-time  
            costs of at least $49,000 General Fund for staff to make  
            necessary revisions to the LCAP template and to provide  
            technical assistance.  This estimate does not include costs  
            for any travel or stakeholder input meetings needed.  

           This bill results in additional unknown, but potentially  
            significant costs to LEAs to report reclassified student  
            enrollment; for county offices of education to verify the  
            data; and for LEAs to include additional information on  
            redesignated pupils in their LCAPs.  These activities could be  
            deemed a reimbursable state mandate.


          Background:  The 2013-14 budget replaced the previous K-12 finance system  
          with a new LCFF which replaced most previously existing K-12  
          funding streams, including revenue limits and most state  
          categorical programs.  Base grants are provided for every  
          student with amounts dependent on certain grades.  Supplemental  
          and concentration grants are provided based on the number and  
          concentration, or LEAs with high percentages, of students who  
          are identified as either low income, English learner, or in  
          foster care within a school district, county office of  
          education, or charter school, as applicable.  

          The formula uses an "unduplicated count," which means that  
          pupils who fall into more than one category are counted only  
          once.  The unduplicated pupil percentage, used to calculate  
          supplemental and concentration grants, are calculated using a  
          three-year rolling average based on the current year and two  
          prior years which has the effect of smoothing out year-to-year  
          changes in students. (Education Code § 2574 and § 42238.02)  

          As part of the LCFF, school districts, county offices of  
          education, and charter schools are required to develop, adopt,  
          and annually update a three-year LCAP using the template adopted  
          by the State Board of Education.  Current law requires that the  
          LCAP include a description of annual goals and actions to  
          achieve these goals for all students and subgroups of students,  








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          in each of the statutorily-identified eight state priorities, or  
          any additional local priority. (Education Code § 52060)

          Both federal and state law require that each school district  
          with English learners annually assess these students' English  
          language development until they are redesignated as English  
          proficient.  Current law requires the reclassification  
          procedures developed by the CDE to use multiple criteria,  
          including assessing language proficiency, teacher evaluation,  
          parental opinion, and a comparison to the performance of English  
          proficient pupils of the same age.  These are minimum  
          requirements and LEAs can develop their own additional criteria.  
           (Education Code § 313)


          Proposed Law:  
           This bill, until July 1, 2019, or until statewide pupil  
          redesignation standards are adopted, whichever comes first: 

          1.   Expands the definition of "unduplicated pupil" to include a  
               pupil who is redesignated as fluent English proficient and  
               provides that the pupil counts only once with respect to  
               students that fall into more than one category that  
               generates additional funding. 

          2.   Expands the reporting of unduplicated pupil enrollment LEAs  
               must provide to CDE to include pupils redesignated as  
               fluent English proficient, and requires county offices of  
               education to review and validate this information for  
               school districts and charter schools within their  
               jurisdiction.  

          3.   Requires that a county office of education, a school  
               district, or a charter school receive 50 percent of the  
               supplemental grant and concentration grant and 25 percent  
               of the supplemental and concentration grant after the first  
               fiscal year and the second fiscal year, respectively, the  
               pupil was redesignated. 

          4.   Expands reporting that LEAs are required to complete in  
               their LCAP by adding redesignated pupils as a subgroup for  
               which LEAs must establish goals and actions to achieve  
               those goals in each of the state priorities.  In addition,  
               this bill requires LEAs to specifically report on any  








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               specialized programs or services provided to redesignated  
               students so that they may maintain proficiency in English,  
               and access the common core academic content standards and a  
               broad course of study, as specified. 


          Related  
          Legislation: Current law, enacted by SB 1108 (Padilla, Chapter  
          434, Statues of 2012), requires the CDE, if state federal or  
          private funds are provided for this purpose, to review and  
          analyze the criteria, policies and practices that school  
          districts use to reclassify English learners and to recommend  
          any policy changes necessary to identify when English learners  
          are prepared for reclassification.  CDE was required to submit a  
          report by January 1, 2014, however due to lack of funding, it  
          has not been submitted. (Education Code §313.5)

          SB 409 (De Leon) modifies the unmet reporting requirements  
          established by SB 1108 to establish a new due date of January 1,  
          2017.  The bill, among other things, requires the CDE to report  
          to the Legislature any policy changes necessary on how  
          implementation of the eight state priorities in school  
          districts' LCAPs supports the transition of English learners to  
          classrooms and curricula that require English proficiency. 

          AB 1892 (Bocanegra, 2014) was essentially identical to this bill  
          and failed passage by this committee. 

          SB 344 (Padilla, 2013), among other things, added reclassified  
          English learners to the subgroups of pupils whose academic  
          achievement must be measured by the Academic Performance Index  
          (API) for accountability purposes and expanded LCAP reporting  
          requirements to include reclassified English learners.  SB 344  
          was vetoed by the Governor. 


          Staff  
          Comments:  Staff notes that as the bill is currently written, it  
          could be interpreted to provide funding for students  
          redesignated as English proficient twice.  The bill includes  
          redesignated pupils in overall unduplicated counts which would  
          generate supplemental and concentration grant funding.  This  
          bill also provides additional funding as percentages of  
          supplemental and concentration grants for two years after a  








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          student is redesignation as English proficient.

          Committee amendments (as adopted on May 28, 2015): Amendments  
          make implementation of funding for redesignated as English  
          proficient pupils contingent upon an appropriation in the Budget  
          Act.



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