BILL ANALYSIS Ó SB 854 Page 1 SENATE THIRD READING SB 854 (Committee on Budget and Fiscal Review) As Amended August 9, 2016 Majority vote. Budget Bill Appropriation Takes Effect Immediately SENATE VOTE: 25-11 ------------------------------------------------------------------ |Committee |Votes|Ayes |Noes | | | | | | | | | | | | | | | | |----------------+-----+----------------------+--------------------| |Budget |24-1 |Ting, Obernolte, |Travis Allen | | | |Bloom, Bonta, Campos, | | | | |Chávez, Chiu, Cooper, | | | | |Gordon, Harper, | | | | |Holden, Irwin, Kim, | | | | |Lackey, McCarty, | | | | |Melendez, Mullin, | | | | |Nazarian, O'Donnell, | | | | |Patterson, Rodriguez, | | | | |Thurmond, Wilk, | | | | |Williams | | | | | | | | | | | | ------------------------------------------------------------------ SB 854 Page 2 SUMMARY: Makes changes to the 2016-17 budget trailer bills related to K-12 and higher education. Specifically, this bill: 1)Allows the California Department of Education (CDE) to use up to $300,000 of the $18 million in Proposition 98 General Fund provided in the 2016-17 budget to contract with a local educational agency to provide regional trainings and technical assistance for grant recipients of Proposition 47 related dropout and truancy prevention programs. This bill also requires the CDE to submit an expenditure plan for these funds to the Joint Legislative Budget Committee. The 2016-17 education trailer bill, SB 828 (Committee on Budget and Fiscal Review), Chapter 29, Statutes of 2016, provided $18 million in one-time Proposition 98 General Fund for dropout and truancy related programs, in addition to the $9.9 million provided for this purpose through Proposition 47 related savings. Proposition 47 allows the CDE to use up to 5% of the education related Proposition 47 funds to administer the program and provide technical assistance. However, no funds were provided for technical assistance for the additional $18 million. 2)Requires the California Collaborative for Educational Excellence (CCEE) to receive Department of Finance approval prior to expending funds provided in the 2016-17 budget. SB 828 provided $24 million in one-time Proposition 98 funding for the CCEE to implement statewide professional development and training on the Local Control Funding Formula (LCFF) evaluation rubrics and to conduct a pilot program for assisting schools in improving student outcomes. Specifically, $20 million is dedicated for statewide training and $4 million for a pilot program. 3)Requires applicants of the California Classified School Employee Teacher Credentialing Program to include a plan for recruiting bilingual cross-cultural teachers, in addition to teachers in shortage areas, in their application. This was a requirement of the previous California School Paraprofessional Teacher Training Program. SB 854 Page 3 4)Extends the sunset date and Legislative Analyst's Office reporting date by one year on a program that allows the University of California and the California Community Colleges to use the best value procurement method when purchasing goods and materials. A Legislative Analyst's Office (LAO) report analyzing the effectiveness of these programs will be due on Feb. 1, 2018, instead of 2017, and the program will sunset on Jan. 1, 2019, instead of 2018. This change is proposed to allow the LAO to address a requirement in the 2016 Budget Act requiring an extensive review of state financial aid programs this fall, before working on the review of the best value program. 5)Deletes redundant language included in AB 1602 (Committee on Budget), Chapter 24, Statutes of 2016, (the Higher Education Trailer Bill as part of the 2016 Budget Act) regarding reporting requirements for funding distributed to the California State Library. This is a technical change. 6)Clarifies that the process for awarding funds for Precision Medicine grants is not subject to the provisions of the Government Code Section 11340. FISCAL EFFECT: The funding provided in this bill is consistent with the overall funding included in the 2016-17 budget. COMMENTS: This bill makes changes to the 2016-17 budget trailer bills related to K-12 and higher education. These changes are necessary to implement the 2016 Budget Act. The bill provides a portion of funding provided in the 2016-17 budget for the CDE to implement truancy and dropout prevention programs, requires the CCEE to receive Department of Finance approval prior to expending funds and requires applicants for SB 854 Page 4 the Classified School Employee Teacher Credentialing Program to include a plan for recruiting bilingual cross-cultural teachers. This bill also extends the sunset date and reporting dates related to a University of California and California Community College procurement program, eliminates redundant language regarding funding for the California State Library, clarifies that grant awards for the Precision Medicine program are not subject to Government Code 11340. Analysis Prepared by: Mark Martin, Katie Hardeman / BUDGET / (916) 319-2099 FN: 0004063