BILL ANALYSIS                                                                                                                                                                                                    



                                                          AB 537
                                                          Page  1

ASSEMBLY THIRD READING
AB 537 (Aroner)
As Amended June 2, 1999
Majority vote 

  EDUCATION           11-4        APPROPRIATIONS      14-7        
  
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|Ayes:|Mazzoni, Alquist,         |Ayes:|Migden, Cedillo, Davis,   |
|     |Calderon, Correa, Davis,  |     |Hertzberg, Kuehl, Papan,  |
|     |Honda, Leach, Nakano,     |     |Romero, Shelley,          |
|     |Scott, Soto, Wildman      |     |Steinberg, Thomson,       |
|     |                          |     |Wesson, Wiggins, Wright,  |
|     |                          |     |Aroner                    |
|     |                          |     |                          |
|-----+--------------------------+-----+--------------------------|
|Nays:|Campbell, Baldwin,        |Nays:|Brewer, Ashburn, Battin,  |
|     |Cunneen,                  |     |Pescetti, Maldonado,      |
|     |Robert Pacheco            |     |Runner, Zettel            |
|     |                          |     |                          |
 ----------------------------------------------------------------- 
  SUMMARY  :  Establishes an alternative formula for funding  
home-to-school transportation.  Specifically,  this bill  : 

1)Authorizes increased home-to school transportation funding in  
  1999-2000 for districts meeting all of the following three criteria:

   a)   Their current home-to-school transportation funding is less  
     than 15% of approved costs (based on 1997-98 data);

   b)   At least 50% of their students are eligible for free and  
     reduced price lunches based on 1997 California Basic Education  
     Data System (CBEDS) data; and,

   c)   The number of average daily boardings by district students  
     utilizing public transit as home-to-school transportation in  
     1997-98 exceeded 30% of the district CBEDS enrollment.

2)Provides funding for these district(s) home-to-school transportation  
  approved expenses would be increased to the statewide average per  
  pupil funding allowance for home-to-school transportation. 
3)Provides that this authorization is only operative during those  
  fiscal years in which funds are appropriated in the Budget Act for  
  this purpose.  However, this bill restricts funding for this purpose  
  to no more than $500,000.

  EXISTING LAW  provides that each school district or county office of  






                                                          AB 537
                                                          Page  2

education shall receive a home-to-school transportation allowance in  
the amount received in the prior fiscal year, but in no event in  
excess of the prior year's approved home-to-school transportation  
costs, increased by the amount provided in the annual Budget Act.   
Districts must receive an allowance in the prior year in order to  
qualify to receive an allowance in the current year.

Home-to-school transportation funding entitlement is based upon a  
"snapshot" taken in the early 1980s of existing programs at that time.  
 A base funding level was established based upon the cost of the  
programs for that base year, and has been adjusted over time.   
Currently, California school agencies are funded for approximately 53%  
of their approved transportation costs.

 FISCAL EFFECT  :  Up to $500,000 annually dependent on a Budget Act  
appropriation.

  COMMENTS  :  This bill appears to apply to just one district, the West  
Contra Costa Unified School District. At the statewide average of 53%,  
the district would have received $1.05 million for home-to-school  
transportation in 1997-98, an increase of $819,000 over their actual  
allowance of $232,000.

  Analysis Prepared by  :  Hal Geiogue / ED. / (916) 319-2087 
                                                            FN: 0001691