BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 261
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          ASSEMBLY THIRD READING
          AB 261 (Salas)
          As Introduced  February 11, 2009
          Majority vote 

           EDUCATION           10-0        JUDICIARY           10-0        
           
           ----------------------------------------------------------------- 
          |Ayes:|Brownley, Nestande,       |Ayes:|Feuer, Tran, Brownley,    |
          |     |Ammiano, Arambula,        |     |Evans, Jones, Knight,     |
          |     |Buchanan, Carter, Eng,    |     |Krekorian, Lieu, Monning, |
          |     |Garrick, Miller,          |     |Nielsen                   |
          |     |Torlakson                 |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :   Amends the California Education Code to conform with  
          the federal Family Education Rights and Privacy Act (FERPA)  
          requirements relating to the confidentiality of pupil records.   
          Specifically,  this bill  :  

          1)Changes the exceptions to the prohibition on a school district  
            providing access to pupil record information to the extent  
            this is in accordance with federal statute and regulation, and  
            provides an exception for state and local officials to whom  
            information may be reported or disclosed pursuant to state  
            law.

          2)Clarifies exceptions to this prohibition with respect to  
            agents of the juvenile justice system for the purposes of  
            truancy mediation, juvenile adjudication, and reviewing  
            compliance with compulsory education requirements.

          3)Restricts the authority of a school district to release pupil  
            record information to a county elections official for the  
            purpose of identifying eligible voters to only those pupils  
            who have not opted out (or not been opted out by a parent) of  
            this activity.

          4)Limits the authority of a school district to release pupil  
            record information within the educational agency to only those  
            individuals who have a legitimate educational interest as  
            defined by federal law.









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          5)Authorizes a school district or county office of education to  
            participate in an interagency data system, maintained by a  
            non-educational, governmental agency and accessible to  
            authorized school officials, as long as specified conditions,  
            including non-disclosure of information, are met.

          6)Limits the release of pupil record information to a designated  
            peace officer or law enforcement agency to those situations  
            where prior written parental permission has been obtained,  
            where the health and safety of the pupil is at immediate risk,  
            or where a lawfully issued subpoena or court order has been  
            obtained.

           EXISTING LAW  prohibits a school district from providing or  
          permitting access to pupil record information without written  
          parental consent or a lawfully issued judicial order, except as  
          specifically provided.

           FISCAL EFFECT  :   This bill is keyed non-fiscal.

           COMMENTS  :   Under the previous (1997) authorization of the  
          Individuals with Disabilities Education Act (IDEA), states were  
          required to prove compliance through submission of a copy of  
          state policies and procedures to the Office of Special Education  
          Programs in the United States Department of Education (USDOE).   
          As a result of reviewing these materials, the federal Family  
          Policy Compliance Office in 2003, issued instructions to the  
          California Department of Education (CDE) addressing areas of  
          FERPA where California statute fell short of compliance.  Under  
          the current reauthorization (2004) of IDEA, states are required  
          to provide assurances to USDOE as to compliance with all  
          relevant federal requirements.

          Since no changes have been enacted to bring state statute into  
          full compliance with FERPA, USDOE has annually warned the CDE  
          that these previous outstanding issues must be resolved and that  
          this resolution is a condition of continued federal funding, and  
          has issued a Conditional Grant Award Letter to the CDE when  
          making the annual award of funds to California under IDEA.  The  
          author and the Superintendent of Public Instruction, the sponsor  
          of this bill, have expressed concern that this status  
          jeopardizes the continuation of California's special education  
          funding, currently in excess of $1.13 billion annually.  This  
          bill proposes to bring state Education Code into conformity with  








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          FERPA, and thus eliminate the conditions that USDOE has placed  
          on the state's IDEA Grant.

          It should be noted that a significant IDEA funding augmentation  
          is included in the American Recovery and Reinvestment Act (ARRA)  
          recently passed into law.  It remains unclear how this funding,  
          currently estimated to be approximately $1.3 billion for  
          California local education agencies, would be treated with  
          respect to any action that USDOE might take if the conditions  
          placed on the state's IDEA Grant were not met. It is possible  
          that USDOE, if it were to sanction California for  
          non-conformance with FERPA by reducing or eliminating the  
          state's IDEA grant, could extend any such sanction to the  
          augmented IDEA funds provided in the ARRA.  The USDOE is in the  
          process of developing ARRA guidance for the states, and the CDE  
          is working to clarify this issue.

          The author carried a substantially similar bill in 2008; the  
          Governor vetoed that bill.  The Department of Finance (DOF) in  
          its analysis of last year's bill raised concerns that were in  
          turn stated by the Governor in his veto message, "While the  
          stated intent of this bill is purported to conform state special  
          education law to changes to the federal Individuals with  
          Disabilities Education Act, its provisions appear to expand  
          beyond federal requirement, and therefore could expose the State  
          to significant reimbursable state mandate costs."  The current  
          bill, as was also the case with the author's 2008 bill, is  
          determined by the Legislative Counsel Bureau to be non-fiscal  
          and to not constitute a state-mandated local program.  It should  
          be noted that mandates imposed on local governmental entities  
          are not reimbursable under the California Constitution if those  
          mandates are derived from federal requirements.  In addition,  
          the Assembly Judiciary Committee stated in its analysis of this  
          bill that, "While the DOF analysis usefully elaborates on the  
          Governor's terse veto message, the arguments do not appear  
          persuasive enough to overturn the sound judgment of the  
          Legislative Counsel.  It is not clear that AB 261 imposes any  
          new mandates on local school districts, as the DOF analysis  
          claims.  Any new costs imposed on other entities appear to be  
          required by federal law, and are therefore not reimbursable." 

          Related legislation:   AB 2630 (Salas), vetoed in 2008, was  
          substantially similar to this bill.  AB 1663 (Evans), Chapter  
          454, Statutes of 2007, made various revisions to state special  








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          education statutes to bring them in conformity with the 2004  
          reauthorization of IDEA and implementing federal regulations  
          that became effective in 2006.  Earlier versions of this bill  
          also included language dealing with these FERPA issues; that  
          language was deleted from the bill on the Senate Floor after  
          comments from the Department of Finance that these issues were  
          substantive enough to require separate legislation.

           
          Analysis Prepared by  :    Gerald Shelton / ED. / (916) 319-2087 


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