BILL ANALYSIS                                                                                                                                                                                                    






                             SENATE JUDICIARY COMMITTEE
                           Senator Ellen M. Corbett, Chair
                              2009-2010 Regular Session


          AB 261
          Assemblymember Salas
          As Amended June 22, 2009
          Hearing Date: July 7, 2009
          Education Code
          NRB:jd
                    

                                        SUBJECT
                                           
                            Pupil Records; Privacy Rights

                                      DESCRIPTION  

          This bill, sponsored by the Superintendent of Public  
          Instruction, would amend various provisions of state law  
          governing permissible disclosure of student records in order to  
          comply with federal law and preserve state eligibility for more  
          than $1.13 billion in annual federal special education funding.

                                      BACKGROUND  

          Pursuant to the 1997 reauthorization of the Individuals with  
          Disabilities Education Act (IDEA), Congress required states to  
          prove compliance with federal law by submitting a copy of state  
          policies and procedures to the Office of Special Education  
          Programs in the federal Department of Education (USDOE).  After  
          reviewing the state's policies and procedures in 2003, the  
          federal Family Policy Compliance Office issued instructions  
          addressing areas of the Family Educational Rights and Privacy  
          Act (FERPA) where California law fell short of compliance.   
          Under the most recent reauthorization of the IDEA, states are  
          required to provide assurances to USDOE as to compliance with  
          all federal requirements.

          Because California statutes have not yet been conformed to all  
          the requirements of FERPA, the USDOE has annually warned the  
          state "previous outstanding items must be resolved and are  
          conditions of continued federal funding" and has issued a  
          Conditional Grant Award Letter to the California Department of  
          Education when awarding IDEA funds.
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          If California law is not brought into compliance with federal  
          law, the USDOE is authorized to sanction the California  
          Department of Education or reduce or withhold federal IDEA funds  
          the state receives for the provision of special education  
          services.  (See generally 34 C.F.R., Part 300, Secs. 300.178 -  
          300.186.)
          This bill was approved by the Senate Committee on Education on  
          June 17, 2009.

                                CHANGES TO EXISTING LAW
           
           Existing state law  prohibits a school district from providing  
          student records to a person without written parental consent or  
          a court order, with specified exceptions.  (Ed. Code Secs.  
          49076, 49076.5.)
          
          Existing federal law  , the Family Education Rights and Privacy  
          Act (FERPA), requires as a condition to receipt of federal  
          education funds that California law comply with federal student  
          record disclosure protections.  (Code of Fed. Regs., Title 34,  
          Secs. 99.1, 99.62.)

           This bill  would make various changes to state law designed to  
          comply with FERPA.

           Specifically, this bill  seeks to conform state law exceptions  
          for disclosure of student records to federal law by:

       (1)Providing, generally, that a school district is not authorized  
            to permit access to student records to a person without  
            written parental consent or under court order, except under  
            specified conditions, and to specified officials, as permitted  
            by Part 99 of Title 34 of the Code of Federal Regulations. 

       (2)Clarifying that existing access to student records under the  
            following circumstances comports with federal law because the  
            circumstances concern the juvenile justice system and the  
            system's ability to effectively serve, prior to adjudication,  
            the student whose records are released pursuant to, and  
            consistent with, Section 99.38 of Title 34 of the Code of  
            Federal Regulations as that section exists on January 1, 2009:
              a.    Access to student records by a district attorney's  
                office participating in a truancy mediation program, as  
                defined (Ed. Code Sec. 49076, subd. (a)(7)); 
              b.    Access to student records by a probation officer or  
                                                                      



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                district attorney's office for purposes of conducting an  
                investigation for juvenile adjudication, declaring a  
                person a ward of the court, or investigating a condition  
                of probation, so long as the records are relevant to the  
                legitimate education interests of the student (Ed. Code  
                Sec. 49076, subd. (a)(9)); 
              c.    Access to student records by a judge or probation  
                officer for the purpose of conducting a truancy mediation  
                program or presenting evidence in a truancy petition, as  
                defined (Ed. Code Sec. 49076, subd. (a)(10)).

       (3)Amending the existing exemption providing county election  
            officials access to student information for the purpose of  
            identifying students eligible to register to vote and for  
            conducting programs to offer students an opportunity to vote  
            so as to give the student's parent, or the student if 18 years  
            of age or older, the opportunity to opt out of this voter  
            registration activity (Ed. Code Sec. 49076, subd. (b)(3)).

       (4)Amending existing exemptions that allow limited data sharing  
            between schools for purposes of a student transfer, or between  
            schools, a county office of education, or superintendent of  
            schools, for purposes of maintaining a data information  
            system, so long as the record and data sharing is for a  
            legitimate educational purpose and conforms to disclosure  
            requirements in state and federal law (Ed. Code Sec. 49076,  
            subd. (b)(6)(B), (c)).

       (5)Clarifying that school officials shall not disclose personally  
            identifiable student information in an interagency data  
            information system authorized by existing state law unless  
            permitted by federal law.

       (6)Clarifying that, without the prior written consent of a parent,  
            student identity and location information may only be  
            disclosed by a school district to law enforcement pursuant to  
            a subpoena or court order, or upon providing information to  
            the school district indicating there is an emergency in which  
            the information is necessary to protect the health or safety  
            of the student.  (Ed. Code Sec. 49076.5, subd. (a).  See CFR,  
            Title 34, Secs. 99.31 (10), and 99.36 (a).

                                        COMMENT
           
          1.  Stated need for the bill  
          
                                                                      



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          According to the author, each year the state receives more than  
          $1.13 billion in federal funds for the provision of special  
          education services for students with special needs under the  
          IDEA.  As a condition to continued receipt of these funds, the  
          author states that California law must be brought into  
          compliance with FERPA.  

          The author writes:
          
            [T]he US Department of Education [has] specifically identified  
            three portions of the Education Code as being out of  
            compliance with FERPA regulations.  As a result, the  
            Department placed the state's 2008-09 IDEA Grant on  
            conditional status.

            In 2008 the State Superintendent [of Public Instruction]  
            sponsored AB 2630 (Salas) to address the compliance issues  
            raised by the Department, however, the measure was ultimately  
            vetoed by the Governor out of concerns that the bill  
            "appear(s) to expand beyond federal requirement, and therefore  
            could expose the State to significant reimbursable state  
            mandate costs."

            The Superintendent continues to maintain that this language is  
            federally mandated and therefore should not be interpreted to  
            possibly create an unfunded state mandate.

            The state submitted its 2009-10 IDEA Grant application and  
            referenced AB 261 to demonstrate that it is making every  
            effort to bring the state into compliance with federal law[.]   
            Although the introduction of this legislation can be referred  
            to in the grant application as the state's good-faith effort  
            to comply with federal law, true compliance will not occur  
            until it becomes law.

            If these specific sections of the [E]ducation [C]ode continue  
            to go unaddressed it may jeopardize California's future IDEA  
            eligibility.  This could include the sanctioning of the  
            California Department of Education or a reduction or  
            withholding of the amount of federal IDEA funds the state  
            receives for the provision of special education services.

            By amending Sections 49076 and 49076.5 of the Education Code  
            the state will help ensure that California will retain its  
            federal IDEA grant funding eligibility so that it can continue  
            to receive the more than $1.3 billion in federal grant for the  
                                                                      



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            provision of special education services to students with  
            special needs.

          2.  Reimbursable State Mandate Question.  

          AB 261 is virtually identical to AB 2630 (Salas, 2008), which  
          was approved unanimously by the Senate Judiciary Committee last  
          year.  That measure was ultimately vetoed by the Governor on the  
          ground that "its provisions appear to expand beyond federal  
          requirement, and therefore could expose the State to significant  
          reimbursable state mandate costs."

          The State Constitution provides, with specified exceptions, that  
          the state must reimburse local governments when it mandates a  
          new program or higher level of service for the costs of the  
          program or the increased level of service.  (Cal. Const., art.  
          XIII, Sec. 6, subd. (a).)  However, a state mandate is not  
          reimbursable when the state adopts an implementing statute  
          pursuant to a federal mandate.  (Hayes v. Com. on State Mandates  
          (1992) 11 Cal.App.4th 1564, 1593.) 

          There seems to be no dispute that, with two exceptions, AB 261's  
          provisions make no substantive change to existing state law and  
          merely clarify that the amended provisions have complied, and  
          continue to comply, with the requirements of federal law.   
          Because the clarifications in these sections do not create new  
          or expand existing duties on local government, they are not  
          reimbursable mandates.

          Last year, however, the Department of Finance (DOF) expressed  
          concern that two provisions of AB 2630, which also are included  
          in AB 261, may create state mandates.  These two provisions are  
          discussed below.  






           a.   Disclosure of student information to law enforcement
           
            In its analysis of AB 2630, the DOF asserted:

               Section 2 of this bill amends Education Code Section  
               49076.5 to require designated peace officers to show prior  
               written consent from one parent, or show that they have  
                                                                      



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               obtained a lawfully issued subpoena or a court order in  
               order to obtain a student's information.  Conversely,  
               federal law is not explicitly this prescriptive.

            The DOF analysis appears to misapprehend both the scope of the  
            proposed measure and the requirements of federal law.  Section  
            99.30 of Title 34 establishes the general rule that a school  
            must obtain parental written consent prior to disclosing  
            student information.  Federal law provides an exception to  
            this rule if, among other exceptions, a school discloses  
            information pursuant to a "judicial order or a lawfully issued  
            subpoena."  (34 C.F.R., Sec. 99.31 (9)(i).)  Because  
            authorization for disclosure pursuant to written parental  
            consent or court order is required both by existing state and  
            federal law, there is no basis to the contention that these  
            provisions in AB 261 create a reimbursable state mandate.

            Although not specifically mentioned in the DOF critique, both  
            AB 2630 and AB 261 include an exception permitting disclosure  
            to law enforcement where they "provide information indicating  
            that there is an emergency in which the information is  
            necessary to protect the health or safety of the pupil."  (See  
            page 6, lines 22-31.)  Federal law expressly requires that  
            schools be permitted to disclose specified student information  
            "if knowledge of the information is necessary to protect the  
            health or safety of the student or other individuals."  (34  
            CFR, Secs. 99.31 (10), 99.36 (a).)  Thus, as drafted, AB 261  
            authorizes school officials to disclose information to law  
            enforcement under circumstances specifically required by  
            federal law, and therefore the proposed amendment does not  
            establish a reimbursable state mandate.

            b.    Opt out for voting information.  

            The DOF analysis also contends that the amendment relating to  
            the release of information to county election officials may  
            impose a requirement that goes beyond federal law.  AB 261  
            amends existing state law governing disclosure of student  
            information to election officials to require that the  
            student's parent, or the student if 18 years of age or older,  
            first be given the opportunity to opt out of this voter  
            registration activity.  (See page 4, lines 32-34.)  It is true  
            that Title 34 does not expressly reference disclosure of  
            student information for voter registration activities.  It  
            does not follow, however, that this fact necessarily creates a  
            reimbursable state mandate.
                                                                      



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            Pursuant to federal law, the type of student information that  
            may be disclosed to elections officials under state law can  
            only be disclosed if the student's parent, or the student, if  
            he or she is 18 years of age or older, first is given the  
            opportunity to opt out.  (Title 34, Sec. 99.37.)  Because AB  
            261 merely conforms state law to the federal law's opt out  
            requirement, this aspect of the measure also fails to  
            constitute a reimbursable state mandate.  

            It is perhaps based on the above rationale that the  
            Legislative Counsel determined that last year's AB 2630, and  
            this year's AB 261, are non-fiscal and do not contain a  
            state-mandated local program.  

            However, in an abundance of caution and a demonstration of  
            comity, the author has negotiated a proposed amendment with  
            the DOF designed to address the department's concerns about  
            this provision.  The proposed amendment would explicitly  
            provide that a school district may only disclose "directory"  
            student information to elections officials, thus removing any  
            possible misunderstanding about whether the opt out language  
            in AB 261 stems directly from a federal mandate.   
            Specifically, the author would like to take the following  
            amendment:

               At page 4, line 29, delete "official," and insert "official  
               may obtain directory information as defined pursuant to  
               Section 99.3 of Title 34 of the Code of Federal  
               Regulations"

               At page 4, line 33, after "The" insert "directory"  

            In addition, the author may consider amending the bill to  
            clarify that if a school district exercises its option to  
            share student information with election officials, it may only  
            disclose the specific type of directory information necessary  
            to accomplish the relevant voter registration programs.


           Support  :  None Known

           Opposition  :  None Known

                                        HISTORY
           
                                                                      



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           Source  :  Superintendent of Public Instruction

           Related Pending Legislation  :  None Known

           Prior Legislation  :

          AB 2630 (Salas, 2008), was virtually identical to AB 261, and  
          was vetoed by the Governor.

          AB 1663 (Evans, 2007), revised numerous provisions of the  
          Education Code pertaining to special education services to  
          conform state law to federal requirements relating to, among  
          others:  pupil identification, assessment, and eligibility;  
          individualized education program development; procedural  
          safeguards; and pupil information confidentiality.  

           Prior Vote  :

          Assembly Education Committee (Ayes 10, Noes 0)
          Assembly Judiciary Committee (Ayes 10, Noes 0)
          Assembly Floor (Ayes 76, Noes 0)
          Senate Education Committee (Ayes 9, Noes 0)

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