BILL ANALYSIS
AB 1610
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 1610 (Budget Committee)
As Amended October 7, 2010
2/3 vote. Urgency
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|ASSEMBLY: | |(April 22, |SENATE: |28-6 |(October 7, |
| | |2010) | | |2010) |
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(vote not relevant)
Original Committee Reference: BUDGET
SUMMARY : Provides the necessary statutory changes in the area
of education in order to enact modifications to fiscal year (FY)
2009-10 and 2010-11 Budget Acts.
The Senate amendments delete the Assembly version of the bill,
and instead:
K-12 Provisions:
1)Provide a revenue limit deficit factor of 18.25% to reflect a
$133.7 million deficit for county offices of education (COEs)
and a revenue limit deficit factor of 17.963% to reflect a
deficit of $6.9 billion for school districts. These statutory
factors are created to establish state intent to repay the
K-12 per-pupil reductions in the future, including foregone
cost-of-living adjustments (COLA's).
2)Combine the English Language Assistance Program (ELAP) funding
with Economic Impact Aid (EIA) funding and repeals the ELAP
statute. Clarifies that local educational agencies (LEAs) may
continue using this funding for English language professional
development.
3)Increase the amount of school district revenue limit funding
scored towards a June to July deferral from $1.1 billion to
$1.6 billion. (This funding is already deferred in practice,
just not currently scored so there is no impact to school
districts with this adjustment).
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4)Defer $420 million from K-12 principal apportionment payments
made in April to July and $800 million from K-12 principal
apportionments made in May to July.
5)Authorize up to $100 million in school apportionment funds
currently scheduled to be deferred from June to July, to
continue to be paid in June, for school districts and charter
schools who can demonstrate that absent this relief, they will
be unable to meet June payroll obligations.
6)Limit state mandate costs for the existing pupil promotion and
retention mandate, worth an estimated $3.1 million annually,
by relieving school districts from performing activities
reimbursable under the mandate, through July 1, 2013.
7)Suspend the statutory division of Proposition 98 funding among
K-12 educational agencies, community colleges, and other state
agencies for 2010-11, instead referencing the funding split
reflected in the 2010-11 Budget.
8)Provide $210 million towards the approximately $1.8 billion in
"settle-up" payments owed to schools for FY 2009-10. (In
total, the budget provides $300 million towards this settle-up
obligation, the balance of $90 million is appropriated in the
budget act for 2010-11 mandate costs).
9)Limit state costs for the High School Science Graduation
mandate claim (about $2 billion in past costs and $200 million
annually in ongoing costs) by directing LEAs to use state
apportionment and flexible categorical funding to cover
related costs. Requires districts to first fund teacher
salary costs for courses required by the state when
determining the proportion of their budgets statutorily
required to be expended for the salaries of classroom
teachers.
10)Provide supplemental categorical block grant funding for new
charter schools established in 2008-09, 2009-10 or 2010-11
that were unable to access categorical funds due to
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flexibility provisions enacted as a part of the 2008-09 Budget
Act.
11)Delete a statutory requirement that school districts submit
teachers' applications to participate in a National Board
Certification incentive program to the state Department of
Education for review and approval. These incentives are no
longer funded, so there is no need for districts to forward
applications.
12)Authorize the Department of Education to allocate facilities
grant funding to eligible charter schools for current-year
costs, to the extent that any funds remain after reimbursing
past-year costs.
13)Limit state mandate costs for the existing truancy mandate,
under which the state pays districts $17 each, or about $15.9
million annually, to send form letters to parents of truants,
by amending the mandate to require schools to use the most
cost-effective method possible for notification, which may
include electronic mail or a telephone call.
14)Authorize county court schools to qualify for Economic Impact
Aid funding, beginning in 2010-11, which should enable them to
draw an estimated $2.7 million to serve poor students and
English-learners. States legislative intent that average
daily attendance records of county court schools be reviewed
as part of those schools' routine audits.
15)Limit future state costs for a pending special education
"behavioral intervention plan" mandate (created by the
Department of Education regulations, with outstanding claims
of over half a billion dollars) by conforming California's
statutory requirements to those in federal law.
16)Suspend, through 2012-13, the following education mandates:
Removal of Chemicals, Scoliosis Screening, Pupil Residency
Verification and Appeals, Integrated Waste Management, Law
Enforcement Jurisdiction Agreements, Physical Education
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Reports and Health Benefits for Survivors of Peace Officers
and Firefighters.
17)Capture $726 million in program savings in 2009-10 in order
to achieve state budget solution. Of this amount, $340
million reflects budgeted savings for the K-3 Class Size
Reduction program and $386 million reflects natural savings
from more that seven other categorical programs.
18)Align the appropriation of federal 'stimulus' funds with the
amounts actually available to the state (up to $3 million more
than formerly expected).
19)Authorize the continuation of about $906 million in
inter-year K-12 payment deferrals (from June to July of 2011).
Inter-year deferrals have been a part of the budget since
2004-05.
20)Provide a statutory appropriation mechanism for the K-3 Class
Size Reduction program for the 2010-11 FY only to ensure that
the program is fully funded.
21)Establish a zero percent COLA for K-12 programs in 2010-11.
The actual cola of -0.39% will not be imposed, but instead
will be applied as an offset to the deficit factors
established in this measure.
22)Request the Department of Finance to exercise its statutory
authority to request the Commission on State Mandates to adopt
a new test claim to supercede the existing test claim for the
CCC Collective Bargaining mandate.
23)Require the State Controller to confirm by December 1, 2010,
that school districts have ceased to file claims under the
School Accountability Report Card mandate for activities no
longer required by statute, and to file a request with the
Commission on State Mandates to amend the parameters and
guidelines for that mandate, if schools have not ceased to
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file such claims.
Higher Education:
24)Repeal legislative intent that no new General Fund
augmentation be used for contributions to the UC Retirement
Plan.
25)Shift $30 million in California Community Colleges Quality
Education Investment Act (QEIA) from 2010-11 to ensure the
state meets the 2009-10 State Fiscal Stabilization Fund
maintenance of effort requirement for higher education.
26)Make technical corrections to the hardship waiver process for
inter-year apportionment deferrals for community colleges in
2010-11.
27)Defer an additional $129 million of community college
apportionment payments from January through June to July 2011
and defers $35 million from categorical programs and $25
million from Economic Development and Workforce Program for
fiscal year 2010-11.
28)Suspend four community colleges mandates for during the
remaining period of categorical program funding flexibility
(through 2012-13).
29)Exclude the California Community Colleges' Career Technical
Education program from categorical flexibility and provides
$20 million in one-time funds.
30)State that the Trustees of the California State University
shall not, and the Regents of the University of California are
requested not to, allocate student-imposed athletics fees on
purposes other than those voted on by the students.
Child Care and Development:
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31)Limit child care development contractors' reserves to five
percent of reimbursable contract amounts. Previously, there
had been no limit on the size of the reserve for child care
development contractors.
32)Extend the City and County of San Francisco's child care
subsidy pilot program until July 1, 2015.
33)Reduce the maximum reimbursement for license-exempt providers
from 90 percent to 80 percent of the 85th percentile using the
2005 regional market rate survey.
34)Reduce the Alternative Payment agencies' administrative
allotment from 19 percent of original contract amount to 17.5
percent.
35)Urgency Clause. Declare this bill take effect immediately as
an urgency statute.
AS PASSED BY THE ASSEMBLY , this bill was a vehicle for 2010
Budget legislation.
Analysis Prepared by Misty Feusahrens and Sara Bachez / BUDGET
/ (916) 319-2099
FN: 0007235