BILL NUMBER: SBX1 3	AMENDED
	BILL TEXT

	AMENDED IN SENATE  DECEMBER 18, 2008

INTRODUCED BY   Senator Ducheny

                        DECEMBER 8, 2008

    An act relating to the Budget Act of 2008.  
An act to amend Items 3910-004-0226, 3910-004-0281, and
3910-007-0387 of Section 2.00 of the Budget Act of 2003 (Chapter 157
of the Statutes of 2003), and to amend Items 0250-001-3066,
0250-012-0001, 0250-101-0001, 0250-101-0932  ,
0250-102-0556, 0250-111-0001, 0250-112-0001, 0690-102-0001,
0690-102-0597, 0690-113-0001, 1870-012-0214, 2640-101-0046,
2740-001-0044, 2740-001-0064, 3790-001-0001, 3790-001-6051,
4300-101-0001, 5180-111-0001, 5225-001-0001, 5225-002-0001,
5225-101-0001, 6440-001-0001, 6600-001-0001, 6610-001-0001,
6610-002-0001, 8660-011-0470, 8660-011-0471, 8660-011-0483,
9100-101-0001, and 9210-101-0001 of, to add Items 0250-012-0159 and
2660-013-0042 to, and to repeal Item 0690-102-0214 of, Section 2.00
of the   Budget Act of 2008 (Chapters 268 and 269 of the
Statutes of 2008), and to add Section 3.90 to the Budget Act of 2008,
relating to the support of state government, and making an
appropriation therefor. 



	LEGISLATIVE COUNSEL'S DIGEST


   SB 3, as amended, Ducheny. Budget Act of 2008  : revisions
 . 
   The Budget Act of 2008 (Chapters 268 and 269 of the Statutes of
2008) made appropriations for the support of state government during
the 2008-09 fiscal year.  
   This bill would amend the Budget Act of 2008 to make adjustments
to certain items of appropriations. The bill would authorize the
Director of Finance to allocate necessary reductions in employee
compensation from General Fund items in the amount of $240,000,000
and from items relating to other funds in the amount of $149,000,000.
The bill would state the intent of the Legislature that reductions
in employee compensation will result in General Fund savings of
$417,000,000 and other fund savings of $255,000,000 in the 2009-10
fiscal year.  
   The Budget Act of 2003 (Chapter 157 of the Statutes of 2003) makes
appropriations for the support of state government during the
2003-04 fiscal year and, among other things, authorizes transfers to
the General Fund from certain special funds to be repaid to those
funds during the 2nd half of the 2008-09 fiscal year.  
   This bill would amend the Budget Act of 2003 to extend the time
for repayment of those transfers to the 2nd half of the 2010-11
fiscal year.  
   The California Constitution authorizes the Governor to declare a
fiscal emergency and to call the Legislature into special session for
that purpose. The Governor issued a proclamation declaring a fiscal
emergency, and calling a special session for this purpose, on
December 1, 2008.  
   This bill would state that it addresses the fiscal emergency
declared by the Governor by proclamation issued on December 1, 2008,
pursuant to the California Constitution.  
   The bill would become operative only if AB 2 and SB 9 of the
2009-10 1st Extraordinary Session are enacted.  
   This bill would express the intent of the Legislature to enact
statutory changes relating to the Budget Act of 2008. 

   The California Constitution authorizes the Governor to declare a
fiscal emergency and to call the Legislature into special session for
that purpose. The Governor issued a proclamation declaring a fiscal
emergency, and calling a special session for this purpose, on
December 1, 2008.  
   This bill would state that it addresses the fiscal emergency
declared by the Governor by proclamation issued on December 1, 2008,
pursuant to the California Constitution. 
   Vote: majority. Appropriation:  no   yes
 . Fiscal committee:  no   yes  .
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
   
  SECTION 1.    The adjustments to appropriations made by
this act are in addition to the appropriations made in Section 2.00
of the Budget Act of 2008 (Chapters 268 and 269 of the Statutes of
2008) and are subject to the provisions of that act, as appropriate,
including, as applicable, the provisions of that act that apply to
the items of appropriation that are amended by this act. Unless
otherwise specified, the references in this act to item numbers refer
to items of appropriation in Section 2.00 of the Budget Act of 2008
(Chapters 268 and 269 of the Statutes of 2008). 
   SEC. 2.    Item 0250-001-3066 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0250-001-3066--For support of Judicial
Branch, payable from the Court Facilities
Trust Fund....................................  17,504,000

                                                 17,492,000 

     Schedule:
     (1)   35-Judicial Branch
           Facility Program.......    19,028,000 
                                      19,016,000 
     (2)   Reimbursements.........   -1,524,000
     Provisions:
     1.    Notwithstanding any other provision
           of law, the Director of Finance may
           authorize expenditures in excess of
           this item for the operation,
           repair, and maintenance of court
           facilities pursuant to Section
           70352 of the Government Code.
     2.    Notwithstanding subparagraph (B) of
           paragraph (1) of     subdivision
           (a) of Section 77202 of the
           Government Code, the growth factor
           for this item for the 2008-09
           fiscal year has been adjusted  per  
by 
            the Consumer Price Index factor of 
            2   1  .  7 
 4  percent.


   SEC. 3.    Item 0250-012-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0250-012-0001--For transfer by the Controller
to the Court Facilities Trust Fund.............   3,304,000

                                                   3,292,000

     Provisions:
     1.  Notwithstanding subparagraph (B) of
         paragraph (1) of subdivision (a) of
         Section 77202 of the Government Code,
         the growth factor for this item for
         the 2008-09 fiscal year has been
          adjusted per the Consumer Price Index 
          factor of 2.7 percent. 
          adjusted by 1.4 percent. 


  SEC. 4.    Item 0250-012-0159 is added to Section 2.00 of
the Budget Act of 2008, to read: 
 0250-012-0159--For transfer by the 
 Controller, upon order of the Director of 
 Finance, from the Trial Court Improvement 
 Fund, to the General Fund ................. (61,000,000) 
       Provisions: 
       1.     It is the intent of the 
              Legislature that the Judicial 
              Branch transfer $61,000,000 
              from its special funds to help 
              address the state's fiscal 
              emergency in the 2008-09 
              fiscal year. Notwithstanding
              any other provision, the 
              Administrative Office of the 
              Courts may request the 
              Director of Finance to 
              transfer less than $61,000,000 
              from the Trial Court 
              Improvement Fund and instead 
              transfer amounts from the 
              Judicial Efficiency and 
              Modernization Fund or the 
              State Court Facilities 
              Construction Fund, or both 
              funds, as long as $61,000,000 
              is transferred in the 2008-09 
              fiscal year. 
 

   SEC. 5.    Item 0250-101-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0250-101-0001--For local assistance,
Judicial Branch............................  18,996,000

                                              18,753,000 
    Schedule:
    (1)    45.10-Support for
           Operation of Trial
           Courts..............     7,017,000 
                                    6,774,000 
    (2)    45.55.010-Child
           Support
           Commissioners
           Program (Article 4
           (commencing with
           Section 4250) of
           Chapter 2 of Part 2
           of Division 9 of
           the Family Code)....   47,927,000
    (3)    45.55.020-
           California
           Collaborative and
           Drug Court Projects.    5,791,000
    (4)    45.55.030-Federal
           Child Access and
           Visitation Grant
           Program.............    1,600,000
    (5)    45.55.050-Federal
           Court Improvement
           Grant Program.......      700,000
    (6)    45.55.070-Grants--
           Other...............      745,000
    (7)    45.55.080-Federal
           Grants-- Other......      775,000
    (8)    45.55.090-Equal
           Access Fund Program.   10,776,000
    (9)    Reimbursements......  -53,260,000
    (10)   Amount payable from
           Federal Trust Fund
           (Item 0250-101-
           0890)...............   -3,075,000
    Provisions:
    1.     In order to improve equal access
           and the fair administration of
           justice, the funds appropriated
           in Schedule (8) are to be
           distributed by the Judicial
           Council through the Legal
           Services Trust Fund Commission
           to qualified legal services
           projects and support centers as
           defined in Sections 6213 to
           6215, inclusive, of the Business
           and Professions Code, to be used
           for legal services in civil
           matters for indigent persons.
           The Judicial Council shall
           approve awards made by the
           commission if the council
           determines that the awards
           comply with statutory and other
           relevant guidelines. Ten percent
           of the funds in Schedule (8)
           shall be for joint projects of
           courts and legal services
           programs to make legal
           assistance available to pro per
           litigants and 90 percent of the
           funds in Schedule (8) shall be
           distributed consistent with
           Sections 6216 to 6223,
           inclusive, of the Business and
           Professions Code. The Judicial
           Council may establish additional
           reporting or quality control
           requirements consistent with
           Sections 6213 to 6223,
           inclusive, of the Business and
           Professions Code.
    2.     The     amount appropriated in
           Schedule (1) is available for
           reimbursement of court costs
           related to the following
           activities: (a) payment of
           service of process fees billed
           to the trial courts pursuant to
           the provisions of Chapter 1009
           of the Statutes of 2002, (b)
           payment of the court costs
           payable under Sections 4750 to
           4755, inclusive, and Section
           6005 of the Penal Code, and (c)
           payment of court costs of
           extraordinary homicide trials.
    3.     Notwithstanding subparagraph (B)
           of paragraph (1) of subdivision
           (a) of Section 77202 of the
           Government Code, the growth
           factor for this item for the
           2008-09 fiscal year has been
            adjusted per the Consumer Price 
            Index factor of 2.7 percent. 
            adjusted by 1.4 percent. 


   SEC. 6.    Item 0250-101-0932 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0250-101-0932--For local assistance,
Judicial Branch, payable from the Trial
Court Trust Fund.........................  3,045,408,000

                                            3,011,088,000 
    Schedule:
    (1)  45.10-Support for
         Operation of the      2,621,571,00 
         Trial Courts........             
2,587,251,0  0
                                          0 
    (2)  45.25-Compensation
         of Superior Court
         Judges..............  296,112,000
    (3)  45.35-Assigned
         Judges..............   26,047,000
    (4)  45.45-Court
         Interpreters........   91,585,000
    (5)  45.55.060-Court
         Appointed Special
         Advocate (CASA)
         Program.............    2,278,000
    (6)  45.55.065-Model
         Self-Help Program...      991,000
    (7)  45.55.090-Equal
         Access Fund Program.    5,622,000
    (8)  45.55.095-Family
         Law Information
         Centers.............      346,000
    (9)  45.55.100-Civil
         Case Coordination...      856,000
    Provisions:
    1.   Notwithstanding Section 26.00,
         the funds appropriated or
         scheduled in this item may be
         allocated or reallocated among
         categories by the Judicial
         Council.
    2.   The funds appropriated in
         Schedule (2) shall be made
         available for costs of the
         workers' compensation program
         for trial court judges.
    3.   The amount appropriated     in
         Schedule (3) shall be made
         available for all judicial
         assignments. Schedule (3)
         expenditures for necessary
         support staff may not exceed the
         staffing level that is necessary
         to support the equivalent of
         three judicial officers sitting
         on assignments.
    4.   The funds appropriated in
         Schedule (4) shall be for
         payments for services of
         contractual court interpreters,
         and certified and registered
         court interpreters employed by
         the courts, and the following
         court interpreter coordinators:
         1.0 each in counties of the 1st
         through the 15th classes, 0.5
         each in counties of the 16th
         through the 31st classes, and
         0.25 each in counties of the
         32nd through the 58th classes.
         For the purposes of this
         provision, ""court interpreter
         coordinators'' may be full- or
         part-time court employees, or
         those contracted by the court to
         perform these     services.
          The Judicial Council shall set
         statewide or regional rates and
         policies for payment of court
         interpreters, not to exceed the
         rate paid to certified
         interpreters in the federal
         court system.
          The Judicial Council shall
         adopt appropriate rules and
         procedures for the
         administration of these funds.
         The Judicial Council shall
         report to the Legislature and
         Director of Finance annually
         regarding expenditures from this
         schedule.
    5.   Upon order of     the Director
         of Finance, the amount available
         for expenditure in this item may
         be augmented by the amount of
         any additional resources
         available in the Trial Court
         Trust Fund, which is in addition
         to the amount appropriated in
         this item. Any augmentation
         shall be authorized no sooner
         than 30 days after notification
         in writing to the chairpersons
         of the committees in each house
         of the Legislature that consider
         appropriations, the chairperson
         of the committee and appropriate
         subcommittees that consider the
         State Budget, and the
         Chairperson of the Joint
         Legislative Budget Committee, or
         not sooner than whatever lesser
         time the chairperson of the
         joint committee or his or her
         designee may determine.
    6.   Notwithstanding any other
         provision of law, upon approval
         and order of the Department of
         Finance, the amount appropriated
         in this item shall     be
         reduced by the amount
         transferred in Item 0250-115-
         0932 to provide adequate
         resources to the Judicial Branch
         Workers' Compensation Fund to
         pay workers' compensation claims
         for judicial branch employees
         and judges, and administrative
         costs pursuant to Section
         68114.10 of the Government Code.
    7.   Of the funds appropriated in
         Schedule (1), which will be
         transferred to the Trial Court
         Improvement Fund in accordance
         with subdivision (b) of Section
         77209 of the Government Code, up
         to $5,000,000 shall be available
         for support of services for self-
         represented litigants.
    8.   Upon approval by the
         Administrative Director of the
         Courts, the Controller shall
         transfer up to     $11,274,000
         to Item 0250-001-0932 for
         recovery of costs for
         administrative services provided
         to the trial courts by the
         Administrative Office of the
         Courts.
    9.   Upon approval by the
         Administrative Director of the
         Courts, and notification to the
         Department of Finance, the
         chairpersons of the committees
         in each house of the Legislature
         that consider appropriations and
         the State Budget, and the
         Chairperson of the Joint
         Legislative Budget Committee,
         the Controller shall
         additionally increase the amount
         of the transfer by an amount or
         amounts no more than $1,691,000
         for recovery of costs for
         administrative services provided
         to the trial courts by the
         Administrative Office of the
         Courts. Any augmentations shall
         be authorized no sooner than 30
         days after notification in
         writing to the chairpersons of
         the committees in each house of
         the     Legislature that
         consider appropriations, the
         chairpersons of the committees
         and appropriate subcommittees
         that consider the State Budget,
         and the Chairperson of the Joint
         Legislative Budget Committee, or
         not sooner than whatever lesser
         time the chairperson of the
         joint committee or his or her
         designee may determine.
    10.  In order to improve equal access
         and the fair administration of
         justice, the funds appropriated
         in Schedule (  8   7  ) are
available
         for distribution by the Judicial
         Council through the Legal
         Services Trust Fund Commission
         to qualified legal services
         projects and support centers as
         defined in Sections 6213 to
         6215, inclusive, of the
         Business and Professions Code,
         to be used for legal services in
         civil matters for indigent
         persons. The Judicial Council
         shall approve awards made by the
         commission if the council
         determines that the awards
         comply with statutory and other
         relevant guidelines. Upon
         approval by the Administrative
         Director of the Courts, the
         Controller shall transfer up to
         5 percent of the funding
         appropriated in Schedule (  8   7 
) to
         Item 0250-001-0932 for
         administrative expenses. Ten
         percent of the funds remaining
         after administrative costs shall
         be for joint projects of courts
         and legal services programs to
         make legal assistance available
         to pro per litigants and 90
         percent of the funds remaining
         after administrative costs shall
         be distributed consistent with
         Sections 6216 to 6223,
         inclusive, of the Business and
         Professions Code. The
         Judicial Council may establish
         additional reporting or quality
         control requirements consistent
         with Sections 6213 to 6223,
         inclusive, of the Business and
         Professions Code.
    11.  Funds available for expenditure
         in Schedule (7) may be augmented
         by order of the Director of
         Finance by the amount of any
         additional resources deposited
         for distribution to the Equal
         Access Fund Program in
         accordance with Sections 68085.3
         and 68085.4 of the Government
         Code. Any augmentation under
         this provision shall be
         authorized not sooner than 30
         days after notification in
         writing to the chairpersons of
         the committees in each house of
         the Legislature that consider
         appropriations, the chairpersons
         of the committees and
         appropriate subcommittees that
         consider the State Budget, and
         the Chairperson of the Joint
         Legislative Budget Committee, or
         not sooner than     whatever
         lesser time the chairperson of
         the joint committee, or his or
         her designee, may determine.
    12.  Notwithstanding subparagraph (B)
         of paragraph (1) of subdivision
         (a) of Section 77202 of the
         Government Code, the growth
         factor for this item for the
         2008-09 fiscal year has been
          adjusted per the Consumer Price 
          Index factor of 2.7 percent. 
          adjusted by 1.4 percent. 
    13.  The Judicial Council is
         authorized to convert up to 16.0
         subordinate judicial officer
         positions to judgeships in the
         2008-09 fiscal year in the
         manner and pursuant to the
         authority described in
         subparagraph (B) of paragraph
         (1) of subdivision (b) of
         Section 69615 of the Government
         Code.


   SEC. 7.    Item 0250-102-0556 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0250-102-0556--For local assistance,
Judicial Branch, payable from the Judicial
Administration Efficiency and
Modernization Fund.........................  44,676,000

                                              44,181,000 
      Provisions:
      1.     Upon approval of the Director
             of Finance, the amount
             available for expenditure in
             this item may be augmented by
             the amount of any additional
             resources available in the
             Judicial Administration
             Efficiency and Modernization
             Fund, which is in addition to
             the amount appropriated in
             this item. Any augmentation
             shall be authorized no sooner
             than 30 days after
             notification in writing to the
             chairpersons of the committees
             in each house of the
             Legislature that consider
             appropriations, the
             chairpersons of the committees
             and appropriate subcommittees
             that consider the State
             Budget, and the chairperson of
             the joint committee, or not
             sooner than whatever lesser
             time the Chairperson of the
             Joint Legislative Budget
             Committee or his or her
             designee may determine.
      2.     Notwithstanding subparagraph
             (B) of paragraph (1) of
             subdivision (a) of Section
             77202 of the Government Code,
             the growth factor for this
             item for the 2008-09 fiscal
             year has been adjusted by  a    1.4

              factor of 2.7 percent per the 
              Consumer Price Index. 
              percent. 
      3.     Notwithstanding any other
             provision of law, of the funds
             appropriated in this item, up
             to $5,967,000 is available to
             fund positions and activities
             for the development and
             deployment of the Phoenix
             Project to implement a
             statewide     financial and
             human resources system to
             support trial court operations.


   SEC. 8.    Item 0250-111-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0250-111-0001--For transfer by the
Controller to the Trial Court Trust Fund..  1,786,484,000

                                             1,752,164,000 
      Provisions:
      1.     Notwithstanding subparagraph
             (B) of paragraph (1) of
             subdivision (a) of Section
             77202 of the Government Code,
             the growth factor for this
             item for the 2008-09 fiscal
             year has been adjusted  per    by
  1.4 
              the Consumer Price Index 
             factor of 2.7  percent.


   SEC. 9.    Item 0250-112-0001 of Section 2.00 of th
  e Budget Act of 2008 is amended to read: 
0250-112-0001--For transfer by the
Controller to the Judicial Administration      38,709,00

Efficiency and Modernization Fund............ 
  38,214,0
 0
                                                        0 
      Provisions:
      1.      Notwithstanding subparagraph
              (B) of paragraph (1) of
              subdivision (a) of Section
              77202 of the Government Code,
              the growth factor for this item
              for the 2008-09 fiscal year has
               been adjusted per the Consumer 
               Price Index factor of 2.7 
               been adjusted by 1.4  percent.


   SEC. 10.    Item 0690-102-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0690-102-0001--For local assistance, Office
of Emergency Services.........................  48,794,000

                                                 29,849,000 

     Schedule:
     (1)   50.20-Victim Services..    3,916,000
     (2)   50.30-Public Safety....    44,878,000 
 
                                      25,933,000 
     Provisions:
     1.    Notwithstanding any other provision
           of law, the Office of Emergency
           Services may provide advance
           payment of up to 25 percent of
           grant funds awarded to community-
           based nonprofit organizations,
           cities, school districts, counties,
           and other units of local government
           that have demonstrated cashflow
           problems according to the criteria
           set forth by the Office of
           Emergency Services.
     2.    To maximize the use of program
           funds and demonstrate the
           commitment of the grantees to
           program     objectives, the Office
           of Emergency Services shall require
           all grantees of funds from the Gang
           Violence Suppression-Curfew
           Enforcement Strategy Program to
           provide local matching funds of at
           least 10 percent for the first and
           each subsequent year of operation.
           This match requirement applies to
           each agency that is to receive
           grant funds. An agency may meet its
           match requirements with an in-kind
           match, if approved by the Office of
           Emergency Services.
     4.    The Department of Finance shall
           include a special display table in
           the Governor's Budget under the
           Office of Emergency Services that
           displays, by fund source, component
           level detail for Program 50,
           Criminal Justice Projects. In
           addition, the Office of Emergency
           Services, in consultation with the
           Department of Finance, shall
           provide a report to the Joint
           Legislative Budget Committee by
           January 10 of each year that
           provides a list of grantees, total
           funds awarded to each grantee, and
           performance statistics to document
           program outputs and outcomes in
           order to assess the state's return
           on investment for each component of
           Program 50 for each of the three
           years displayed in the Governor's
           Budget.


   SEC. 11.    Item 0690-102-0214 of Section 2.00 of the
Budget Act of 2008 is repealed. 

0690-102-0214--For local assistance, Office
of Emergency Services, payable from the
Restitution Fund............................. 10,000,000
     Schedule:
     (1)   Grants to cities with
           heavy gang
           concentrations.........   3,000,000
     (2)   Competitive grants to
           cities.................   4,500,000
     (3)   Competitive grants to
           community-based
           organizations..........   2,000,000
     (4)   Internet Crimes
           Against Children Task
           Force funding..........     500,000
     Provisions:
     1.    All grantees must provide a dollar-
           for-dollar match to state grant
           funds awarded from Schedules (1),
           (2), and (3).
     2.    The Office of Emergency Services
           shall submit a report and
           evaluation of the grants awarded
           pursuant to Schedules (1), (2),
           and (3) to the fiscal committees
           of the Legislature not later than
           April 1, 2011.
     3.    The Department of Finance may
           transfer up to 3 percent of the
           funds appropriated in Schedules
           (1), (2), and (3) to Item 0690-002-
           0001 for administration of the
           grant programs.
     4.    The amount appropriated in
           Schedule (1) shall be distributed
           as follows: $1,000,000 each to Los
           Angeles, San Francisco Bay area
           cities, and central valley cities.
     5.    The amount appropriated in
           Schedule (2) shall be competitive
           grants to cities. No grant shall
           exceed $500,000, and at least two
           grants shall be awarded to cities
           with populations of 200,000 or
           less. In awarding grants, the
           Office of Emergency Services shall
           give preference to applicants that
           incorporate regional approaches to
           antigang activities.
     6.    Each city that receives a grant
           from Schedule (1) or (2) shall
           collaborate and coordinate with

   area jurisdictions and agencies,
           including the existing county
           juvenile justice coordination
           council, with the goal of reducing
           gang activity in the city and
           adjacent areas. Each grantee shall
           establish a coordinating and
           advisory council to prioritize the
           use of the funds. Membership shall
           include city officials, local law
           enforcement, including the county
           sheriff,     chief probation
           officer, and district attorney,
           local educational agencies,
           including school districts and the
           county office of education, and
           community-based organizations.
     7.    The amount appropriated in
           Schedule (3) shall be for grants
           to community-based organizations.
           The grants shall be used to test
           different approaches designed to
           reduce gang activities in
           communities and neighborhoods. No
           grant shall exceed $200,000.


   SEC. 12.    Item 0690-102-0597 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0690-102-0597--For local assistance, Office
of Emergency Services, payable from the High
Technology Theft Apprehension and              11,970,00

Prosecution Program Trust Fund...............          0
  
                                                6,982,000 
     Schedule:
     (1) 50.30-Public Safety........  11,970,00 
 
                                              
6,982,00  0
     Provisions:
     1.  Funds appropriated in this item are
         for the High Technology Theft
         Apprehension and Prosecution
         Program, as established by Chapter
         5.7 (commencing with Section 13848)
         of Title 6 of Part 4 of the Penal
         Code, as amended by Chapter 555 of
         the Statutes of 1998, and shall be
         deposited in the High Technology
         Theft Apprehension and Prosecution
         Program Trust Fund, established
         pursuant to Section 13848.4 of the
         Penal Code.
     2.  All grantees receiving funds
         appropriated in this item shall be
         required to provide matching funds
         equal to 25 percent of the amount of
         grant funding received by them from
         the High Technology     Theft
         Apprehension and Prosecution Program
         Trust Fund.
     3.  Upon order of the Director of
         Finance, the amount available for
         expenditure in this item may be
         augmented by the amount of any
         additional resources available in
         the High Technology Theft
         Apprehension and Prosecution Program
         Trust Fund, which is in addition to
         the amount appropriated in this
         item. Any augmentation shall be
         authorized no sooner than 30 days
         after notification in writing to the
         chairpersons of the committees in
         each house of the Legislature that
         consider appropriations, the
         chairperson of the committee and
         appropriate subcommittees that
         consider the State Budget, and the
         Chairperson of the Joint Legislative
         Budget Committee, or not sooner than
         whatever lesser time the chairperson
         of the joint committee or his or her
         designee may determine.


   SEC. 13.    Item 0690-113-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
0690-113-0001--For transfer by the
Controller to the High Technology Theft
Apprehension and Prosecution Program Trust
Fund........................................  11,970,000

                                                6,982,000 
     Provisions:
     1.  Funds appropriated in this item are
         for the High Technology Theft
         Apprehension and Prosecution
         Program, as established by Chapter
         5.7 (commencing with Section 13848)
         of Title 6 of Part 4 of the Penal
         Code, as amended by Chapter 555 of
         the Statutes of 1998, and shall be
         deposited in the High Technology
         Theft Apprehension and Prosecution
         Program Trust Fund, established
         pursuant to Section 13848.4 of the
         Penal Code.


   SEC. 14.    Item 1870-012-0214 of Section 2.00 of the
Budget Act of 2008 is   amended to read:
1870-012-0214--For transfer by the
Controller, upon order of the Director of
Finance, from the Restitution Fund to the
General Fund..............................   (50,000,000)

                                             (110,000,000) 


   SEC. 15.    Item 2640-101-0046 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
2640-101-0046--For local assistance, State
Transit Assistance, for allocation by the
Controller pursuant to Section 99312 of the
Public Utilities Code, payable from the
Public Transportation Account, State           306,434,0

 Transportation Fund.......................... 150,000,0 
 Transportation Fund.......................... 
                                    00
      Provisions:
      1.      Notwithstanding Sections 99313
              and 99314 of the Public
              Utilities Code, not more than
              $60,397 of the amount
              appropriated in this item shall
              be used to reimburse the
              Controller for expenditures of
              administration of State Transit
              Assistance funds.
       2.      The funds appropriated in this 
               item are in lieu of the funds 
               appropriated in subparagraphs 
               (B) and (C) of paragraph (1) of 
               subdivision (c) of Section 
               7104.2 of the Revenue and 
               Taxation Code, and paragraphs 
               (2) and (3) of subdivision (e) 
               of Section 99312 of the Public 
               Utilities Code. 


  SEC. 16.    Item 2660-013-0042 is added to Section 2.00 of
the Budget Act of 2008, to read: 
 2660-013-0042--For transfer by the 
 Controller from the State Highway 
 Account, State Transportation Fund, to 
 the Transportation Debt Service Fund to 
 be used as specified in Section 16965 of 
 the Government Code ...................... (378,000,000) 
 

   SEC. 17.    Item 2740-001-0044 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
2740-001-0044--For support of Department
of Motor Vehicles, payable from the Motor
Vehicle Account, State Transportation
Fund......................................  519,463,000

                                             611,463,000 
    Schedule:
    (1)   11-Vehicle/Vessel
          Identification and
          Compliance..........  538,624,000
    (2)   22-Driver Licensing
          and Personal
          Identification......  245,979,000
    (3)   25-Driver Safety....  117,241,000
    (4)   32-Occupational
          Licensing and
          Investigative
          Services............   48,549,000
    (5)   35-New Motor
          Vehicle Board.......    2,104,000
    (6)   41.01-
          Administration......  106,673,000
    (7)   41.02-Distributed
          Administration...... -106,673,000
    (8)   Reimbursements......  -15,366,000
    (9)   Amount payable from
          the State Highway
          Account, State
          Transportation Fund
          (Item 2740-001-
          0042)...............  -51,459,000
    (10)  Amount payable from
          the New Motor
          Vehicle Board
          Account (Item 2740-
          001-0054)...........   -2,104,000
    (11)  Amount payable from
          the Motor Vehicle
          License Fee
          Account,
          Transportation Tax
          Fund (Item 2740-001-
          0064)...............  -359,765,000  

                                -267,765,000 
    (12)  Amount payable from
          the Harbors and
          Watercraft
          Revolving Fund
          (Item 2740-001-
          0516)...............   -2,761,000
    (13)  Amount payable from
          the Federal Trust
          Fund (Item 2740-001-
          0890)...............   -1,579,000
    Provisions:
    1.    No later than December 31 of
          each year up to and including
          2014, the Department of Motor
          Vehicles shall report to the
          Joint Legislative Budget
          Committee and the policy
          committees on transportation of
          both houses of the Legislature
          on all of the following
          concerning the Information
          Technology Modernization
          project: (a) planned milestone
          completion dates versus actual
          milestone completion dates, (b)
          planned expenditures by phase
          versus actual expenditures by
          phase, and (c) description of
          adherence to scope and reasons
          for any changes.
    2.    The Department of General
          Services, with the consent of
          the Department of Motor
          Vehicles, may lease or exchange
          property located at 8629 Hellman
          Avenue, Rancho Cucamonga for the
          purpose of development of a
          replacement field office for use
          and     occupancy by the
          Department of Motor Vehicles
          through a lease, lease purchase,
          purchase of the facility, or
          other terms determined by the
          Director of General Services to
          be in the best interest of the
          state. Thirty days prior to
          entering into any agreement, the
          Department of General Services
          shall notify the chairpersons of
          the committees in each house of
          the Legislature that consider
          appropriations and the
          Chairperson of the Joint
          Legislative Budget Committee of
          the terms and conditions of the
          agreement. If the Joint
          Legislative Budget Committee
          does not express any opposition
          or concerns, the Department of
          General Services may proceed
          with the agreement 30 days after
          giving notice.
     3.    Notwithstanding any other 
           provision, the $92,000,000 
           additional appropriation made in 
           this item for the Motor Vehicle 
           Account in the State 
           Transportation Fund is made only
           from money in the account 
           subject to the restrictions of 
           Article XIX of the California 
           Constitution. 


   SEC. 18.    Item 2740-001-0064 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
2740-001-0064--For support of Department
of Motor Vehicles, for payment to Item
2740-001-0044, payable from the Motor
Vehicle License Fee Account,
Transportation Tax Fund...................  359,765,000

                                             267,765,000 


   SEC. 19.    Item 3790-001-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
3790-001-0001--For support of Department
of Parks and Recreation....................  149,124,000

                                              134,123,000 
    Schedule:
    (1)   For support of the
          Department of Parks
          and Recreation.......  431,099,000
    (2)   Reimbursements.......  -33,441,000
    (3)   Less funding
          provided by capital
          outlay...............   -4,000,000
    (4)   Amount payable from
          the Safe
          Neighborhood Parks,
          Clean Water, Clean
          Air, and Coastal
          Protection Bond Fund
          (Item 3790-001-0005).   -5,057,000
    (5)   Amount payable from
          the California
          Environmental
          License Plate Fund
          (Item 3790-001-0140).   -3,023,000
    (6)   Amount payable from
          the Public Resources
          Account, Cigarette
          and Tobacco Products
          Surtax Fund (Item
          3790-001-0235).......  -10,098,000
    (7)   Amount payable from
          the Off-Highway
          Vehicle Trust Fund
          (Item 3790-001-0263).  -64,243,000
    (8)   Amount payable from
          the State Parks and
          Recreation Fund
          (Item 3790-001-0392). -123,804,000
    (9)   Amount payable from
          the Winter
          Recreation Fund
          (Item 3790-001-0449).     -353,000
    (10)  Amount payable from
          the Harbors and
          Watercraft Revolving
          Fund (Item 3790-001-
          0516)................   -2,168,000
    (11)  Amount payable from
          the Federal Trust
          Fund (Item 3790-001-
          0890)................   -6,335,000
    (12)  Amount payable from
          the California Main
          Street Program Fund
          (Item     3790-001-
          3077)................     -175,000
    (13)  Amount payable from
          the California Clean
          Water, Clean Air,
          Safe Neighborhood
          Parks, and Coastal
          Protection Fund
          (Item 3790-001-6029).   -4,555,000
    (14)  Amount payable from
          the Water Security,
          Clean Drinking
          Water, Coastal and
          Beach Protection
          Fund of 2002 (Item
          3790-001-6031).......     -435,000
    (15)  Amount payable from
          Safe Drinking Water,
          Water Quality and
          Supply, Flood
          Control, River and
          Coastal Protection
          Fund of 2006 (Item
          3790-001-6051).......   -12,020,000  

                                  -27,021,000 
    (16)  Amount payable from
          Safe Drinking Water,
          Water Quality and
          Supply, Flood
          Control, River and
          Coastal Protection
          Fund of 2006 (Item
          3790-002-6051).......  -12,268,000
    Provisions:
    1.    Of the funds appropriated by this
          act from the General Fund and
          special funds, other than the Off-
          Highway Vehicle Trust Fund and
          bond funds, to the Department of
          Parks and Recreation for
          local assistance grants to local
          agencies, the department may
          allocate an amount not to exceed
          3.7 percent of each project's
          allocation, except to the extent
          otherwise restricted by law, to
          allow the department to
          administer its grants. Those
          funds shall be available for
          encumbrance or expenditure until
          June 30, 2014.
    2.    It is the intent of the
          Legislature that salaries, wages,
          operating expenses, and positions
          associated with implementing
          specific Department of Parks and
          Recreation capital outlay
          projects continue to be funded
          through capital outlay
          appropriations, and that these
          funds should also be reflected in
          the department's state operations
          budget in the Governor's Budget
          as a special item of expense
          reflecting the funding provided
          from the capital outlay
          appropriations.
    3.    Notwithstanding any other
          provision of law, the Director of
          Finance may authorize a loan from
          the General Fund, in an amount
          not to exceed 35 percent of
          reimbursements appropriated in
          this item to the Department of
          Parks and Recreation, provided
          that:
          (a)     The loan is to meet cash
                  needs resulting from the
                  delay in receipt of
                  reimbursements for
                  services provided.
          (b)     The loan is for a short
                  term and shall be repaid
                  by September 30, 2009.
          (c)     Interest charges may be
                  waived pursuant to
                  subdivision (e) of
                  Section 16314 of the
                  Government Code.
          (d)     The Director of Finance
                  may not approve the loan
                  unless the approval is
                  made in writing and filed
                  with the Chairperson of
                  the Joint Legislative
                  Budget Committee and the
                  chairpersons of the
                  committees in each house
                  of the Legislature that
                  consider appropriations
                  not later than 30 days
                  prior to the effective
                  date of the approval, or
                  not sooner than whatever
                  lesser time that the
                  chairperson of the joint
                  committee, or his or her
                  designee, may determine.
    4.    The Department of Parks and
          Recreation is authorized to enter
          into a contract for fee
          collection and other services
          required by the department with a
          cooperative association that has
          and will continue to fund state
          employees on an ongoing basis.
    5.    Of the amount appropriated in
           this item, $4,001,000 General 
           Fund and $1,000,000 Proposition 
           this item, $5,001,000 Proposition 
          84 funds shall be used for
          continued remediation and
          treatment activities at Empire
          Mine State Historic Park. Upon
          approval and order of the
          Director of Finance, the
          Controller shall adjust the
          amount included in this item for
          remediation activities at Empire
          Mine based on the status or
          result of the mediation between
          the Department of Parks and
          Recreation and the Newmont Mining
          Company. Any adjustment for this
          purpose may be authorized no
          sooner than 30 days after written
          notification to the Chairperson
          of the Joint Legislative Budget
          Committee.


   SEC. 20.    Item 3790-001-6051 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
3790-001-6051--For support of Department of
Parks and Recreation, payable to Item 3790-
001-0001, from the Safe Drinking Water,
Water Quality and Supply, Flood Control,       12,020,00

River and Coastal Protection Fund of 2006.... 
  27,021,0
 0
                                                        0 
      Provisions:
      1.      Provision 5 of Item 3790-001-
              0001 also applies to this item.


   SEC. 21.    Item 3910-004-0226 of Section 2.00 of the
Budget Act of 2003 is amended to read: 
3910-004-0226--For transfer by the
Controller, upon order of the Director of
Finance, from the California Tire
Recycling Management Fund to the General
Fund....................................... (17,097,000)
      Provisions:
      1.     The transfer made by this item
             is a loan to the General Fund.
             Notwithstanding any other
             provision of law, this loan
             shall be repaid with interest
             calculated at the rate earned
             by the Pooled Money Investment
             Account at the time of the
             transfer. It is the intent of
             the     Legislature that
             repayment be made so as to
             ensure that the programs
             supported by this fund are not
             adversely affected by the loan.
      2.     Notwithstanding any other
             provision of law, $2,097,000
             of the amount transferred by
             this item shall be repaid in
             the second half of the 20  1  0  8
 -  09   11 
             fiscal year, with interest
             calculated at the rate earned
             by the Pooled Money Investment
             Account at the time of the
             transfer. It is the intent of
             the Legislature that repayment
             be made so as to ensure that
             the programs supported by this
             fund are not adversely
             affected by the loan. The
             Director of Finance may
             therefore order that repayment
             be made prior to this date to
             avoid these     adverse
             effects.


   SEC. 22.    Item 3910-004-0281 of Section 2.00 of the
Budget Act of 2003 is amended to read: 
3910-004-0281--For transfer by the
Controller, upon order of the Director of
Finance, from the Recycling Market
Development Revolving Loan Subaccount to the  (1,853,00
General Fund.................................        0)
      Provisions:
      1.      The transfer made by this item
              is a loan to the General Fund.
              Notwithstanding any other
              provision of the law, this loan
              shall be repaid in the second
              half of the 20  1  0  8  -
 09   11  fiscal
              year, with interest calculated
              at the rate earned by the
              Pooled Money Investment Account
              at the time of the transfer. It
              is the intent of the
              Legislature that repayment be
              made so as to ensure that the
              programs supported by this fund
              are not adversely affected by
              the loan. The Director of
              Finance may therefore order
              that repayment be made prior to
              this date to avoid these
              adverse effects.


   SEC. 23.    Item 3910-007-0387 of Section 2.00 of the
Budget Act of 2003 is amended to read: 
3910-007-0387--For transfer by the
Controller, upon order of the Director of
Finance, from the Integrated Waste            (4,768,00
Management Account to the General Fund ......        0)
      Provisions:
      1.      The transfer made by this item
              is a loan to the General Fund.
              Notwithstanding any other
              provision of law, this loan
              shall be repaid with interest
              calculated at the rate earned
              by the Pooled Money Investment
              Account at the time of the
              transfer. It is the intent of
              the     Legislature that
              repayment be made so as to
              ensure that the programs
              supported by this fund are not
              adversely affected by the loan.
      2.      Notwithstanding any other
              provision of law, $2,768,000 of
              the amount transferred by this
              item shall be repaid in the
              second half of the 20  1  0  8
 -  09   11 
              fiscal year, with interest
              calculated at the rate earned
              by the Pooled Money Investment
              Account at the time of the
              transfer. It is the intent of
              the Legislature that repayment
              be made so as to ensure that
              the programs supported by this
              fund are not adversely affected
              by the loan. The Director of
              Finance may therefore order
              that repayment be made prior to
              this date to avoid these
              adverse effects.
       3.      Pursuant to Section 17581 of 
               the Government Code, the 
               mandate identified in the 
               appropriation schedule of this 
               item with an appropriation of 
              $0 and included in the language 
               of the provision is 
               specifically identified by the 
               Legislature for suspension 
               during the 2003-04 fiscal year: 
               (1)   98.01.118.892-Very High 
                     Fire Hazard and Severity
                     Zones (Ch. 1188, Stats. 
                     1992) 


   SEC. 24.    Item 4300-101-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
4300-101-0001--For local assistance,
Department of Developmental Services,
for Regional Centers.....................  2,382,799,000

                                            2,354,099,000 
    Schedule:
    (1)  10.10.010-
         Operations..........   527,816,000 
                                521,216,000 
    (2)  10.10.020-Purchase    3,370,854,00  

         of Services.........             
3,330,454,0  0
                                          0 
    (3)  10.10.060-Early
         Intervention
         Programs............   20,095,000
    (4)  Reimbursements......  -1,307,587,0 
                               -1,289,287,0 
                                        00
    (5)  Amount payable from
         the Public
         Transportation
         Account, State
         Transportation Fund
         (Item 4300-101-
         0046)............... -138,275,000
    (6)  Amount payable from
         Developmental
         Disabilities
         Program Development
         Fund (Item 4300-101-
         0172)...............   -1,147,000
    (7)  Amount payable from
         Federal Trust Fund
         (Item 4300-101-
         0890)...............  -88,957,000
    Provisions:
    1.   Upon order of the Director of
         Finance, the Controller shall
         transfer such funds as are
         necessary between this item and
         Item 4300-003-0001. Within 10
         working days after approval of a
         transfer as authorized by this
         provision, the Department of
         Finance shall notify the
         chairpersons of the fiscal
         committees in each house of the
         Legislature and the Chairperson
         of the Joint Legislative Budget
         Committee of the transfer,
         including the amount
         transferred, how the amount
         transferred was determined, and
         how the amount     transferred
         will be utilized.
    2.   A loan shall be made available
         from the General Fund to the
         State Department of
         Developmental Services not to
         exceed a cumulative total of
         $160,000,000. The loan funds
         shall be transferred to this
         item as needed to meet cashflow
         needs due to delays in
         collecting reimbursements from
         the Health Care Deposit Fund,
         and are subject to the repayment
         provisions of Section 16351 of
         the Government Code.
    3.   Upon order of the Director of
         Finance, the Controller shall
         transfer funds as are necessary
         between this item and Item 5160-
         001-0001 to provide for the
         transportation costs to and from
         work activity programs of
         clients who are     receiving
         vocational rehabilitation
         services through the Vocational
         Rehabilitation/Work Activity
         Program (VR/WAP) Transition
         Program.
    4.   $1,826,000 of the funds
         appropriated in this item may be
         used to augment service provider
         rates for the work needed to
         obtain information to secure
         federal participation under the
         Home and Community-Based
         Services Waiver program.
         Eligible providers are those
         service providers who are
         qualified providers under Title
         XIX of the Social Security Act,
         are not currently providing the
         required information, and are
         serving individuals enrolled
         under the Home and Community-
         Based Services Waiver program.
    5.   Notwithstanding Section
         26.00, the Department of Finance
         may authorize transfer of
         expenditure authority between
         Schedules (1) and (2) in order
         to more accurately reflect
         expenditures in the Early
         Intervention federal grant
         program (Part C of the
         Individuals with Disabilities
         Education Act).
    6.   It is the intent of the
         Legislature for the State
         Department of Health Care
         Services and the State
         Department of Developmental
         Services to collaboratively work
         with stakeholders, including
         providers and diverse
         constituency groups as deemed
         appropriate, regarding the
         bundling of rates for the
         reimbursement of intermediate
         care facilities for the
         developmentally disabled,
         including habilitative and
         nursing facilities. It is the
         intent of the Legislature that
         any changes made by the state
         shall be seamless to the
         providers of services affected
         by the changes, as well as
         to the consumers and their
         families that are provided
         services through the Regional
         Center system. The integrity of
         the individual program plan
         process described in the
         Lanterman Developmental
         Disabilities Services Act
         (Division 4.5 (commencing with
         Section 4500) of the Welfare and
         Institutions Code) shall be
         maintained throughout this
         process and shall not be
         affected by any changes made to
         implement the bundled rates.
    7.   Of the funds appropriated in
         Schedule (2), the amount
         identified by the State
         Department of Developmental
         Services for self-directed
         services shall be available for
         encumbrance until June 30, 2010,
         and for liquidation until June
         30, 2011.
    8.   Upon the order of the Department
         of Finance, the Controller shall
         transfer such funds as are
         necessary between this item and
         Item 4300-103-0001 in order to
         effectively administer the Self-
         Directed Services Risk Pool Fund.
    9.   It is the intent of the
         Legislature for the California
         Children and Families Commission
         to utilize at least $5,000,000
         in funds from any of its
         accounts for information,
         services, and supports provided
         under the Early Start Program as
         administered by the State
         Department of Developmental
         Services. This language is not
         intended to affect any
         contingencies or emergencies of
         which the Department of Finance
         may choose to notify the
         Legislature in the 2008-09
         fiscal year.


   SEC. 25.    Item 5180-111-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
5180-111-0001--For local assistance,
Department of Social Services............  5,562,733,000

                                            5,444,983,000 
    Schedule:
    (1)  16.70-SSI/SSP....... 3,751,938,00  

                               3,634,188,00 
                                         0
    (2)  25.15-IHSS.......... 5,330,297,00
                                         0
    (3)  25.20-Recipient
         Supplementary
         Payment.............   44,176,000
    (4)  Reimbursements...... -3,563,678,0
                                        00
    Provisions:
    1.   Provisions 1 and 4 of Item 5180-
         101-0001 also apply to this item.
    2.   Notwithstanding Chapter 1
         (commencing with Section 18000)
         of Part 6 of Division 9 of the
         Welfare and Institutions Code, a
         loan not to exceed $240,000,000
         shall be made available from the
         General Fund from funds not
         otherwise appropriated, to cover
         the federal share or
         reimbursable share, or both, of
         costs of a program or programs
         when the federal funds or
         reimbursements (from the Health
         Care Deposit Fund or counties)
         have not been received by this
         state prior to the usual time
         for transmitting     payments
         for the federal or reimbursable
         share of costs for this state.
         That loan from the General Fund
         shall be repaid when the federal
         share of costs for the program
         or programs becomes available,
         or in the case of
         reimbursements, subject to
         Section 16351 of the Government
         Code. County reimbursements also
         shall be subject to Section
         16314 of the Government Code,
         which specifies the rate of
         interest. The department may
         offset a county's share of cost
         of the In-Home Supportive
         Services (IHSS) program against
         local assistance payments made
         to the county if the county
         fails to reimburse its share of
         cost of the IHSS program to the
         state.
    3.   The State Department of Social
         Services shall provide technical
         assistance to counties to ensure
         that they maximize the receipt
         of federal funds for the In-Home
         Supportive Services (IHSS)
         program,     without
         compromising the quality of the
         services provided to IHSS
         recipients.
    4.   The Director of Finance may
         authorize the transfer of
         amounts from this item to Item
         5180-001-0001 in order to fund
         increased costs due to workload
         associated with the retroactive
         reimbursement of Medi-Cal
         services for the In-Home
         Supportive Services program to
         comply with the Conlan v. Shewry
         court decision. The Department
         of Finance shall report to the
         Legislature the amount to be
         transferred pursuant to this
         provision and the number of
         positions to be established by
         the State Department of Social
         Services. The transfer shall be
         authorized at the time the
         report is made. The State
         Department of Social Services
         shall review the workload
         associated with the Conlan v.
         Shewry decision during the 2008-
         09 fiscal year and may
         administratively establish
         positions as the workload
         requires.
    5.   The Director of Finance may
         authorize the transfer of
         amounts from this item to Item
         5180-001-0001 in order to fund
         the cost of the administrative
         hearing process associated with
         changes in aid or service
         payments in the In-Home
         Supportive Services program. The
         Department of Finance shall
         report to the Legislature the
         amount to be transferred
         pursuant to this provision. The
         transfer shall be authorized at
         the time the report is made.


   SEC. 26.    Item 5225-001-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
5225-001-0001--For support of Department
of Corrections and Rehabilitation........ 7,145,074,000
    Schedule:
    (1)   10-Corrections and
          Rehabilitation
          Administration...... 461,796,000
    (3)   15-Corrections
          Standards Authority.  11,794,000
    (4)   20-Juvenile
          Operations.......... 263,488,000
    (5)   21-Juvenile
          Education,
          Vocations, and
          Offender Programs...   5,529,000
    (6)   22-Juvenile Paroles.  34,098,000
    (7)   23-Juvenile Health
          Care................ 112,786,000
    (8)   25-Adult
          Corrections and
          Rehabilitation       4,9 4   6 
6,5  68   32  ,0
          Operations..........          00
    (9)   30-Parole
           Operations-- Adult.. 841,685,000 
           Operations-- Adult.. 826,964,000 
    (10)  35-Board of Parole
          Hearings............ 10  5  0  ,
 73  9  82  ,000
    (11)  40-Community
          Partnerships........  15,030,000
    (12)  45-Education,
          Vocations, and
          Offender Programs--
          Adult............... 548,331,000
    (13)  Reimbursements......  -126,998,00  

                                -131,798,00 
                                         0
    (14)  Amount payable from
          the Corrections
          Training Fund (Item
          5225-001-0170)......  -2,608,000
    (15)  Amount payable from
          the Federal Trust
          Fund (Item 5225-001-
          0890)...............  -7,332,000
    (16)  Amount payable from
          the Inmate Welfare
          Fund (Item 5225-001-
          0917)............... -65,075,000
    Provisions:
    1.    Any funds recovered as a result
          of audits of locally operated
          return-to-custody centers shall
          revert to the General Fund.
    2.    When contracting with counties
          for vacant jail beds for any
          inmate under the jurisdiction
          of the Secretary of the
          Department of Corrections and
          Rehabilitation, the department
          shall not reimburse counties
          more than the average amount it
          costs the state to provide the
          same services in comparable
          state institutions. This
          restriction shall not apply to
          any existing contract, but
          shall apply to the extension or
          renewal of that contract. In
          addition, the total operational
          cost of incarcerating state
          inmates in leased county jail
          beds (which includes state
          costs, but is exclusive of one-
          time and capital outlay costs)
          shall not exceed the
          department's average cost
          for operating comparable
          institutions.
    3.    Notwithstanding any other
          provision of law, but subject
          to providing 30 days' prior
          notification to the Joint
          Legislative Budget Committee,
          funds appropriated in Schedule
          (8) or (9), or both, may be
          transferred to Item 5225-101-
          0001, Schedule (7), upon order
          of the Director of Finance, to
          provide funds for the
          reimbursement of counties for
          the cost of holding parole
          violators in local jail.
    4.    Not later than 60 days
          following enactment of this
          act, and subsequently on
          February 10 and upon release of
          the May Revision, the Secretary
          of the Department of
          Corrections and Rehabilitation
          shall submit to the Director of
          Finance the Post Assignment
          Schedule     for each adult
          institution, reconciled to
          budgeted authority and
          consistent with approved
          programs, along with allotments
          consistent with the reconciled
          Post Assignment Schedule for
          each adult institution.
    5.    Not later than February 17,
          2009, the Secretary of the
          Department of Corrections and
          Rehabilitation shall submit to
          the chairpersons and vice
          chairpersons of the committees
          in both houses of the
          Legislature that consider the
          State Budget and to the
          Legislative Analyst's Office an
          operating budget for each of
          the correctional facilities
          under the control of the
          department. Specifically, the
          report shall include: (a) year-
          end expenditures by program for
          each institution in the 2007-08
          fiscal year, (b) allotments and
          projected expenditures by
          program for each institution in
          the 2008-09 fiscal year, (c)
          the number of authorized and
          vacant positions,     estimated
          overtime budget, estimated
          benefits budget, and operating
          expense and equipment budget
          for each institution, and (d) a
          list of all capital outlay
          projects occurring or projected
          to occur during the 2008-09
          fiscal year.
    6.    Funds appropriated to
          accommodate projected adult
          institutional and parolee
          population levels in excess of
          those that actually
          materialize, if any, shall
          revert to the General Fund.
    7.    Of the amount appropriated in
          this item, $87,341,000 is
          available for the Consolidated
          Information Technology
          Infrastructure Project. Upon
          determination of the project
          costs that can be financed
          using GS $mart, any balance in
          excess of the amounts needed
          for 2008-09 payments shall
          revert to the General Fund upon
          order of the Director of
          Finance. Up to $45,856,000 may
          be reverted.
    8.    The Director of Finance may
          augment this item by up to
          $15,000,000 upon approval of a
          Feasibility Study Report or a
          Special Project Report by the
          office of the State Chief
          Information Officer that
          identifies a gap and a need for
          an information technology
          solution between the
          development of the Strategic
          Offender Management System, the
          Disability and Effective
          Communication System, and the
          requirements of the Armstrong
          v. Schwarzenegger court orders.
          Any augmentation shall be
          authorized no sooner than 30
          days after notification in
          writing to the Chairperson of
          the Joint Legislative Budget
          Committee, or not sooner than
          whatever lesser time the
          chairperson of the joint
          committee or his or her
          designee may determine.
    9.    Notwithstanding any other
          provision of law, upon order of
          the Director of Finance, funds
          appropriated in Schedules (8)
          and (12) may be transferred
          between each other for the sole
          purpose of reconciling
          expenditures in the Division of
          Adult Institutions with
          expenditures in the Division of
          Adult Education, Vocation, and
          Offender Programs in order to
          comply with the April 3, 2007,
          court order, in the case of
          Valdivia v. Schwarzenegger.
          Transfers between Schedules (8)
          and (12) shall occur no sooner
          than 30 days after notification
          to the Joint Legislative Budget
          Committee of actual utilization
          of In-Custody Treatment Program
          beds by parole region and how
          this utilization necessitates
          the transfer of funds.
    10.   The     Department of
          Corrections and Rehabilitation
          (DCR) shall continue its
          efforts in consultation with
          legislative staff and the
          Department of Finance to create
          a more accurate and transparent
          population budget request for
          caseload-related funding. In
          particular, DCR shall identify
          appropriate funding formulas to
          use to estimate staffing levels
          and funding associated with
          changes in the projected inmate
          population. These formulas
          shall be presented to the
          Legislature no later than
          January 10, 2009, so as to be
          considered during budget
          deliberations. If approved,
          these formulas shall be
          incorporated into DCR's budget
          request the following year.
    11.   Of the amount appropriated in
          Schedule (1), $3,270,000 is for
          contract costs to provide
          employees of the Department of
          Corrections and Rehabilitation
          with tuberculosis testing and
          Hepatitis B vaccinations. Any
          funds not expended for this
          purpose by June 30, 2009, shall
          revert to the General Fund. The
          Department of Corrections and
          Rehabilitation shall report
          actual contract expenditures to
          the Department of Finance.
    12.   The process to award local jail
          bond funding, authorized
          pursuant to Chapter 7 of the
          Statutes of 2007, shall be
          finalized by the Corrections
          Standard Authority prior to the
          activation of the Northern
          California Reentry Facility.
    13.   The Department of Corrections
          and Rehabilitation shall
          establish and implement a
          system for ensuring consistent
          reporting of the utilization of
          funding provided in this item
          for aftercare rehabilitation
          services. This information
          shall be reported to the
          Legislature in the Governor's
          2009-10 January budget proposal.
    14.   (a)    The funds appropriated
                 in this item are
                 restricted for use by
                 the Department of
                 Corrections and
                 Rehabilitation for the
                 specific programmatic
                 and operational purposes
                 specified in the
                 Supplemental Report of
                 the Budget Act of 2008.
                 The department shall
                 provide two reports
                 identifying its progress
                 toward expending these
                 funds during the 2008-09
                 fiscal year to the
                 fiscal committees of
                 both houses of the
                 Legislature beginning on
                 October 1, 2008. The
                 first report shall be
                 due February 1, 2009,
                 and shall separately
                 detail the activities of
                 the first two quarters
                 of the 2008-09 fiscal
                 year. The second report
                 shall be due May 1,
                 2009, and shall display
                 the activities for the
                 third quarter of the
                 2008-09 fiscal year. The
                 funds identified in the
                 Supplemental     Report
                 of the Budget Act of
                 2008 shall be utilized
                 for the purposes
                 specified, and any
                 unspent funds shall
                 revert to the General
                 Fund.
          (b)    In situations where
                 fluctuations in
                 population result in
                 lower expenditure levels
                 as identified in the
                 department's population
                 budget change proposals,
                 these savings shall be
                 captured in the
                 population funding
                 estimates and may be
                 used to offset other
                 population-related
                 expenditure increases.
          (c)    After providing a 30-day
                 notification period to
                 the Joint Legislative
                 Budget Committee, the
                 department may expend
                 funds identified in the
                 Supplemental Report of
                 the Budget Act of 2008
                 on other identified
                 needs.


   SEC   . 27.    Item 5225-002-0001 of Section
2.00 of the Budget Act of 2008 is amended to read: 
5225-002-0001--For support of Department
of Corrections and Rehabilitation........ 2,341,135,000
    Schedule:
    (1)  10-Corrections and
         Rehabilitation
         Administration......    8,314,000
    (2)  25-Adult
         Corrections and
         Rehabilitation
         operations..........  285,922,000
    (3)  50.10-Medical         1,343,233,00  

         Services-- Adult....             
1,343,266,0  0
                                          0 
    (4)  50.20-Dental
         Services-- Adult....   117,552,000 
                                117,519,000 
    (5)  50.30-Mental Health
         Services-- Adult....  311,658,000
    (6)  50.40-Ancillary
         Health Care
         Services-- Adult....  215,839,000
    (7)  50.50-Dental and
         Mental Health
         Services
         Administration--
         Adult...............   60,818,000
    (8)  Reimbursements......   -2,201,000
    Provisions:
    1.   On February 14, 2006, the United
         States District Court in the
         case of Plata v. Schwarzenegger
         (No. C01-1351 THE) suspended the
         exercise by the Secretary of the
         Department of Corrections and
         Rehabilitation of all powers
         related to the administration,
         control, management, operation,
         and financing of the
         California prison medical health
         care system. The court ordered
         that all such powers vested in
         the Secretary of the Department
         of Corrections and
         Rehabilitation were to be
         performed by a Receiver
         appointed by the court
         commencing April 17, 2006, until
         further order of the court. The
         Director of the Division of
         Correctional Health Care
         Services of the Department of
         Corrections and Rehabilitation
         is to administer this item to
         the extent directed by the
         Receiver.
    2.   Notwithstanding any other
         provision of law, the Department
         of Corrections and
         Rehabilitation is not required
         to competitively bid for health
         services contracts in cases
         where contracting experience or
         history indicates that only one
         qualified bid will be received.
    3.   Notwithstanding Section 13324 of
         the Government Code or Section
         32.00 of this act, no state
         employee shall be held
         personally liable for any
         expenditure or the creation of
         any indebtedness in excess of
         the amounts appropriated
         therefor as a result of
         complying with the directions of
         the Receiver or orders of the
         United States District Court in
         Plata v. Schwarzenegger.
    4.   The amounts appropriated in
         Schedules (3) and (6) are
         available for expenditure by the
         Receiver appointed by the Plata
         v. Schwarzenegger court to carry
         out its mission to deliver
         constitutionally adequate
         medical care to inmates.
    5.   The amounts appropriated in
         Schedules (4), (5), and (7) are
         available for expenditure by the
         Department of Corrections and
         Rehabilitation to provide mental
         health and dental services only.
    6.   Of the funds appropriated for
         the Receiver in Schedules (2),
         (3), and (6), $253,807,000 is
         available for expenditure only
         for the purposes identified
         below and any unexpended funds
         shall revert to the General Fund:
         (a)    Health Care Access Units:
                $110,020,000
         (b)    Health Care     Guarding
                and Transportation:
                $89,328,000
         (c)    Central Fill Pharmacy:
                $8,621,000
         (d)    Pharmaceuticals and
                Medical Supplies:
                $45,838,000
    7.   (a)    The funds appropriated in
                this item are restricted
                for use by the Department
                of Corrections and
                rehabilitation for the
                specific programmatic and
                operational purposes
                specified in the
                Supplemental Report of
                the Budget Act of 2008.
                The department shall
                provide two reports
                identifying its progress
                toward     expending
                these funds during the
                2008-09 fiscal year to
                the fiscal committees of
                both houses of the
                Legislature beginning on
                October 1, 2008. The
                first report shall be due
                February 1, 2009, and
                shall separately detail
                the activities of the
                first two quarters of the
                2008-09 fiscal year. The
                second report shall be
                due May 1, 2009, and
                shall display the
                activities for the third
                quarter of the 2008-09
                fiscal year. The funds
                identified in the
                Supplemental Report of
                the Budget Act of 2008
                shall be utilized for the
                purposes specified, and
                any unspent funds shall
                revert to the General
                Fund.
         (b)    In situations where
                fluctuations in
                population result in
                lower expenditure levels
                as identified in the
                department's population
                budget change proposals,

                        these savings shall be
                captured in the
                population funding
                estimates and may be used
                to     offset other
                population-related
                expenditure increases.
         (c)    After providing a 30-day
                notification period to
                the Joint Legislative
                Budget Committee, the
                department may expend
                funds identified in the
                Supplemental Report of
                the Budget Act of 2008 on
                other identified needs.
    8.   The Department of Corrections
         and Rehabilitation is required
         to submit a Budget Change
         Proposal to request funding to
         support positions authorized in
         the Mental Health Staffing
         Workload Study.


   SEC. 28.    Item 5225-101-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
5225-101-0001--For local assistance,
Department of Corrections and
Rehabilitation..............................  246,671,000

                                               180,211,000 
    Schedule:
    (1)   15-Corrections
          Standards Authority...   182,107,000 
                                   118,840,000 
    (2)   20-Juvenile
          Operations............       78,000
    (3)   22-Juvenile Paroles...    1,403,000
    (4)   25.15.010-Adult
          Corrections and
          Rehabilitation
          Operations--
          Transportation of
          Inmates...............      278,000
    (5)   25.15.020-Adult
          Corrections and
          Rehabilitation
          Operations-- Return
          of Fugitives..........    2,593,000
    (6)   25.30-Adult
          Corrections and
          Rehabilitation
          Operations-- County
          Charges...............   16,480,000
    (7)   30-Parole Operations-
          - Adult...............    43,732,000 
                                    40,539,000 
    Provisions:
    1.    The     amount appropriated in
          Schedules (4), (5), (6), and (7)
          is provided for the following
          purposes:
          (a)     To pay the transportation
                  costs of prisoners to and
                  between state prisons,
                  including the return of
                  parole violators to prison
                  and for the conveying of
                  persons under provisions
                  of Division 3 (commencing
                  with Section 3000) of the
                  Welfare and Institutions
                  Code and the Western
                  Interstate Corrections
                  Compact (Section 11190 of
                  the Penal Code), in
                  accordance with Section
                  26749 of the Government
                  Code. Claims filed by
                  local jurisdictions shall
                  be filed within six months
                  after the end of the month
                  in which those
                  transportation costs are
                  incurred. Expenditures
                  shall be charged to either
                  the fiscal year in which
                  the claim is received by
                  the Controller or the
                  fiscal year in which the
                  warrant is issued by the
                  Controller.     Claims
                  filed by local
                  jurisdictions directly
                  with the Controller may be
                  paid by the Controller.
          (b)     To pay the expenses of
                  returning fugitives from
                  justice from outside the
                  state, in accordance with
                  Sections 1389, 1549, and
                  1557 of the Penal Code.
                  Claims filed by local
                  jurisdictions shall be
                  filed within six months
                  after the end of the month
                  in which expenses are
                  incurred. Expenditures
                  shall be charged to either
                  the fiscal year in which
                  the claim is received by
                  the Controller or the
                  fiscal year in which the
                  warrant is issued by the
                  Controller, and any
                  restitution received by
                  the state for those
                  expenses shall be credited
                  to the appropriation of
                  the year in which the
                  Controller's receipt is
                  issued. Claims filed by
                  local jurisdictions
                  directly with the
                  Controller may be paid by
                  the Controller.
          (c)     To pay county charges,
                  payable under Sections
                  4700.1, 4750 to 4755,
                  inclusive, and 6005 of the
                  Penal Code. Claims shall
                  be filed by local
                  jurisdictions within six
                  months after the end of
                  the month in which a
                  service is performed by
                  the coroner, a hearing is
                  held on the return of a
                  writ of habeas corpus, the
                  district attorney declines
                  to prosecute a case
                  referred by the Department
                  of Corrections and
                  Rehabilitation, a judgment
                  is rendered for a court
                  hearing or trial, an
                  appeal ruling is rendered
                  for the trial judgment, or
                  an activity is performed
                  as permitted by these
                  sections. Expenditures
                  shall be charged to either
                  the fiscal year in which
                  the claim is received by
                  the Controller or the
                  fiscal year in which the
                  warrant is issued by the
                  Controller. Claims filed
                  by local jurisdictions
                  directly with the
                  Controller     may be paid
                  by the Controller.
          (d)     To reimburse counties for
                  the cost of detaining
                  state parolees pursuant to
                  Section 4016.5 of the
                  Penal Code. Claims shall
                  be filed by local
                  jurisdictions within six
                  months after the end of
                  the month in which the
                  costs are incurred. Claims
                  filed by local
                  jurisdictions may not
                  include booking fees, may
                  not recover detention
                  costs in excess of $77.17
                  per day, and shall be
                  limited to the detention
                  costs for those days on
                  which parolees are held
                  subject only to a
                  Department of Corrections
                  and Rehabilitation request
                  pursuant to subdivision
                  (b) of Section 4016.5 of
                  the Penal Code.
                  Expenditures shall be
                  charged to either the
                  fiscal year in which the
                  claim is received by the
                  Department of Corrections
                  and Rehabilitation or the
                  fiscal year in which the
                  warrant is issued.
    2.    Notwithstanding any other
          provision of law, upon 30-day
          prior notification to the
          Chairperson of the Joint
          Legislative Budget Committee,
          funds appropriated in Schedule (7)
          of this item may be transferred to
          Schedule (8) or (9), or both, of
          Item 5225-001-0001, upon order of
          the Director of Finance, to
          provide funds for the
          reimbursement of counties for the
          cost of holding parole violators
          in local jails or for the auditing
          or monitoring of local assistance
          costs.
    3.    The amounts appropriated in
          Schedules (2) and (3) are provided
          for the following purposes:
          (a)     To pay the transportation
                  costs of persons committed
                  to the Department of
                  Corrections and
                  Rehabilitation to or
                  between its facilities,
                  including the return of
                  parole violators, provided
                  that expenditures made
                  under this item shall be
                  charged to either the
                  fiscal year in which the
                  claim is received by the
                  Controller or the fiscal
                  year in which the warrant
                  is issued by the
                  Controller. However,
                  claims shall be filed by
                  local jurisdictions within
                  six months after the end
                  of the month in which the
                  costs are incurred.
          (b)     To reimburse counties,
                  pursuant to Section 1776
                  of the Welfare and
                  Institutions Code, for the
                  cost of the detention of
                  the Department of
                  Corrections and
                  Rehabilitation parolees
                  who     are detained on
                  alleged parole violations,
                  provided that expenditures
                  made under this item shall
                  be charged to either the
                  fiscal year in which the
                  claim is received by the
                  Controller or the fiscal
                  year in which the warrant
                  is issued by the
                  Controller. However,
                  claims shall be filed by
                  local jurisdictions within
                  six months after the end
                  of the month in which the
                  costs are incurred.


   SEC. 29.    Item 6   440-001-0001 of Section
2.00 of the Budget Act of 2008 is amended to read: 
6440-001-0001--For support of University
of California............................  2,995,520,000

                                            2,930,023,000 
    Schedule:
    (1)  Support............. 3,118,116,00
                                         0
    (2)  Charles R. Drew
         Medical Program.....    8,738,000
    (3)  Acquired Immune
         Deficiency Syndrome
         (AIDS) Research.....    9,214,000
    (4)  Student Financial
         Aid.................   52,199,000
    (5)  Loan Repayments.....    5,105,000
    (6)  San Diego
         Supercomputer
         Center..............    3,240,000
    (8)  Unallocated
         Reduction...........  -201,092,000 
                               -266,589,000 
    Provisions:
    1.   The appropriations made in this
         item are exempt from Section
         31.00.
    2.   None of the funds appropriated
         in this item may be expended to
         initiate major capital outlay
         projects by contract without
         prior legislative approval,
         except for cogeneration and
         energy conservation projects.
         Funds appropriated in this item
         may be used for capital
         expenditures as well as payment
         of debt service for such
         exempted capital projects.
         Exempted projects shall be
         reported in a manner consistent
         with the reporting procedures in
         subdivision (e) of Section 28.00.
         Funds appropriated in this item
         may be used for capital
         expenditures as well as payment
         of debt service associated with
         the Energy Partnership Program,
         whereby the University of
         California will receive
         financial incentives from state
         investor-owned utilities to
         undertake energy conservation
         projects. The use of state
         operations funding for these
         energy savings projects may not
         infringe on the university's
         funding for its instructional
         support activities. The Director
         of Finance may authorize program
         expenditures for the list of
         planned projects not sooner than
         30 days after notification in
         writing is provided to the
         chairpersons of the committees
         in each house of the Legislature
         that consider appropriations,
         the chairpersons of the
         committees and the appropriate
         subcommittees     in each house
         of the Legislature that consider
         the State Budget, and the
         Chairperson of the Joint
         Legislative Budget Committee.
         The list of planned projects
         submitted for approval for a
         given funding cycle should be
         all-inclusive and may include
         projects that eventually may not
         be initiated during that funding
         cycle. A project not included on
         the list of planned projects for
         that funding cycle, but with
         which the university wishes to
         proceed during the budget year,
         may be treated as an exempted
         project as described above and
         reported in a manner consistent
         with the reporting procedures in
         subdivision (e) of Section
         28.00. No later than November 15
         of each year, the university
         shall prepare a report
         describing the identified
         projects funded under the Energy
         Partnership Program in the prior
         year. The report shall include
         the cost of each project, how
         the cost is being funded,
         including the amount funded from
         support budget funds and
         investor-owned utility incentive
         awards, and the projected amount
         of energy     savings. These
         reports will sunset at the end
         of the program.
    3.   The funds appropriated in
         Schedule (2) are for support of
         University of California
         programs of clinical health
         sciences education, research,
         and public service, conducted in
         conjunction with the Charles R.
         Drew University of Medicine and
         Science, as provided for in
         Sections 1, 2, and 3 of Chapter
         1140 of the Statutes of 1973. Of
         the funds appropriated, $500,000
         is contingent upon the provision
         by the University of California
         of an equal amount of matching
         funds from its own resources.
         The University of California
         shall ensure by adequate
         controls that funds appropriated
         in Schedule (2) are expended
         solely for the support of the
         program identified in that
         schedule.
    4.   The funds appropriated in
         Schedule (4) are for support of
         Program 45, Student Financial
         Aid, to provide financial aid to
         needy students attending the
         University of California,
         according to the nationally
         accepted needs analysis
         methodology.
    5.   Of the funds appropriated in
         Schedule (1), $2,762,129 is for
         payment of energy service
         contracts in connection with the
         issuance of State Public Works
         Board Energy Efficiency Revenue
         Bonds.
    6.   Of the funds appropriated in
         Schedule (5), $2,700,000 is for
         repayment of $25,000,000
         borrowed by the University of
         California for deferred
         maintenance in the 1994-95
         fiscal year. It is the intent of
         the Legislature to annually
         provide funds for that repayment
         purpose through the 2009-10
         fiscal year.
    7.   Of the funds appropriated in
         Schedule (5), $2,405,000 is for
         repayment of $25,000,000
         borrowed by the University of
         California for deferred
         maintenance in the 1995-96
         fiscal year. It is the intent of
         the Legislature to annually
         provide funds for that repayment
         purpose through the 2010-11
         fiscal year.
    8.   Of the funds appropriated in
         Schedule (1), $1,897,200 is for
         the California State Summer
         School for Mathematics and
         Science (COSMOS). The University
         of California shall report on
         the outcomes and
         effectiveness of COSMOS every
         five years, commencing April 1,
         2011.
    9.   The University of California
         (UC) shall report to the
         Legislature and the Governor by
         February 1 of each year on its
         progress toward increasing the
         quality and supply of science
         and mathematics teachers
         resulting from implementation of
         the Science and Math Teacher
         Initiative. This report shall
         include the following
         information: (a) annual number
         of mathematics and science
         teachers awarded credentials (by
         each UC campus) beginning with
         the 2004-05 academic year
         (before the state first provided
         funding for the initiative), (b)
         an expenditure plan on the use
         of the funds appropriated in
         this item, (c) the effectiveness
         of the initiative's different
         components and activities,
         including an identification of
         best practices, and (d) the job
         placement of students who earn
         a mathematics or science
         teaching credential, including
         the location of the K-12 school
         of employment and whether it is
         in an urban, rural, or suburban
         setting.
    10.  The University of California
         shall report to the Legislature
         by March 15, 2009, on whether it
         has met its 2008-09 academic
         year enrollment goal.
    11.  Of the funds appropriated in
         Schedule (1), $1,050,000 is to
         support 70 full-time equivalent
         students in the Program in
         Medical Education (PRIME) at the
         Irvine, Davis, San Diego, and
         San Francisco campuses. The
         primary purpose of this program
         is to train physicians
         specifically to serve in
         underrepresented communities.
         The University of California
         shall     report to the
         Legislature by March 15, 2009,
         on (a) its progress in
         implementing the PRIME program
         and (b) the use of the total
         funds provided for this program
         from both state and nonstate
         resources.
    12.  The university shall report to
         the Legislature and the Governor
         by May 1, 2009, on the total
         enrollment in the 2007-08 and
         2008-09 academic years in the
         entry-level clinical and
         master's degree nursing programs
         and the master's of science
         nursing degree programs.
    13.  It is the intent of the
         Legislature that the University
         of California submit an annual
         report by March 1 of each year
         through the 2010-11 fiscal year
         to the Joint Legislative Budget
         Committee,     legislative
         fiscal subcommittees, and the
         Department of Finance on the
         university's progress in
         reforming its compensation
         policies and practices,
         reflecting the criteria
         specified in Provision 27 of
         Item 6440-001-0001 of the Budget
         Act of 2006 (Chs. 47 and 48,
         Stats. 2006).
    14.  Of the funds appropriated in
         Schedule (1), $19,300,000 is for
         student academic preparation and
         education programs (SAPEP) and
         is to be matched with
         $12,000,000 from existing
         university resources, for a
         total of $31,300,000 for these
         programs. The University of
         California shall provide a plan
         to the Department of Finance and
         the fiscal committees of each
         house of the Legislature for
         expenditure of both state and
         university funds for SAPEP by
         September 1 of each year.
    15.  The amount appropriated in
         Schedule (1) reflects a
         reduction of $32,300,000 to
         institutional support.
    17.  Of the funds appropriated in
         Schedule (1), $693,000 is for
         the Welfare Policy Research
         Project, pursuant to Article 9.7
         (commencing with Section 11526)
         of Chapter 2 of Part 3 of
         Division 9 of the Welfare and
         Institutions Code.
    18.  Of the funds appropriated in
         Schedule (1), $427,500 shall be
         expended for the Center for
         Earthquake Engineering Research,
         contingent upon the center
         continuing to receive federal
         matching funds from the National
         Science Foundation.
    19.  Of the funds appropriated in
         Schedule (1), $346,500 shall be
         expended for viticulture and
         enology research, contingent
         upon the receipt of an equal
         amount of private sector
         matching funds.
    20.  Of the funds appropriated in
         Schedule (1), $16,200,000 is for
         substance abuse research at the
         Department of Neurology at the
         University of California, San
         Francisco.
    21.  Of the funds appropriated in
         Schedule (1), $693,000 shall be
         used for lupus research at the
         University of California, San
         Francisco.
    22.  Of the funds appropriated in
         Schedule (1), $1,385,100 shall
         be used to expand spinal cord
         injury research.
    23.  Of the funds appropriated in
         Schedule (1), $3,463,000 is to
         fund the Medical Investigation
         of Neurodevelopment Disorders
         (MIND) Institute, including
         $3,150,000 for a research grants
         program.
    24.  Of the funds appropriated in
         Schedule (1), $0 is to support
         research on labor and employment
         and labor education throughout
         the University of California
         system.
    25.  The amount appropriated in this
         item reflects a $5,000,000 one-
         time reduction to the Subject
         Matter Projects. An identical
         amount is appropriated in Item
         6110-195-0890 from federal Title
         II carryover funds to ensure the
         projects can be maintained in
         the 2008-09 fiscal year.
    26.  To the extent funds are
         available in Schedule (1), and
         contingent upon the receipt of
         an equal amount of private
         sector matching funds, the
         University of California shall
         allocate funds for the
         California Institute for
         Quantitative Biosciences for the
         purpose of enhancing innovative,
         cost-effective technologies and
         therapies in health care.


   SEC. 30.    Item 6600-001-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
6600-001-0001--For support of Hastings
College of the Law.........................  10,631,000

                                             10,229,000 
      Provisions:
      1.     The appropriation made in this
             item is exempt from Section
             31.00.
      2.     The amount appropriated in
             this item reflects a 10-
             percent reduction to
             institutional support.


   SEC. 31.    Item 6610-001-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
6610-001-0001--For support of California
State University.........................  2,910,596,000

                                            2,844,364,000 
    Schedule:
    (1)  Support............. 3,082,555,00
                                         0
    (2)  Unallocated
         Reduction...........  -171,959,000 
                               -238,191,000 
    Provisions:
    1.   The appropriations made in this
         item are exempt from Section
         31.00, except as otherwise
         provided by the applicable
         sections of the Government Code
         referred to in Section 31.00.
    2.   Of the amount appropriated in
         this item, $350,000 is for
         transfer to the Affordable
         Student Housing Revolving Fund
         for the purpose of subsidizing
         interest costs in connection
         with bond financing for
         construction of affordable
         student housing at the Fullerton
         and Hayward campuses in
         accordance with     Article 3
         (commencing with Section 90085)
         of Chapter 8 of Part 55 of
         Division 8 of Title 3 of the
         Education Code.
    3.   Of the amount appropriated in
         this item, $1,878,000 is for
         repayment of the $17,000,000
         financed for the California
         State University through a third
         party for deferred maintenance
         projects in the 1994-95 fiscal
         year. It is the intent of the
         Legislature to annually provide
         funds for that repayment purpose
         until June 30, 2010.
    4.   Of the amount appropriated in
         this item, $2,309,000 is for
         repayment of the $24,000,000
         financed for the California
         State University through a third
         party for deferred maintenance
         projects in the 1995-96 fiscal
         year. It is     the intent of
         the Legislature to annually
         provide funds for that repayment
         purpose until June 30, 2011.
    5.   The California State University
         (CSU) shall report to the
         Legislature and the Governor by
         February 1 of each year on its
         progress toward increasing the
         quality and supply of science
         and mathematics teachers
         resulting from implementation of
         the Science and Math Teacher
         Initiative. This report shall
         include the following
         information: (a) annual number
         of mathematics and science
         teachers awarded credentials (by
         each CSU campus) beginning with
         the 2004-05 academic year
          (before the state first provided
         funding for the initiative), (b)
         an expenditure plan on the use
         of the funds appropriated in
         this item, (c) the effectiveness
         of the initiative's different
         components and activities,
         including an identification of
         best practices, and     (d) the
         job placement of students who
         earn a math or science teaching
         credential, including the
         location of the K-12 school of
         employment and whether it is in
         an urban, rural, or suburban
         setting.
    6.   The California State University
         shall provide a preliminary
         report to the Legislature by
         March 15, 2009, and a final
         report by May 1, 2009, on
         whether it has met its 2008-09
         academic year enrollment goal.
    7.   The California State University
         shall report to the Legislature
         and the Governor by May 1, 2009,
         on the total enrollment in the
         2007-08 and 2008-09 academic
         years in the baccalaureate
         nursing degree and entry-level
         master's nursing degree programs.
    8.   The amount appropriated in
         Schedule (1) reflects a
         reduction of $43,199,000 to
         institutional support.
    9.   Of the amount appropriated in
         this item, $33,785,000 is
         provided for student financial
         aid grants. These financial aid
         funds shall be provided to needy
         students according to the
         nationally accepted needs
         analysis methodology.
    10.  Of the amount appropriated in
         Schedule (1), $52,000,000 is
         appropriated for student
         academic preparation and student
         support services programs. The
         California State University
         shall provide $45,000,000 to
         support the Early Academic
         Assessment Program and the
         Educational Opportunity Program.


   SEC. 32.    Item 6610-002-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
6610-002-0001--For support of the California
State University for transfer to and in
augmentation of Item 6610-001-0001, for the
purpose of providing direct costs and
administrative overhead expenses for the
Assembly, Senate, Executive, and Judicial
Fellows programs and the Center for
California Studies...........................  3,111,000

                                                3,040,000 
     Schedule:
     (1)    Center for California
            Studies-- Fellows
            Program...............     602,000
     (2)    Center for California
            Studies--  Other......      37,000
     (3)    Assembly Fellows......     565,287
     (4)    Senate Fellows........     565,287
     (5)    Executive Fellows.....     565,287
     (6)    Judicial Fellows......     402,139
     (7)    LegiSchool Project....     114,000
     (8)    Sacramento Semester
            Internship Program....      56,000
     (9)    Unscheduled...........     328,000
     (10)   Unallocated Reduction.     -124,000 
 
                                       -195,000 


   SEC. 33.    Item 8660-011-0470 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
8660-011-0470--For transfer by the
Controller from the California High-Cost
Fund-B Administrative Committee Fund to
the General Fund...........................  (35,000,000)

                                              (75,000,000) 
      Provisions:
      1.     The amount transferred in this
             item is a loan to the General
             Fund and shall be repaid by
             June 30, 2011. Repayment shall
             be made so as to ensure that
             the programs supported by the
             California High-Cost Fund-B
             Administrative Committee Fund
             are not adversely affected by
             the loan.


  SEC. 34.    Item 8660-011-0471 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
8660-011-0471--For transfer by the
Controller from the Universal Lifeline
Telephone Service Trust Administrative
Committee Fund to the General Fund.........  (30,000,000)

                                              (45,000,000) 
      Provisions:
      1.     The amount transferred in this
             item is a loan to the General
             Fund and shall be repaid by
             June 30, 2011. Repayment shall
             be made so as to ensure that
             the programs supported by the
             Universal Lifeline Telephone
             Service Trust Administrative
             Committee Fund are not
             adversely affected by the loan.


   SEC. 35.    Item 8660-011-0483 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
8660-011-0483--For transfer by the
Controller from the Deaf and Disabled
Telecommunications Program Administrative
Committee Fund to the General Fund.........  (85,000,000)

                                              (30,000,000) 
      Provisions:
      1.     The amount transferred in this
             item is a loan to the General
             Fund and shall be repaid by
             June 30, 2011. Repayment shall
             be made so as to ensure that
             the programs supported by the
             Deaf and Disabled
             Telecommunications Program
             Administrative Committee Fund
             are not adversely affected by
             the loan.


   SEC. 36.    Item 9100-101-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
9100-101-0001--For local assistance, Tax
Relief....................................  503,005,000

                                             468,265,000 
    Schedule:
    (2)   20-Senior Citizens'
          Property Tax
          Deferral Program....   25,800,000
    (4)   50-Homeowners'
          Property Tax Relief.  442,465,000
     (5)   60-Subventions for
           Open Space..........   34,740,000 
    Provisions:
    1.    Schedule (2) is for property tax
          postponement and assistance to
          claimants in accordance with the
          Senior Citizens Property Tax
          Assistance and Postponement
          Law (Part 10.5 (commencing with
          Section 20501) of Division 2 of
          the Revenue and Taxation Code).
          The appropriation made in that
          schedule shall be in lieu of the
          appropriation for the same
          purpose contained in Section
          16100 of the Government Code.
    3.    Schedule (4) is for
          reimbursement to local taxing
          authorities for revenue lost by
          reason of the homeowners'
          property tax exemption granted
          pursuant to subdivision (k) of
          Section 3 of Article XIII of the
          California Constitution. The
          appropriation made in that
          schedule shall be in lieu of the
          appropriation required pursuant
          to Section 25 of Article XIII of
          the California Constitution and
          the appropriation for the same
          purposes contained in Section
          16100 or 16120 of the Government
          Code.
    5.    Notwithstanding any other
          provision of law, the Director
          of Finance may authorize
          expenditures for Schedules (2)  , 
        
           (4),  and (  5   4
 ) in excess of or  less 
           less  than the amount 
  appropriated 
 not 
           appropriated not  sooner than 30 
days after 
           days after notification in 
           notification in  writing of the 
necessity 
           necessi  t  y t  herefor is provided
 to the 
           to the  chairpersons of the  fiscal

           fiscal  committees of each house  of the

           of the Legislature and the 
           Legislature and the  Chairperson  of
the Joint
           of the Joint  Legislative Budget
 Committee, or 
           Committee, or  not sooner than 
whatever   lesser
           whatever lesser  time the 
chairperson   of 
 the 
           chairperson of the joint 
           joint  committee, or his or her
          designee, may in each instance
          determine.


   SEC. 37.    Item 9210-101-0001 of Section 2.00 of the
Budget Act of 2008 is amended to read: 
9210-101-0001--For local assistance, Local
Government Financing.......................  214,200,000

                                              124,950,000 
      Provisions:
      1.     For allocation by the
             Controller to local
             jurisdictions for public
             safety as determined by the
             Director of Finance pursuant
             to Chapter 6.7 (commencing
             with Section 30061) of
             Division 3 of Title 3 of the
             Government Code.
      2.     Notwithstanding any other
             provision of law, the funds
             appropriated in this item
             shall be available for
             expenditure until June 30,
             2010. These funds shall be
             used to supplement and not
             supplant existing services.


  SEC. 38.    Section 3.90 is added to the Budget Act of
2008, to read:
  Sec. 3.90.  (a) Notwithstanding any other provision of this act,
each item of appropriation in this act, with the exception of the
California State University, the University of California, judicial,
and Legislature budget items, shall be reduced, as appropriate, to
reflect a reduction in employee compensation agreed to through the
collective bargaining process for represented employees or existing
administration authority and a proportionate reduction for
nonrepresented employees (utilizing existing authority of the
administration to adjust compensation for nonrepresented employees)
in the total amounts of $240,000,000 from General Fund items and
$149,000,000 from items relating to other funds. It is the intent of
the Legislature that these and, if necessary, other agreements
through the collective bargaining process, as well as proportionate
reductions for nonrepresented employees (utilizing existing authority
of the administration to adjust compensation for nonrepresented
employees), will result in General Fund savings of $417,000,000 and
other fund savings of $255,000,000 in the 2009-10 fiscal year. The
Director of Finance shall allocate the necessary reduction to each
item of appropriation to accomplish the employee compensation
reductions required by this section.
   (b) The Department of Personnel Administration shall transmit
proposed memoranda of understanding to the Legislature promptly and
shall include with each such transmission estimated savings pursuant
to this section of each agreement.
   (c) Nothing in this section shall change or supersede the
provisions of the Ralph C. Dills Act (Chapter 10.3 (commencing with
Section 3512) of Division 4 of Title 1 of the Government Code). 

  SEC. 39.    Sections 1 to 38, inclusive, of this act shall
become operative only if Assembly Bill 2 and Senate Bill 9 of the
2009-10 First Extraordinary Session are enacted.  
  SEC. 40.    This act addresses the fiscal emergency
declared by the Governor by proclamation on December 1, 2008,
pursuant to subdivision (f) of Section 10 of Article IV of the
California Constitution.  
  SECTION 1.    It is the intent of the Legislature
to enact statutory changes relating to the Budget Act of 2008.
 
  SEC. 2.    This act addresses the fiscal emergency
declared by the Governor by proclamation on December 1, 2008,
pursuant to subdivision (f) of Section 10 of Article IV of the
California Constitution.