BILL ANALYSIS
SB 64
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REPLACE - JUNE 25, 2009 @ 12:30 P.M.
SENATE THIRD READING
SB 64 (Budget and Fiscal Review Committee)
As Amended June 25, 2009
2/3 vote. Urgency
SENATE VOTE :Vote not relevant
SUMMARY : Implements funding reductions to the 2008 Budget Act
for K-14 and higher education programs and makes related
statutory changes. Specifically, this bill :
1)Makes various average daily attendance (ADA) calculation
adjustments for programs that will no longer collect ADA
pursuant to the categorical flexibility provisions established
in the February enacted budget trailer bill (SB 4x3, Chapter
12, Statutes of 2009-10 Third Extraordinary Session).
2)Increases the 2008-09 school district revenue limit deficit
factor from 7.844% to 11.187% and the county office of
education (COE) revenue limit deficit factor from 7.839% to
11.183% and the to reflect an additional $1.3 billion
reduction to revenue limits for FY 2008-09.
3)Reduces, for FY 2008-09 through 2012-13 , the amount of their
General Fund budgets that school districts are required to set
aside in "routine restricted maintenance accounts" from 1 % to
zero, as long as the district maintains its facilities in good
repair, as specified.
4)Authorizes, for 2008-09 through 2012-13, the State Allocation
Board to release "extreme hardship" deferred maintenance
funding in advance of the normal timeline, if necessary to
avoid serious facility damage or hazard to the health and
safety of students.
5)Makes technical and clarifying changes to the implementation
of the categorical program flexibility enacted as part of the
February special session, including, prohibiting school
districts from retaining funding intended for charter schools.
6)Removes statutory language that ties the minimum requirements
SB 64
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for a professional clear multiple or single subject teaching
credential to budget act funding for beginning teacher
induction programs, to clarify that the requirements that
apply to individuals' teacher credentials are not contingent
on district decisions to offer teacher induction programs.
7)Clarifies, for 2008-09 through 2012-13, that LEAs in "program
improvement" and those who have received a federal correction
action sanction by the State Board of Education shall not be
prohibited from using categorical flexibility.
8)Includes technical adjustments to the class size reduction
program, pursuant to the implementation of the education
trailer bill enacted as part of the February budget package
(SB 4x3).
9)Captures $16 million in current year and prior year
Proposition 98 savings from the Division of Juvenile Justice
and reappropriates these funds for purposes of offsetting
revenue limit reductions in 2008-09.
10)^^^Deletes the expired High Priority Schools program from the
list of programs included in categorical flexibility and
reduces the 2008-09 appropriation for the High Priority
Schools program by $107.9 million to capture unspent funds
associated with that program.
11)^^^Amends, for 2008-09 and 2009-10 only, districts' authority
to use their categorical ending balances for any educational
purpose by adding several formerly restricted accounts and
deleting several formerly non-restricted ones. Changes the
due date for an associated report from October 31, 2009, to
April 15, 2010.
12)^^^Applies a reduction to categorical funding for basic aid
school districts (property tax supported districts)
proportionate to that applied to the revenue limits of
non-basic aid districts.
13)^^^Restores $8.3 million in Economic Impact Aid (EIA) funding
to the Charter School Block Grant which was inadvertently
reduced in February. This restoration is consistent with the
treatment of EIA for non-charter schools.
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Higher Education
1)Decreases funding for community colleges, by makings an
unallocated reduction in the amount of $85 million to be
achieved by the close of the FY.
2)Makes additional unallocated reductions to the University of
California and California State University totaling $1.44
billion ($717.5 million each).
3)Provides increased reimbursement authority to the University
of California and California State University to expend
federal ARRA stimulus funds.
Urgency Clause: Declares this bill take effect immediately as
an urgency statute.
Analysis Prepared by : Misty Feusahrens and Sara Bachez /
BUDGET / (916) 319-2099
FN: 0001585